In the world of Enterprise Resource Planning (ERP) software, deciding on the top ERP platform in 2024 can be a challenging endeavor.

Two contenders consistently top the list: NetSuite and SAP. Each of these powerhouses presents a suite of tools and functionalities designed to help businesses optimize their operations and boost overall efficiency.

However, beneath these broad similarities lie distinct differences that could make one platform a more compelling choice depending on your unique business requirements.

In this article, we'll dive into the world of NetSuite and SAP ERP, placing them side by side in a comprehensive comparison, comparing NetSuite to Business One, ByDesign and S/4HANA.

We will dissect their key features and capabilities to equip you with the essential insights necessary for an informed decision-making process.

For many, the name SAP is a byword for enterprise business software. As one of the original pioneers in the ERP software domain since the 1970s, it carries a hefty legacy.

ERP software, however, has undergone transformative changes since those early days, gaining significant traction in the last decade with the advent of cloud computing. This revolutionary shift in software consumption models has catalyzed the emergence of other vendors that have managed to surpass SAP in customer reach and capability scope.

Over the past eight years, SAP has invested billions in the acquisition of cloud-based software companies in a bid to regain its footing in the cloud ERP landscape. This article will furnish a direct comparison of NetSuite ERP against SAP's cloud-based ERP solutions: Business ByDesign (ByD), BusinessOne (B1) and SAP S/4 HANA.

Read on to deepen your understanding of how SAP's ERP solutions for SMBs and Mid-Market fare against the market leader in cloud-based ERP: NetSuite.

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Table of Contents

• NetSuite vs SAP (ByD) Overview
• NetSuite vs SAP (ByD) Company Profiles
• NetSuite vs SAP (ByD) Features
• NetSuite vs SAP (ByD) Pricing
• NetSuite vs SAP (ByD) Reviews
• NetSuite vs SAP (ByD) Support

• NetSuite vs SAP (B1) Overview
• NetSuite vs SAP (B1) Company Profiles
• NetSuite vs SAP (B1) Features
• NetSuite vs SAP (B1) Pricing
• NetSuite vs SAP (B1) Reviews
• NetSuite vs SAP (B1) Support
• NetSuite vs SAP S/4 HANA
• Conclusion

Oracle NetSuite vs SAP Business ByDesign: An In-Depth Comparison

In the realm of cloud-based ERP solutions, Oracle NetSuite and SAP Business ByDesign (ByD) emerge as significant players, poised to aid SMB and mid-market companies in enhancing their business processes. Yet, as these solutions vie for market share, potential users often grapple with discerning which platform is best suited for their needs.

Critical to this decision-making are three pivotal areas where these systems diverge: 1) market positioning and ongoing development, 2) strategic future planning, and 3) the robustness of their partner ecosystems.

SAP ByD, though renowned for its capabilities in the mid-market domain, has encountered several challenges since its inception. Notably, the product experienced periods of halted development and market withdrawal, underscoring a tumultuous journey. As of April 2023, SAP has restricted new developments for ByD to essential security updates and legally mandated enhancements, raising questions about its long-term viability.

Further complicating matters is the somewhat opaque nature of SAP's overall strategy for SMBs and mid-market entities. Users have observed a level of ambiguity in SAP's portfolio, and despite housing a variety of Value Added Resellers (VAR), SAP’s partner network has yet to fully flourish.

However, it’s crucial to acknowledge that SAP ByD remains a formidable option in the manufacturing sector, where it exhibits competencies that might surpass some of NetSuite's inherent functionalities.

On the flip side, Oracle NetSuite continues its ascent as a leading cloud-based ERP, with sustained growth backed by substantial investment and support from Oracle. Boasting a diverse and expanding global ecosystem of Solution Integrators (SI) and Independent Software Vendors (ISV), NetSuite has amassed an impressive clientele of over 16,000, reinforcing its market credibility.

