diff --git a/deploy/velero-configuration/README.md b/deploy/velero-configuration/README.md
new file mode 100644
index 0000000000..ef0ff9f808
--- /dev/null
+++ b/deploy/velero-configuration/README.md
@@ -0,0 +1,75 @@
+# Velero Configuration & OADP Migration
+
+This directory contains backup and restore configurations for Red Hat managed clusters, including the migration from Managed Velero Operator (MVO) to OpenShift API for Data Protection (OADP).
+
+## Directory Structure
+
+### Main Configuration (Legacy)
+- `100-velero.Velero.yaml` - Legacy VeleroInstall resource (MVO)
+- `110-velero.Schedules.yaml` - Backup schedules for general clusters
+- `120-velero.Secret-Role.yaml` - RBAC for secret access
+- `130-velero.Secret-RoleBinding.yaml` - Role bindings for secrets
+
+### Hive-Specific Configuration
+- `hive-specific/` - **Complete OADP migration for Hive clusters**
+
+## OADP Migration Strategy
+
+### Phase 1: OADP Installation (Hive Clusters Only)
+The `hive-specific/` directory now contains the complete OADP operator installation and configuration for Hive-managed clusters:
+
+**OADP Operator Installation:**
+- `100-oadp.Subscription.yaml` - OADP operator subscription
+- `110-oadp.Namespace.yaml` - openshift-adp namespace
+- `120-oadp.OperatorGroup.yaml` - Operator group setup
+
+**OADP Configuration:**
+- `130-oadp.DataProtectionApplication.yaml` - Main DPA configuration with environment variables
+- `140-oadp.TestBackup.yaml` - Validation backup for testing
+
+**OADP RBAC & Schedules:**
+- `05-oadp-schedule-admins-cluster.ClusterRole.yaml` - Enhanced RBAC for OADP resources
+- `111-oadp.Schedules.yaml` - Backup schedules (migrated from Velero)
+
+### Target Clusters (Hive-Specific)
+- Clusters with `ext-managed.openshift.io/hive-shard: "true"` label
+- Excludes FedRAMP clusters (`api.openshift.com/fedramp != "true"`)
+
+### Environment Variables Required
+- `${OADP_BACKUP_BUCKET}` - S3 bucket name for storing backups
+- `${AWS_REGION}` - AWS region where the bucket is located
+
+## Migration Strategy & Resource Handling
+
+### Resource Apply Mode: "Upsert"
+The hive-specific configuration uses `resourceApplyMode: "Upsert"` which means:
+- ✅ **Safe Deployment**: New OADP resources will be created alongside existing Velero resources
+- ✅ **No Conflicts**: Old Velero resources will NOT be automatically deleted
+- ✅ **Coexistence**: Both MVO and OADP can run simultaneously during transition
+- ⚠️ **Manual Cleanup**: Old Velero resources require separate cleanup phase
+
+### Migration Timeline
+
+1. ✅ **Phase 1**: Deploy OADP operator and configuration to Hive clusters (this PR)
+   - OADP operator installed in `openshift-adp` namespace
+   - MVO continues running in `openshift-velero` namespace
+   - Both backup systems coexist safely
+
+2. 🔄 **Phase 2**: Validate OADP functionality and backup operations
+   - Test OADP backups and restores
+   - Verify environment variable configuration
+   - Monitor both systems for conflicts
+
+3. 🔄 **Phase 3**: Clean up old Velero resources (future PR with Sync mode)
+   - Create cleanup SyncSet with `resourceApplyMode: "Sync"`
+   - Remove old Velero ClusterRoles, Schedules, and MVO components
+   - Complete migration to OADP-only
+
+## Related Issues
+
+- SREP-1607: Setup OADP for RH Internal Clusters after MVO Removal
+
+## References
+
+- [OADP Documentation](https://docs.openshift.com/container-platform/latest/backup_and_restore/application_backup_and_restore/oadp-features-plugins.html)
+- [Migration from MVO to OADP Guide](https://access.redhat.com/articles/oadp-migration)
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/05-velero-schedule-admins-cluster.ClusterRole.yaml b/deploy/velero-configuration/hive-specific/05-oadp-schedule-admins-cluster.ClusterRole.yaml
similarity index 55%
rename from deploy/velero-configuration/hive-specific/05-velero-schedule-admins-cluster.ClusterRole.yaml
rename to deploy/velero-configuration/hive-specific/05-oadp-schedule-admins-cluster.ClusterRole.yaml
index fef1281e54..eb3ec837e1 100644
