Finding the right ERP for your business can feel like trying to find a Goldilocks solution. Sure, the ERP might seem right for you. But so many elements of an ERP can end up a poor fit in practice. Choosing an ERP is such a high-stakes decision that you don’t want to settle for something that’s not quite right.
If you’re looking to shift from SAP or are trying to check out the alternatives, you’re in the right place. We will compare SAP and Acumatica to find out which would be a better fit for your company.
What Is SAP ERP?
SAP is a German company that 5 former IBM employees formed in the early 70s. In the half a century since the company formed, SAP has released quite a few products leading up to their current ERP.
The first release that is similar to their current offering was in 1992 when they released R/3, which was a client-server version of its previous business management application. In 2004, it released its successor ECC.
Shift to the cloud
SAP products have been a staple of the industry for years, with their 2004 on-site ERP ECC still commonly used today. But as they are shifting their focus to cloud software, SAP is planning to terminate support in 2027.
Since ERPs need so much support, this will essentially kill the software. Businesses still using it will need to find alternatives, and since it sometimes takes years to transition, the time to start looking at cloud alternatives is now.
The ERP options have branched off into 3 distinct programs that each occupy different segments of the market:
SAP S/4HANA Cloud
SAP S/4HANA Cloud is a cloud-based version of the SAP ERP system. It is a fully integrated suite of business applications, including financials, CRM, supply chain management, and analytics.
It also provides software-as-a-service (SaaS) to its customers and has built-in AI, machine learning, and intelligent automation.
SAP Business One
SAP Business One is a cloud-based enterprise resource planning (ERP) software built to be easy to use and tailored for small and medium-sized businesses to manage all their processes.
SAP Business ByDesign
SAP Business ByDesign is a cloud-based software solution that provides an enterprise resource planning (ERP) system to small and medium-sized businesses. It allows companies to manage all aspects of their business, from accounting to manufacturing, in one place.
It’s designed to grow with companies that are rapidly expanding and offers a flexible pricing model with the ability for users to pay only for what they need.
What Is Acumatica?
Acumatica was founded in 2008 and released its first product, Acumatica ERP, in the same year. They are an American company with its headquarters in Washington. Their current CEO is the former Microsoft Vice president. It is owned by EGT Partners.
Acumatica was explicitly created as an ERP solution for small to mid-sized businesses. Acumatica is web-based and built on its internally developed platform xRP. They also use AI-powered automation to increase efficiency.
There are a few options for deploying Acumatica:
- On-premises
- Hosted in a data center
- Or run on a cloud computing platform
They’re ranked high in user experience and usability; Gartner Peer Insights reported that 82% of customers would be willing to recommend them to others. Integrating existing tools and software into the ERP is also simple, either from their own marketplace or other sources.
Their ERP solutions are industry-specific and cover the needs of those in construction, finance, manufacturing, and commerce, and can help with inventory management.
The xRP platform also makes it easy for developers to customize the ERP for specific needs.
3 Reasons for Choosing Acumatica
Neither of these ERP solutions is the clear winner. They each have their strengths, but there are some distinct reasons to choose Acumatica over SAP’s 3 cloud options.
Ease of implementation
Anyone who has ever implemented an ERP is familiar with how arduous the process can be. It’s a time-consuming and high-stakes procedure. So anything that can help smooth that process is a huge money saver.
While SAP has a lot of functionality, it’s not the easiest to implement by any stretch. In a survey, only around 50% of SAP implementations achieve their business objectives. And around the same percent said they went over budget.
Acumatica is renowned for its simplicity and user-friendliness. Both of these factors make training employees and getting things running much easier.
Target market
SAP has recently tried to target small to medium-sized businesses, but its original target market was large corporations. So while SAP Business One and SAP Business ByDesign are both intended to fill that gap, their flagship product is SAP S/4HANA Cloud.
Because of this, both the options intended for smaller companies are, in essence, stripped-down versions of the flagship product. Unfortunately, this can leave them feeling lackluster and missing some functionality.
So while large corporations can expect a great product, smaller businesses may end up short-changed.
Customization
Acumatica allows customers to customize their software using their xRP platform. This is a great feature for small and medium-sized businesses that want to save on the cost of software development.
The other really attractive element is how easy it is to integrate with other software like Office 365, QuickBooks, and Microsoft Dynamics CRM Online. If you’re already happy with some of your existing software and just want to centralize it without too much fuss, Acumatica is a great option.
It May Be Time To Try Acumatica
SAP has been around for so long for a reason, but they’re also targeting a very specific demographic. Businesses without the cushion for a potentially rocky transition will want to steer clear. Acumatica, on the other hand, was originally made for the cloud and for the purposes of small to medium-sized businesses.
Why Choose Acumatica ERP?
Acumatica Cloud ERP is the most powerful cloud-based ERP solution available for small to medium-sized businesses. If you’re wondering if Acumatica is the right ERP for you, we can help! Confianz offers consultation and help with implementation. So call us today to get started!
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