SAP Business One VS NetSuite – ERP Comparison – Choose the Right ERP Software
Investment in ERP (Enterprise Resource Planning) is one of the most crucial decisions for your enterprise. Correct? It is, therefore, necessary to dig deep into the comparison of two major ERP players SAP Business One vs. NetSuite. These days, tens of ERP solutions are available, but two of them have emerged as preferred choices for small and mid-sized businesses over the years- Oracle NetSuite and SAP Business One.
SAP is one of the pioneers of ERP software and it brings advanced, feature-rich ERP solutions for SMBs. SAP B1 or SAP Business One is its cloud-based, robust solution to meet the most complex needs of modern businesses. In this article, we will go through the difference between SAP and NetSuite as popular mid-market ERP solutions. We will discuss different aspects of SAP B1 vs NetSuite. But, before that, let’s understand this business management software.
Business Management Software – SAP Business One & NetSuite
Modern businesses consist of many interrelated and yet diverse operations. You just cannot separate one process from another while understanding the business model. For example, if you want to streamline the accounting process, it is necessary to analyze the financials and inventory operations. There, a single integrated ERP platform like SAP Business One lends a helping hand. What’s more, such platforms can evaluate all the processes effectively.
SAP Business One has many different modules to manage and control various processes. These modules include CRM, Purchasing, Sales, Opportunities, Inventory, Financials, Resources, and Project Management. These modules are designed to handle specific functions across different departments of your company. Talking about SAP vs NetSuite, the primary difference is unlike a single platform like SAP B1, NetSuite has three different platforms.
NetSuite comprises custom platforms- CRM, eCommerce, and Financials/ERP. Therefore, you need to evaluate your business objectives separately while selecting the NetSuite platform. For example, if you own an eCommerce business, you should not opt for CRM or ERP (Financials) platform. At times, this becomes confusing and remains cumbersome in managing integrated operations of small and mid-sized businesses.
SAP BUSINESS ONE vs. NETSUITE- HISTORY
SAP Business One
SAP ERP solutions have been around us since the 1970s. SAP, along with its global partners, has come up with many industry-specific solutions over the period. SAP ERP solution covers all the major industry sectors including manufacturing, retail, energy, public service, retail, and finance. SAP Business One is a powerful ERP solution categorically built for small and mid-sized businesses. Today, over 60,000 companies across 150 countries use SAP B1.
SAP Business One covers all processes among different departments including sales, accounts, customer relations, and warehouse. It offers over 1500 integrations to manage supply chain, financial processes, customer relations, and eCommerce-related operations. With a seamless combination of SQL Server Database and HANA in-memory database, SAP Business One offers highly flexible and real-time assistance to small and mid-sized industries.
Founded in 1998 and acquired by Oracle in the year 2016, NetSuite has gained fame as the first cloud-based ERP solution. With an impressive track record, Oracle Netsuite has over 24,000 corporate clients across more than 100 countries globally. Initially, it was accounting software, but gradually it expands to include core business areas including supply chain management, procurement, finance, order management, and the like.
Oracle NetSuite has a strong network of global partners to serve several industry sectors. It provides users with tens of hundreds of third-party integrations for different functions. Let’s understand how it is different than SAP Business One in deployment, implementation, and other aspects.
SAP vs. NetSuite: DEPLOYMENT OPTIONS
SAP Business One
SAP Business One is a flexible, cloud-based, hybrid ERP solution. Companies that want to migrate all their processes to the cloud or want to manage some operations on-premise and some using cloud can leverage the benefits of SAP B1. What’s more, SAP Business One facilitates corporate users to plan cloud upgrades in line with their business models.
SAP Business One offers scalability and flexibility to improve business results using cloud technology. Here, the key advantage is companies can use the solution by installing it on hardware and servers. IT staff can manage it afterward. As a cloud ERP, SAP B1 enables entrepreneurs to get the benefits of advancing technology in a cost-effective way while meeting market demands efficiently. It saves time, money, and resources.
NetSuite, on the other hand, is a 100 percent cloud ERP solution. While talking about SAP Business One vs. NetSuite, we need to keep in mind that NetSuite is a strictly cloud-based ERP solution while SAP Business One is a hybrid solution (both cloud and on-premise). As a result, SAP B1 can offer more value for money with flexible options.
COMPARE SAP BUSINESS ONE AND NETSUITE - Implementation Challenges
ERP implementation is a complex process and involves many aspects. But then a reliable and reputed ERP partner can make all the difference.
SAP Business One
You can save a lot of time and amount in implementing an ERP solution with the help of an SAP Partner. SAP Business One Partnership Program is designed to offer customized implementations to meet diverse business requirements. Add-on implementation assists companies to meet specific needs.
Oracle NetSuite opts for outsourcing direct implementation. At times, it remains cumbersome due to difficulties in scheduling meetings with offshore resources. Another nail in the coffin is the fixed implementation fee structure. It brings some challenges like lack of commitment and proper timing of implementation.
SAP BUSINESS ONE vs. NETSUITE- LICENSING
SAP Business One
SAP Business One is licensed through only authorized resellers. Also, it offers several licensing options as per the size and scale of your company. When it comes to SAP B1 vs. NetSuite, you can get a license of Oracle NetSuite through both resellers and sales reps of NetSuite. Here, one advantage of SAP Business One is you can get complete assistance from a dedicated SAP partner along with the license.
As compared to SAP B1, NetSuite has a complex licensing model. Lack of flexibility makes it more expensive than SAP Business One as well. It is because you can take an SAP B1 license based on the number of users. Also, payment terms are different in both SAP Business One and Oracle NetSuite which may remain problematic for some SMBs.