Unlike SAP ByD, NetSuite offers comprehensive accounting capabilities and advanced financial consolidation within the base product. Its user-friendly design allows administrators and business users to adapt the system to their specific needs, fostering a level of flexibility that SAP ByD struggles to match.

Moreover, NetSuite’s commitment to innovation is evidenced by its robust SuiteFlow tool, enabling companies to automate tasks across roles and departments efficiently. In contrast, SAP ByD's nonvisual Workflow Rules tool presents limitations, only triggering workflows through user actions without time-based options.

In conclusion, while both Oracle NetSuite and SAP Business ByDesign present valuable offerings for businesses seeking ERP solutions, the differences in their strategic direction, development commitment, and ecosystem strength create distinct experiences for users. To facilitate an informed decision on the optimal choice for your enterprise, we have curated a detailed side-by-side comparison guide below.

NetSuite vs SAP (ByD): Product Profiles

Overview:

ByD is SAP's first attempt at cloud ERP.  After a ~$1.2B+ investment it was released in 2007 only to be pulled back for further re-tooling.  Re-released in 2008 with a focus on Manufacturing, Distribution and Professional Services in the mid-market space.  

NetSuite ERP is a complete cloud ERP solution, which automates front and back-office processes like financial management, revenue management, fixed assets, order management, billing, and inventory management and more. 

Table of Contents

NetSuite vs SAP (ByD): Feature Comparison

Native Financial Management Features:

• Accounts Payable
• Accounts Receivable
• General Ledger
• Multi-Currency
• Revenue Recognition (limited capabilities)
• Localization
  (limited capabilities)
• Budgeting

• Accounts Payable
• Accounts Receivable
• General Ledger
• Multi-currency/multi-tax,multi-language
• Fixed Assets
• Multi-Company & Consolidation
• Revenue Recognition
• Subscription Billing
• Forecasting & Budgeting
• Financial Planning (PBCS)

Native Supply Chain Features:

• Order Management
• Production Management
• Inventory Management
• Procurement
• Warehouse & Fulfilment
• Demand Planning
• WIP & Routing
• Work Orders & Assemblies
• Shop Floor Control & BOM Maintenance

• Order Management
• Production Management
• Inventory Management
• Procurement
• Warehouse & Fulfilment
• Demand Planning
• WIP & Routing
• Work Orders & Assemblies
• Shop Floor Control & BOM Maintenance

Native Human Capital Features:

Requires SuccessFactors

• Human Resources Management
• Payroll
• Employee Center

Native Commerce Features:

Requires SAP Hybris & SAP C4/HANA

• Point of Sale
• Ecommerce
• Order & Inventory Mgt
• Product Content Mgt
• Commerce Marketing Automation (Bronto)

Native Professional Service Automation (PSA) Features:

• Project Management
• Resource Management
• Timesheet Management
• Expense Management

• Project Management
• Resource Management
• Timesheet Management
• Expense Management

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NetSuite vs SAP (ByD) Pricing:

Pricing Info:

• Standard Enterprise User is $146 per month
• SCM Enterprise User is $197 per month
• ByD requires minimum of 10 Enterprise Users.
• Base package: $1,647 /month for 5 Enterprise Users

• Base application starts at $999 per month.
• User Licenses $99 per user per month

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NetSuite vs SAP (ByD) Reviews:

Software Advice:

• 4.5 Stars 22 Reviews

• 4 Stars 91 Reviews

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NetSuite vs (ByD) Support:

Tech Support:

24/7 toll-free worldwide phone support available

24/7 toll-free worldwide phone support available

How do they compare?

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Oracle NetSuite vs SAP Business One 

Both SAP Business One and NetSuite offer ERP software designed to help SMB companies run their businesses better. 

But how are they different?

Top 5 differentiators of Oracle NetSuite vs SAP Business One:

1. Cloud Deployment and Customer Base: SAP Business One is currently transitioning to a cloud-hosted deployment model and thus far, has a minimal number of ERP customers using its cloud versions. Conversely, NetSuite boasts over 29,000 customers operating on the same multi-tenant cloud platform, establishing it as a true forerunner in this area.

