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If you search the Internet for "ERP" or "Enterprise resource planning", there will be a huge amount of information is difficult to accept or even some confusion. It seems that each site has its own definition of ERP, each ERP implementation methods are different. However, these differences often highlight their flexibility, which is the core of ERP as a powerful business management tool.
When you are ready to choose the ERP system, the first choice is to choose a cloud computing architecture of ERP or installed on the local server architecture system?
ERP solutions for Legacy server architectures: hardware and server systems installed on the company's premises, maintained by IT staff
ERP Solutions for cloud computing: also known as SaaS, software services-as part of a multi-tenancy platform customization service. With this deployment, the company's ERP software and related data are managed by software vendors in the cloud, and employees access data over the Internet via computers or mobile devices.
The pros and cons of a local server versus a cloud computing architecture ERP System:
Local server ERP System
Cost of use: often requires significant upfront or ongoing investment costs to purchase and manage software, hardware, servers, and IT staff to maintain systems and maintain security
System upgrade: While the system can be customized to meet specific needs, the customization section is associated with your existing deployment and is not easy to re-implement when the version is updated. This can lead to expensive upgrades or software obsolescence.
System performance: Requires significant IT investments (human and time) to ensure optimal level of performance maintenance
Security: The level of security depends on the resources assigned by the IT department
Accessibility: can be logged into the system via PC and notebook, mobile Access restricted
Deployment speed: Spend a lot of time buying the right hardware and infrastructure, typically deployed for 12 months
Cloud Computing ERP System
Cost of use: usually low initial cost because the software is connected through only one network, and the ERP provider maintains IT infrastructure for you
System upgrade: Can be customized to meet specific needs, and by the software vendor to update processing, to ensure that you always use the latest, most advanced ERP version, while enjoying a variety of customizations.
System performance: Design and optimize through high-performance rate, adapt to the needs of enterprises and improve system utilization
Security: Leading cloud computing solutions adopt a bank-level security level as part of the service delivery terms
Accessibility: anytime, anywhere access via the web
Deployment speed: No time required to purchase hardware or install it facilities, typically 3-6 months of deployment time
What kind of ERP system should be chosen by Chinese small and medium enterprises?
SAP With a reputation in China, many multinationals and large companies use their large enterprise ERP solutions. But for the midsize market, SAP is facing a fierce impact from the cloud-computing ERP system like NetSuite. While SAP provides solutions for both large and medium-sized enterprises, the ERP solution provided by NetSuite is specifically tailored to the branch offices of midsize enterprises or multinational companies. NetSuite's rapid development is due to the fact that midsize enterprises realize that cloud computing ERP and CRM solutions are more cost-effective than traditional ERP systems that need to install server hardware and software in office rooms.
NetSuite provides an on-demand ERP solution built on a purely network architecture, completely differentiated from the server schema version. When NetSuite has spent 15 years concentrating on cloud computing technology, SAP is still hesitant about providing cloud computing solutions for midsize businesses. One result of this is that the Sapbusiness one version became a major failure for SAP. With the largest customer usage worldwide, only less than 1000 companies are using the product (compared to NetSuite, which has 24,000 companies in use).
What's the difference between comparing NetSuite and business one?
First, it is well known that NetSuite is less expensive than SAP. Many companies ' cases show that the company's change from SAP to NetSuite systems can often save 20-30% costs, equivalent to tens of thousands of dollars.
From a functional standpoint, the two solutions appear to be similar on the surface, all of which are "business integration" models that integrate all the key business processes into a single platform. Both solutions provide financial/inventory/production and order management, customer relationship management and other widely used ERP modules.
From a standard module perspective, NetSuite has the advantage of managing multiple branches around the world on a single platform compared to business one. SAP needs to deploy a business one database at each subsidiary, and business one cannot support data transfer between subsidiaries without third-party software. However, NetSuite helps companies effectively manage multiple currencies, support the consolidation of global financial statements, and automatically update exchange rates and fiscal policies across different regions of the world.
In contrast to business one, NetSuite is the most important feature of flexibility. NetSuite is undoubtedly the most convenient commercial ERP system in terms of customization, and NetSuite's free tools help companies to develop custom workflows from scratch, without the high technical requirements. As a result, NetSuite is a better choice for the midsize market than business one in different ways.
Tell me about SAP Business One