NETSUITE vs. SAP BUSINESS ONE- Deployment Costs
SAP Business One
SAP Business One Cloud comes with Amazon Web Services (AWS). It scales up in line with the growth of your business so that you can focus on productive activities and innovative measures. SAP Business One Cloud gives real-time insights from all departments to enable entrepreneurs to make informed decisions from anywhere. As you can get a high ROI in a relatively short time with SAP Business One implementation, its price is just right for SMBs.
The NetSuite starter edition, on the other hand, has limited features and companies have to purchase features as add-ons. SMBs that want a cost-effective ERP solution may have to compromise on basic out-of-the-box features while opting for NetSuite. For example, the NetSuite starter edition has some financial features but CRM features are absent. Getting these features as add-ons can increase the overall cost.
SAP VS Netsuite- Key Points to Consider
|Upgrade & Innovation||SAP, a German multinational company known for developing advanced BI (Business Intelligence) and ERP solutions, keeps on upgrading this solution regularly with innovative features thereby making it capable of driving growth for your business for years.||NetSuite is based upon hundreds of add-ons developed and supported by third parties. These add-ons follow different design standards that make NetSuite a complicated ERP platform as compared to SAP Business One.|
|Deployment Flexibility||It offers more flexibility during the deployment and upgrading of the ERP system. It assists you to ensure that your business operations do not get affected by a forced upgrade.||ERP systems of NetSuite are deployed within a multi-tenancy, unlike SAP Business One. As a result, system upgrades deploy simultaneously at NetSuite’s discretion.|
|Personalized Experience||New Fiori dashboard is easy-to-use and offers personalized experiences to users and they can see what they need to see.||Its dashboard has limited functions and customization of reports is always challenging for users.|
|Migration Facility||You can easily move to SAP S/4HANA as your business grows.||Moving to SAP S/4HANA or Oracle EBS is highly complicated and pricey.|
|Support & Consultancy||You can easily get a local SAP Partner for 24x7 assistance and consultancy.||You can easily get a local SAP Partner for 24x7 assistance and consultancy.|
Why SAP Business One is the Best ERP?
Since its initial release back in April 2002, SAP Business One has marked its strong presence in the small to the mid-sized enterprise market. It remains a preferred choice of SMBs for multiple reasons including user-friendly interface, affordability, scalability, and customization. It drives growth while offering an edge over competitors with high flexibility and effective modules. Companies can simplify complexities with real-time reporting and analytics.
SAP Business One can keep users updated on various actions taken by different departments thanks to flawless cross-departmental integration. It results in better collaboration and higher productivity. SAP B1 also increases visibility and transparency with real-time updates. Be it inventory management, orders, auditing, or supply chain management, the SAP Business One solution can handle all operations effectively.
Along with all these benefits, a global network of verified SAP Partners for any assistance and consulting makes SAP Business One a better choice for modern businesses.
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SAP Business One is Less Costly than NetSuite
Let’s burst the prevalent myth that SAP Business One is an expensive solution. The reality is, as a complete ERP on a fully integrated platform, SAP Business One is affordable for SMEs. While comparing SAP Business one vs. NetSuite ERP, you can get more features in SAP B1 than in NetSuite. Oracle NetSuite is costly because it comes with basic features and users need to purchase additional features separately. As you keep on buying these features as add-ons, the price of a complete ERP solution gets increased.
SAP Business One is More Customizable than NetSuite
While offering industry-specific solutions, SAP Business One has many necessary modules to manage all the core operations. Also, a reliable SAP Partner can customize this ERP solution as per the client’s business needs by developing add-ons. SAP B1 supports 28 languages and comes in over 50 country-specific versions. In other words, you can get analytics based on the region in which your company is located.
NetSuite is less customizable than SAP Business One, and therefore, you need to check whether your enterprise needs a special edition of NetSuite. You cannot change the configuration of the NetSuite platform. In a way, it is not possible to make it ready to meet all the requirements of your company.
SAP Business One Offers Easier Accessibility Compared to NetSuite
While considering SAP Business One vs NetSuite, accessibility is a major factor. It is essential for SMBs and startups to ensure that all information is accessible as and when necessary. Easy accessibility can play a vital role in improving customer services and reducing operational expenses.
SAP Business One is a cloud-based solution that stores data in multiple data centers. It results in high accessibility. With NetSuite, however, accessibility remains an issue because it stores information in three data centers only. Also, SAP Business One facilitates users to run analytics on the platform itself. But, in NetSuite, you have to get the information separately and merge the data before running analytics. It is somewhat time-consuming and expensive.
SAP BUSINESS ONE OR NETSUITE- Concluding Remarks
Both NetSuite and SAP Business One are reliable and user-friendly business management solutions. On a close evaluation of features, we can find that SAP Business One has a slight upper hand over NetSuite. As a cloud-based solution, SAP B1 is an ideal alternative to NetSuite because it offers more flexibility and control thanks to various modules under a single platform. You can consult a reputed SAP Partner to learn more about the benefits of SAP Business One.
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FAQs About the Best ERP Software
SAP is better than NetSuite as it offers more flexibility to SMBs along with various modules and a central platform. Asset-intensive and B2C businesses can leverage the benefits of SAP Business One to ensure growth.
SAP Business One is more cost-effective, scalable, and customizable than NetSuite. It is a more robust solution and offers easier access to corporate insights than NetSuite. All these factors make SAP better than NetSuite.
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