2. Upgrades and Customizations: While SAP Business One, a hosted SaaS solution, may or may not retain customizations with upgrades - potentially demanding redevelopment efforts - NetSuite ensures that all customizations are preserved with each biannual update. The benefit? Your ERP investment is future-proofed.

3. Custom Reporting Capabilities: NetSuite offers 'drill down' and 'drill through' capabilities for custom reports, owing to its consistent data model and database. This means, even with customized reports & dashboards, users can navigate from summary level info to detailed levels seamlessly. SAP Business One, however, requires additional reporting software (SAP Crystal Reports) for custom reporting, which unfortunately does not provide 'drill down'/'drill through' functionalities.

4. User Interface (UI): NetSuite furnishes a sleek, modern, and uniform user interface across the entire application. Meanwhile, SAP Business One, though moving toward a modern UI with Fiori, has not consistently implemented it. Furthermore, SAP needs to harness other products in its portfolio to match the features and functionalities offered by NetSuite, and each of these products is at a different stage of UI development. Most Business One customers are still operating pre-version 9.0, resulting in a dated user experience.

5. Implementation and Customization: Techfino and NetSuite offer a fixed price implementation, in stark contrast to SAP's custom-build approach where costs often exceed the budget. SAP Business One projects are typically sold on a time and materials (T&M) basis. Moreover, NetSuite offers easy configurations and customizations, supporting point-and-click, standards-based application customization and swift configuration of processes, interfaces, roles, and reports that customers can undertake themselves. SAP Business One, on the other hand, requires a separate tool (MS Visual Studio) for customization and often necessitates professional services even for minor changes, thereby increasing the total cost of ownership (TCO).

Keep reading to further compare and contrast NetSuite vs SAP B1.

NetSuite vs SAP (B1): Product Profiles

Overview:

SAP acquired Topmanage Financial Management in 2002 and rebranded as SAP Business One. Business One provides core ERP functionality deployed in a hosted or hybrid model designed for SMB's with <1000 FTEs.

NetSuite ERP is a fully cloud-based ERP solution, which automates front and back-office processes like financial management, revenue management, fixed assets, order management, billing, and inventory management and more. 

Table of Contents

NetSuite vs SAP (B1): Feature Comparison

Native Financial Management Features:

• Accounts Payable
• Accounts Receivable
• General Ledger
• Multi-Currency
• Fixed Assets
• Revenue Recognition (limited capabilities)
• No native support for multi-company-requires middleware (Bizweaver)
• Localization - 100+ countries
• Budgeting

• Accounts Payable
• Accounts Receivable
• General Ledger
• Multi-currency/multi-tax,multi-language
• Fixed Assets
• Multi-Company & Consolidation
• Revenue Recognition
• Subscription Billing
• Forecasting & Budgeting
• Financial Planning via PBCS

Native Supply Chain Features:

• Order Management
• Production Management
• Inventory Management
• Procurement
• Warehouse & Fulfilment
• Demand Planning
• WIP & Routing
• MRP
• Work Orders & Assemblies
• Shop Floor Control & BOM Maintenance

• Order Management
• Production Management
• Inventory Management
• Procurement
• Warehouse & Fulfilment
• Demand Planning
• WIP & Routing
• Work Orders & Assemblies
• Shop Floor Control & BOM Maintenance

Native Human Capital Features:

• None: Requires SAP SuccessFactors

• Human Resources Management
• Payroll
• Employee Center

Native OmniCommerce Features:

• Ecommerce not native to platform

• Point of Sale
• Ecommerce
• Order & Inventory Mgt
• Product Content Mgt
• Commerce Marketing Automation (via Bronto)

Native Professional Service Automation (PSA) Features:

• Project Management
• Resource Management
• Timesheet Management
• Expense Management
• Field Service & Repair

• Project Management
• Resource Management
• Timesheet Management
• Expense Management
• Field Service & Repair (via 3rd party)

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NetSuite vs SAP (B1) Pricing:

Pricing Info:

• SAP B1 price is $108 per user per month for professional license plus hosting fees. (subscription)
• Professional license as one time charge $4,000 per user (perpetual).

