{"id":12976,"date":"2017-12-18T12:42:18","date_gmt":"2017-12-18T17:42:18","guid":{"rendered":"https:\/\/www.sherweb.com\/blog\/?p=12976"},"modified":"2019-08-15T09:58:58","modified_gmt":"2019-08-15T13:58:58","slug":"battle-erp-dynamics-365-vs-sap","status":"publish","type":"post","link":"https:\/\/www.sherweb.com\/blog\/microsoft-ecosystem\/dynamics-365\/battle-erp-dynamics-365-vs-sap\/","title":{"rendered":"Battle of the ERPs: Dynamics 365 for Finance and Operations vs. SAP"},"content":{"rendered":"

When you grow from a startup to a mid or large-size organization, operations become increasingly difficult to handle. A business needs a focused and systematic approach to manage planning, development, manufacturing, marketing, sales, finances, operations, customer service, human resources and other day-to-day activities to cope with rapid expansion. Most businesses turn to Enterprise Resources Planning (ERP) solutions such as Dynamics 365 and SAP to help. An ERP manages corporate processes through an integrated application<\/span><\/p>\n

This can get complicated. Which ERP features do you need? What should your budget be and how do you calculate a return on investment? And most importantly: which vendor should you choose? These questions are all critical because choosing the right ERP for your enterprise can be a game-changing decision.<\/span><\/p>\n

 <\/p>\n

Click here to download our free ebook on Dynamics 365 and get answers to your questions!<\/a><\/h3>\n

 <\/p>\n

This is the first part of a series of three articles that compares Dynamics 365 to the ERP market leaders. The selected ERPs for this comparison are SAP, Oracle, and Infor. Part one of this series will focus on SAP. <\/span><\/p>\n

 <\/p>\n

Dynamics 365 for Finance and Operations Overview<\/span><\/h2>\n

Microsoft Dynamics 365 is a flagship product for Microsoft. It launched in November 2016, was repackaged in July 2017, and is still evolving. In this comparison, we will not cover NAV, GP, AX, and SL. Instead, we will review Microsoft\u2019s new offering: Dynamics 365 for Finance and Operations<\/a>.<\/span> This product is distinct since it is offered in the cloud opposed to other products which are bought and installed on premises<\/span><\/p>\n

Dynamics 365 comes with Cortana Intelligence and robust Business Intelligence tools and apps. This bundle makes it a solid contender in the ERP market, with the advantage of comparatively lower cost and easier implementation. Built with Microsoft technologies, it seamlessly integrates and synchronizes with most other Windows applications. For example, Dynamics 365 can sync with Outlook <\/a>allowing users to update sales quotes and inventory directly from email<\/span><\/p>\n

ERP is a massive integrated system and users are required to train for weeks or months. For Dynamics 365 Finance and Operations, the learning curve is short. It gets a winning edge over others, due to its simple look and feel. The UI is straightforward and the easy to understand interface are key factors for purchasing. An overview of Dynamics 365 is pictured below.<\/span><\/p>\n

 <\/p>\n

\"Dynamics<\/p>\n

 <\/p>\n

 <\/p>\n

 <\/p>\n\n\n\n\n\n\n\n
Key Strengths<\/strong><\/td>\nKey Weaknesses<\/strong><\/td>\n<\/tr>\n
Affordable for SMBs<\/td>\nLimited support from integrators<\/td>\n<\/tr>\n
Smooth learning curve<\/td>\nLimited functionalities in certain areas<\/td>\n<\/tr>\n
Easy integration of CRM<\/td>\nLack of proof of scale for enterprise level ERP<\/td>\n<\/tr>\n
Microsoft assets (Cortana Intelligence and BI tools, Azure)<\/td>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

Learn more on how to manage your business with Dynamics 365<\/a><\/h3>\n

 <\/p>\n

SAP Overview<\/h2>\n

SAP is known as a market leader in ERP and an ideal solution for organizations. SAP is offered in 37 languages, 45 localizations, and 25 industry verticals. It has a strong standing in the market with about 50,000 customers. The functional modules\u2013Plan to Product, Order to Cash, Request to Service, Core Finances, Core Human Resources, covers your every industry\u2019s needs.<\/p>\n