--- a/deploy/velero-configuration/hive-specific/05-velero-schedule-admins-cluster.ClusterRole.yaml
+++ b/deploy/velero-configuration/hive-specific/05-oadp-schedule-admins-cluster.ClusterRole.yaml
@@ -3,12 +3,23 @@ kind: ClusterRole
 metadata:
   labels:
     managed.openshift.io/aggregate-to-dedicated-admins: "cluster"
-  name: velero-schedule-admins-cluster
+  name: oadp-schedule-admins-cluster
 rules:
 - apiGroups:
   - velero.io
   attributeRestrictions: null
   resources:
   - schedules
+  - backups
+  - restores
   verbs:
   - "*"
+- apiGroups:
+  - oadp.openshift.io
+  attributeRestrictions: null
+  resources:
+  - dataprotectionapplications
+  verbs:
+  - get
+  - list
+  - watch
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/100-oadp.Subscription.yaml b/deploy/velero-configuration/hive-specific/100-oadp.Subscription.yaml
new file mode 100644
index 0000000000..316b8938d3
--- /dev/null
+++ b/deploy/velero-configuration/hive-specific/100-oadp.Subscription.yaml
@@ -0,0 +1,11 @@
+apiVersion: operators.coreos.com/v1alpha1
+kind: Subscription
+metadata:
+  name: openshift-adp
+  namespace: openshift-adp
+spec:
+  channel: stable-1.4
+  name: redhat-oadp-operator
+  source: redhat-operators
+  sourceNamespace: openshift-marketplace
+  installPlanApproval: Automatic
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/110-oadp.Namespace.yaml b/deploy/velero-configuration/hive-specific/110-oadp.Namespace.yaml
new file mode 100644
index 0000000000..c2258803ec
--- /dev/null
+++ b/deploy/velero-configuration/hive-specific/110-oadp.Namespace.yaml
@@ -0,0 +1,7 @@
+apiVersion: v1
+kind: Namespace
+metadata:
+  name: openshift-adp
+  labels:
+    name: openshift-adp
+    openshift.io/cluster-monitoring: "true"
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/111-velero.Schedules.yaml b/deploy/velero-configuration/hive-specific/111-oadp.Schedules.yaml
similarity index 94%
rename from deploy/velero-configuration/hive-specific/111-velero.Schedules.yaml
rename to deploy/velero-configuration/hive-specific/111-oadp.Schedules.yaml
index e9876414c5..4a86e9b234 100644
--- a/deploy/velero-configuration/hive-specific/111-velero.Schedules.yaml
+++ b/deploy/velero-configuration/hive-specific/111-oadp.Schedules.yaml
@@ -2,7 +2,7 @@ apiVersion: velero.io/v1
 kind: Schedule
 metadata:
   name: 5min-object-backup
-  namespace: openshift-velero
+  namespace: openshift-adp
 spec:
   schedule: '*/5 * * * *'
   template:
@@ -26,4 +26,4 @@ spec:
     - events.events.k8s.io
     - events
     snapshotVolumes: false
-    ttl: 0h25m0s
+    ttl: 0h25m0s
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/120-oadp.OperatorGroup.yaml b/deploy/velero-configuration/hive-specific/120-oadp.OperatorGroup.yaml
new file mode 100644
index 0000000000..b7edcae0c7
--- /dev/null
+++ b/deploy/velero-configuration/hive-specific/120-oadp.OperatorGroup.yaml
@@ -0,0 +1,8 @@
+apiVersion: operators.coreos.com/v1
+kind: OperatorGroup
+metadata:
+  name: oadp-operator-group
+  namespace: openshift-adp
+spec:
+  targetNamespaces:
+  - openshift-adp
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/130-oadp.DataProtectionApplication.yaml b/deploy/velero-configuration/hive-specific/130-oadp.DataProtectionApplication.yaml
new file mode 100644
index 0000000000..7b834f71cf
--- /dev/null
+++ b/deploy/velero-configuration/hive-specific/130-oadp.DataProtectionApplication.yaml
@@ -0,0 +1,35 @@
+apiVersion: oadp.openshift.io/v1alpha1
+kind: DataProtectionApplication
+metadata:
+  name: dpa-sample
+  namespace: openshift-adp
+spec:
+  configuration:
+    velero:
+      defaultPlugins:
+      - openshift
+      - aws
+      resourceAllocations:
+        limits:
+          cpu: "1"
+          memory: 1Gi
+        requests:
+          cpu: 500m
+          memory: 256Mi
+      logLevel: info
+      podConfig:
+        nodeSelector:
+          kubernetes.io/os: linux
+  backupLocations:
+  - velero:
+      provider: aws
+      default: true
+      config:
+        region: ${AWS_REGION}
+        profile: "default"
+      credential:
+        name: cloud-credentials
+        key: cloud
+      objectStorage:
+        bucket: ${OADP_BACKUP_BUCKET}
+        prefix: velero
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/140-oadp.TestBackup.yaml b/deploy/velero-configuration/hive-specific/140-oadp.TestBackup.yaml
new file mode 100644
index 0000000000..6cb937cef0
--- /dev/null
+++ b/deploy/velero-configuration/hive-specific/140-oadp.TestBackup.yaml
@@ -0,0 +1,15 @@
+apiVersion: velero.io/v1
+kind: Backup
+metadata:
+  name: oadp-validation-backup
+  namespace: openshift-adp
+  labels:
+    managed.openshift.io/oadp-validation: "true"
+spec:
+  includedNamespaces:
+  - openshift-adp
+  excludedResources:
+  - events
+  - events.events.k8s.io
+  snapshotVolumes: false
+  ttl: 1h0m0s
\ No newline at end of file
diff --git a/deploy/velero-configuration/hive-specific/config.yaml b/deploy/velero-configuration/hive-specific/config.yaml
index c54bbae055..24301f164b 100644
--- a/deploy/velero-configuration/hive-specific/config.yaml
+++ b/deploy/velero-configuration/hive-specific/config.yaml
@@ -7,3 +7,4 @@ selectorSyncSet:
     operator: NotIn
     values:
       - "true"
+  resourceApplyMode: "Upsert"
diff --git a/hack/00-osd-managed-cluster-config-integration.yaml.tmpl b/hack/00-osd-managed-cluster-config-integration.yaml.tmpl
index dfc59831c9..799ceba4d2 100644
--- a/hack/00-osd-managed-cluster-config-integration.yaml.tmpl
+++ b/hack/00-osd-managed-cluster-config-integration.yaml.tmpl
@@ -50298,27 +50298,56 @@ objects:
         operator: NotIn
         values:
         - 'true'
-    resourceApplyMode: Sync
+    resourceApplyMode: Upsert
     resources:
     - apiVersion: rbac.authorization.k8s.io/v1
       kind: ClusterRole
       metadata:
         labels:
           managed.openshift.io/aggregate-to-dedicated-admins: cluster
-        name: velero-schedule-admins-cluster
+        name: oadp-schedule-admins-cluster
       rules:
       - apiGroups:
         - velero.io
         attributeRestrictions: null
         resources:
         - schedules
+        - backups
+        - restores
         verbs:
         - '*'
+      - apiGroups:
+        - oadp.openshift.io
+        attributeRestrictions: null
+        resources:
+        - dataprotectionapplications
+        verbs:
+        - get
+        - list
+        - watch
+    - apiVersion: operators.coreos.com/v1alpha1
+      kind: Subscription
+      metadata:
+        name: openshift-adp
+        namespace: openshift-adp
+      spec:
+        channel: stable-1.4
+        name: redhat-oadp-operator
+        source: redhat-operators
+        sourceNamespace: openshift-marketplace
+        installPlanApproval: Automatic
+    - apiVersion: v1
+      kind: Namespace
+      metadata:
+        name: openshift-adp
+        labels:
+          name: openshift-adp
+          openshift.io/cluster-monitoring: 'true'
     - apiVersion: velero.io/v1
       kind: Schedule
       metadata:
         name: 5min-object-backup
-        namespace: openshift-velero
+        namespace: openshift-adp
       spec:
         schedule: '*/5 * * * *'
         template:
@@ -50343,3 +50372,61 @@ objects:
           - events
           snapshotVolumes: false
           ttl: 0h25m0s
+    - apiVersion: operators.coreos.com/v1
+      kind: OperatorGroup
+      metadata:
+        name: oadp-operator-group
+        namespace: openshift-adp
+      spec:
+        targetNamespaces:
+        - openshift-adp
+    - apiVersion: oadp.openshift.io/v1alpha1
+      kind: DataProtectionApplication
+      metadata:
+        name: dpa-sample
+        namespace: openshift-adp
+      spec:
+        configuration:
+          velero:
+            defaultPlugins:
+            - openshift
+            - aws
+            resourceAllocations:
+              limits:
+                cpu: '1'
+                memory: 1Gi
+              requests:
+                cpu: 500m
+                memory: 256Mi
+            logLevel: info
+            podConfig:
+              nodeSelector:
+                kubernetes.io/os: linux