• Base application starts at $1,599 per month.
• User Licenses $120 per user per month

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NetSuite vs SAP (B1) Reviews:

Software Advice:

4 Stars 78 Reviews

4 Stars 91 Reviews

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NetSuite vs (B1) Support:

Tech Support:

24/7 toll-free worldwide phone support available

24/7 toll-free worldwide phone support available

Oracle NetSuite vs SAP S/4 HANA

SAP S/4 HANA stands as a formidable force in the realm of Enterprise Resource Planning (ERP), tailored to meet the nuanced needs of large enterprises. It offers an extensive array of sophisticated capabilities spanning finance, sales, and customer service, and boasts exceptional scalability.

Here's a snapshot of the key features of SAP S/4 HANA:

• Financial Management: SAP S/4 HANA comes packed with an assortment of financial management tools, covering accounting, budgeting, forecasting, and financial reporting.
• Sales and Marketing: Equipped with resources to manage sales and marketing operations, it includes customer relationship management, lead management, and sales forecasting tools.
• Customer Service: It offers an integrated suite of customer service tools supporting multiple channels (phone, email, chat), underpinned by robust customer relationship management.
• Supply Chain Management: It provides an end-to-end supply chain management solution, from procurement to inventory management and logistics.

The standout advantage of SAP S/4 HANA is its prowess in handling large data volumes, bolstered by its advanced analytics capabilities. This enables businesses to make data-driven decisions. Furthermore, the high scalability of SAP S/4 HANA allows it to adapt seamlessly to a business's growth trajectory.

However, it's crucial to understand the target market distinction. While SAP S/4 HANA caters to large enterprises, NetSuite is formulated for small to medium-sized businesses (SMBs). Therefore, SAP S/4 HANA might provide more advanced features suitable for larger organizations, whereas NetSuite could be an ideal fit for SMBs.

Another contrasting factor is the deployment model. SAP S/4 HANA offers both cloud-based and on-premises solutions, while NetSuite is exclusively cloud-based. Thus, SAP S/4 HANA might be preferable for organizations opting for an on-premises deployment, and NetSuite could be a better choice for those seeking the advantages of a cloud-based system.

There's also a variation in their specific features and capabilities. For instance, SAP S/4 HANA boasts advanced analytics capabilities and excellent scalability, while NetSuite provides a comprehensive suite of e-commerce capabilities.

In summary, the primary distinctions between SAP S/4 HANA and NetSuite ERP revolve around the target market, deployment model, and specific features and capabilities. However, it's worth noting that businesses would typically not compare NetSuite to SAP S/4 HANA directly. A comparison between NetSuite and Business One and/or ByDesign would provide a more aligned, 'apples-to-apples' evaluation.

Final Thoughts...

At the forefront of the cloud-ERP combat, NetSuite continues to triumph, capturing an increasingly larger share of the SMB and MME market segments each day.

SAP, on the other hand, was not entirely committed to cloud ERP for the mid-market initially and had to undertake significant acquisitions to cement its position as a substantial player in this arena.

NetSuite, contrarily, has been rooted in the cloud since its inception. For those in pursuit of a 'genuine' cloud-based ERP solution, the quest may end with NetSuite. It's challenging to find a rival that outclasses NetSuite in the arena of platform range, scalability, ecosystem, and cost-effectiveness.

In essence, choosing an ERP system is a crucial business decision. Each organization must carefully evaluate its unique needs and growth trajectory before selecting a system. But if your evaluation criteria align with what NetSuite offers, it's a choice you're unlikely to regret.