Not only does SAP fit the needs of multi-national organizations, but it is a friendly software solution for small enterprises too. SAP ERP can cater to all business size needs and delivers what it promises, but the cost is comparatively much higher than its competitor ERP Solutions. If consistency is important, then SAP is an excellent choice; its straightforward implementation can be customized using third-party solutions.<\/p>\n

SAP offers various ERP options to accommodate different market segments. For example, SAP Business By Design adapts to smaller companies who may not need full functionalities. This version focuses on ease of use and simplicity, a modern user interface and mobility.<\/p>\n

 <\/p>\n\n\n\n\n\n\n
Key Strengths<\/strong><\/td>\nKey Weaknesses<\/strong><\/td>\n<\/tr>\n
Established market leader<\/td>\nSystem complexity<\/td>\n<\/tr>\n
Depth of functionality<\/td>\nSteep learning curve<\/td>\n<\/tr>\n
High integration of modules<\/td>\nLongest payback period<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

Want more information on what a partnership with Sherweb looks like? Check out our InfoKit.<\/a><\/h3>\n

 <\/p>\n

Selection criteria<\/h2>\n

Now that we\u2019ve set the table by describing each product and main strengths and weaknesses, let\u2019s see what criteria to use when comparing ERP systems.<\/p>\n

The data below is summarized from a study conducted by Panorama Consulting Solutions.<\/p>\n

 <\/p>\n\n\n\n\n\n\n\n\n
Criteria<\/strong><\/td>\nDynamics 365<\/strong><\/td>\nSAP<\/strong><\/td>\nWinner<\/strong><\/td>\n<\/tr>\n
Implementation duration:<\/strong><\/p>\n

 <\/p>\n

Many factors influence implementation duration, including implementation approach, type of software, complexity of business processes, industry, organization size and level of customization.<\/p>\n

 <\/td>\n

 <\/p>\n

23.6 months<\/p>\n

 <\/td>\n

23.1 months<\/td>\nDraw<\/td>\n<\/tr>\n
Total cost of ownership:<\/strong><\/p>\n

 <\/p>\n

This includes the cost of the actual system as well as the costs of implementation and customization.<\/p>\n

 <\/td>\n

$2.06 Million<\/td>\n$2.09 Million<\/td>\nDraw<\/td>\n<\/tr>\n
Benefits realized:<\/strong><\/p>\n

 <\/p>\n

This metric indicates the percentage of organizations who realized 50% or more of their planned benefits with their ERP.<\/p>\n

 <\/td>\n

26%<\/td>\n34%<\/td>\nSAP<\/td>\n<\/tr>\n
Functionality achieved:<\/strong><\/p>\n

This metric refers to the percentage of the software used. It is the percentage of companies which have achieved More than 50% of functionality of their ERP.<\/p>\n

 <\/td>\n

44%<\/td>\n80%<\/td>\nDynamics 365<\/td>\n<\/tr>\n
Payback period:<\/strong><\/p>\n

 <\/p>\n

Payback is the point in time when the organization recoups its initial investment.<\/p>\n

 <\/td>\n

12 months<\/td>\n30 months<\/td>\nDynamics 365<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

 <\/p>\n

What does this mean?<\/h2>\n

If you were hoping by this point in the article you would have a clear-cut answer to your question, sorry to disappoint you. Selecting an ERP is a long process, and should be given thoughtful consideration. The reality is that some businesses will benefit more from Dynamics 365 and some will benefit from SAP.<\/p>\n

Examine your organization’s future roadmap and do a careful study of your business requirements. Make sure to analyze architecture, functionality, acquisition plans and product lines.<\/p>\n

Having said this, choosing the right ERP is only part of the solution. When the ERP is selected, you will want to implement it correctly within your organization. You will need to modify your business processes to fit the ERP. You can facilitate the long journey by selecting the right implementation partner.<\/p>\n

<\/h3>\n

Looking to get involved reselling Dynamics 365? Download our complete guide here!<\/a><\/strong><\/span><\/h3>\n

 <\/p>\n

 <\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

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