+        backupLocations:
+        - velero:
+            provider: aws
+            default: true
+            config:
+              region: ${AWS_REGION}
+              profile: default
+            credential:
+              name: cloud-credentials
+              key: cloud
+            objectStorage:
+              bucket: ${OADP_BACKUP_BUCKET}
+              prefix: velero
+    - apiVersion: velero.io/v1
+      kind: Backup
+      metadata:
+        name: oadp-validation-backup
+        namespace: openshift-adp
+        labels:
+          managed.openshift.io/oadp-validation: 'true'
+      spec:
+        includedNamespaces:
+        - openshift-adp
+        excludedResources:
+        - events
+        - events.events.k8s.io
+        snapshotVolumes: false
+        ttl: 1h0m0s
diff --git a/hack/00-osd-managed-cluster-config-production.yaml.tmpl b/hack/00-osd-managed-cluster-config-production.yaml.tmpl
index dfc59831c9..799ceba4d2 100644
--- a/hack/00-osd-managed-cluster-config-production.yaml.tmpl
+++ b/hack/00-osd-managed-cluster-config-production.yaml.tmpl
@@ -50298,27 +50298,56 @@ objects:
         operator: NotIn
         values:
         - 'true'
-    resourceApplyMode: Sync
+    resourceApplyMode: Upsert
     resources:
     - apiVersion: rbac.authorization.k8s.io/v1
       kind: ClusterRole
       metadata:
         labels:
           managed.openshift.io/aggregate-to-dedicated-admins: cluster
-        name: velero-schedule-admins-cluster
+        name: oadp-schedule-admins-cluster
       rules:
       - apiGroups:
         - velero.io
         attributeRestrictions: null
         resources:
         - schedules
+        - backups
+        - restores
         verbs:
         - '*'
+      - apiGroups:
+        - oadp.openshift.io
+        attributeRestrictions: null
+        resources:
+        - dataprotectionapplications
+        verbs:
+        - get
+        - list
+        - watch
+    - apiVersion: operators.coreos.com/v1alpha1
+      kind: Subscription
+      metadata:
+        name: openshift-adp
+        namespace: openshift-adp
+      spec:
+        channel: stable-1.4
+        name: redhat-oadp-operator
+        source: redhat-operators
+        sourceNamespace: openshift-marketplace
+        installPlanApproval: Automatic
+    - apiVersion: v1
+      kind: Namespace
+      metadata:
+        name: openshift-adp
+        labels:
+          name: openshift-adp
+          openshift.io/cluster-monitoring: 'true'
     - apiVersion: velero.io/v1
       kind: Schedule
       metadata:
         name: 5min-object-backup
-        namespace: openshift-velero
+        namespace: openshift-adp
       spec:
         schedule: '*/5 * * * *'
         template:
@@ -50343,3 +50372,61 @@ objects:
           - events
           snapshotVolumes: false
           ttl: 0h25m0s
+    - apiVersion: operators.coreos.com/v1
+      kind: OperatorGroup
+      metadata:
+        name: oadp-operator-group
+        namespace: openshift-adp
+      spec:
+        targetNamespaces:
+        - openshift-adp
+    - apiVersion: oadp.openshift.io/v1alpha1
+      kind: DataProtectionApplication
+      metadata:
+        name: dpa-sample
+        namespace: openshift-adp
+      spec:
+        configuration:
+          velero:
+            defaultPlugins:
+            - openshift
+            - aws
+            resourceAllocations:
+              limits:
+                cpu: '1'
+                memory: 1Gi
+              requests:
+                cpu: 500m
+                memory: 256Mi
+            logLevel: info
+            podConfig:
+              nodeSelector:
+                kubernetes.io/os: linux
+        backupLocations:
+        - velero:
+            provider: aws
+            default: true
+            config:
+              region: ${AWS_REGION}
+              profile: default
+            credential:
+              name: cloud-credentials
+              key: cloud
+            objectStorage:
+              bucket: ${OADP_BACKUP_BUCKET}
+              prefix: velero
+    - apiVersion: velero.io/v1
+      kind: Backup
+      metadata:
+        name: oadp-validation-backup
+        namespace: openshift-adp
+        labels:
+          managed.openshift.io/oadp-validation: 'true'
+      spec:
+        includedNamespaces:
+        - openshift-adp
+        excludedResources:
+        - events
+        - events.events.k8s.io
+        snapshotVolumes: false
+        ttl: 1h0m0s
diff --git a/hack/00-osd-managed-cluster-config-stage.yaml.tmpl b/hack/00-osd-managed-cluster-config-stage.yaml.tmpl
index dfc59831c9..799ceba4d2 100644
--- a/hack/00-osd-managed-cluster-config-stage.yaml.tmpl
+++ b/hack/00-osd-managed-cluster-config-stage.yaml.tmpl
@@ -50298,27 +50298,56 @@ objects:
         operator: NotIn
         values:
         - 'true'
-    resourceApplyMode: Sync
+    resourceApplyMode: Upsert
     resources:
     - apiVersion: rbac.authorization.k8s.io/v1
       kind: ClusterRole
       metadata:
         labels:
           managed.openshift.io/aggregate-to-dedicated-admins: cluster
-        name: velero-schedule-admins-cluster
+        name: oadp-schedule-admins-cluster
       rules:
       - apiGroups:
         - velero.io
         attributeRestrictions: null
         resources:
         - schedules
+        - backups
+        - restores
         verbs:
         - '*'
+      - apiGroups:
+        - oadp.openshift.io
+        attributeRestrictions: null
+        resources:
+        - dataprotectionapplications
+        verbs:
+        - get
+        - list
+        - watch
+    - apiVersion: operators.coreos.com/v1alpha1
+      kind: Subscription
+      metadata:
+        name: openshift-adp
+        namespace: openshift-adp
+      spec:
+        channel: stable-1.4
+        name: redhat-oadp-operator
+        source: redhat-operators
+        sourceNamespace: openshift-marketplace
+        installPlanApproval: Automatic
+    - apiVersion: v1
+      kind: Namespace
+      metadata:
+        name: openshift-adp
+        labels:
+          name: openshift-adp
+          openshift.io/cluster-monitoring: 'true'
     - apiVersion: velero.io/v1
       kind: Schedule
       metadata:
         name: 5min-object-backup
-        namespace: openshift-velero
+        namespace: openshift-adp
       spec:
         schedule: '*/5 * * * *'
         template:
@@ -50343,3 +50372,61 @@ objects:
           - events
           snapshotVolumes: false
           ttl: 0h25m0s
+    - apiVersion: operators.coreos.com/v1
+      kind: OperatorGroup
+      metadata:
+        name: oadp-operator-group
+        namespace: openshift-adp
+      spec:
+        targetNamespaces:
+        - openshift-adp
+    - apiVersion: oadp.openshift.io/v1alpha1
+      kind: DataProtectionApplication
+      metadata:
+        name: dpa-sample
+        namespace: openshift-adp
+      spec:
+        configuration:
+          velero:
+            defaultPlugins:
+            - openshift
+            - aws
+            resourceAllocations:
+              limits:
+                cpu: '1'
+                memory: 1Gi
+              requests:
+                cpu: 500m
+                memory: 256Mi
+            logLevel: info
+            podConfig:
+              nodeSelector:
+                kubernetes.io/os: linux
+        backupLocations:
+        - velero:
+            provider: aws
+            default: true
+            config:
+              region: ${AWS_REGION}
+              profile: default
+            credential:
+              name: cloud-credentials
+              key: cloud
+            objectStorage:
+              bucket: ${OADP_BACKUP_BUCKET}
+              prefix: velero
+    - apiVersion: velero.io/v1
+      kind: Backup
+      metadata:
+        name: oadp-validation-backup
+        namespace: openshift-adp
+        labels:
+          managed.openshift.io/oadp-validation: 'true'
+      spec:
+        includedNamespaces:
+        - openshift-adp
+        excludedResources:
+        - events
+        - events.events.k8s.io
+        snapshotVolumes: false
+        ttl: 1h0m0s