Now a days Selection of ERP is not that easy. Problem is not about options are less but the actuality is that “we have over verity of ERP products available in market”. Every ERP System says best to self and promises for efficiency, control, growth. But I as Consultant think that Decision on ERP selection should not be feature driven only but in actual this is a case of checking the right fit as fitment of ERP framework and working should be aligned with Future vision of Business in terms of Man, Money and Material with tight intact with ROI while investing in ERP.
SMEs generally prefer top ERPs in two categories i.e. proprietary software and opensource software named as SAP B1 and Odoo. Both products are very strong in themselves and both have their own market landscape but the approach behind pricing, sales, implementation, freedom of use and developments are entirely different.
And the same difference we will try to explore today to open our thoughts in this frame.
Core Difference Understanding Is A Mandate!
In Simple language SAP and Odoo both are for companies having organised way of working and there is no brainstorming required on process optimisations. Which means they are for companies where all organisation structure, SOPs, KRAs, KPIs, Tracking and Compliances are ready and in running by using some or other software or XL-Sheet.
But if we only talk about Odoo which is opensource ERP framework never assumes that you are running business with perfection but closely try to watch out that what are your core strengths and Unique business processes those are acting as differentiator to maintain SME’s existence in market. Here Odoo poses its flexibility to adopt best practises without disturbing there uniqueness and adjusts as per your current processes. As scope of improvements are always there, so it provides full freedom of doing new customisations up to any scale based on the monthly or quarterly analytics repots driving business growth.
This difference might look small but it gives a very strong impact during implementation and its success.
Who Should Choose What?
SAP B1 is suitable for Companies who all have:
- 100% Stable processes
- Clear organization structure
- Demand of Strict control over finance and operations
- Very Strong Budget
Odoo is suitable for Companies who all have:
- Clear organization structure
- Demand of Strict control over finance and operations
- Fast Growing Businesses
- Evolving processes and stable processes are also to be modified as per process performance
- Demand of flexibility in line with leakage proof processes instead of strict systems which resists exceptional case handling which happens frequently in fast growing businesses.
- Limited budget and low cost centres, these kind of companies can invest in parts and as per ROI they have freedom to invest more.
If your business have good growth potential and you want to shift it to autopilot mode upto some extant to shift your focus on More Sales, Fast Delivery, Analytics, Tracking and Strategies or any top management fundamentals then Odoo can be the best ROI driven selection of choice. If you have unlimited budget and perfect processes in place then SAP B1 can be the choice.
Implementation Speed vs Structure
When we are in ERP implementation phase then the most important factor is Feel.
SAP B1implementation generally take long time because businesses have to align their processes as per ERP system due to the rigid and strict approach they follow which sometimes impact unique flavour or strengths of businesses in turn business growth or ROI gets impacted.
While on other side in Odoo business get flexibility of configuration and customisation alongside of best practices without impacting business growth. It also provides feasibility of starting with one module CRM, inventory or accounting which can be scaled to any number of modules without getting the integrity impacted. This approach reduces risk and gives time to team for adjusting with the system.
This system orientation with flexibility is very important for SMEs and Even some big companies who all are unaware of adjusting with Information technology.
Ground Reality on Pricing
Cost plays a very important role in ERP selection especially for growing businesses.
SAP Business One has licensing cost involved, implementation cost involved, and maintenance is also involved. Total investment reach any hight beyond businesses expectation and SAP Cost is growing without any business growth compatibility commitment.
But, Odoo has a very different model. Being in Open-source entry cost comparatively is very low as per clients pocket. You can invest as per your requirement and Odoo grows along with company growth.
This also creates a budget cushion which leads to mental peace of sponsors. Which means you are not investing your all money in single go but gradually it scales with full track of ROI from all respective implementations.
And honestly this is very practical approach in today’s difficult economy and high competition market.
If your freedom of doing business is in doubt?
There is no business which is same even in same industry. Then question is that if you want to change your ERP continually as per your on the spot business need or demand to keep growing in ecosystem?
SAP Business One allows customisation but it is partner driven and SAP direct don’t take any of its responsibility on its own. It sucks time and cost both. System stays stable but flexibility is very limited.
Odoo allows customisation and that too with all possible flexibilities. It also allows us to change workflow, due to its modular nature it allow us to build module and get it installed and that too with all integrity, and the most important is that we can define system in full accordance with our business processes.
In simple terms:
- SAP Business One: Process control
- Odoo: Process flexibility
User Experience: Game of Adoption
ERP works well when users are willing to let it work..
SAP Business One is strong ERP, But still it requires complex and long training to cope with it. Interface is not much user friendly.
Odoo is infused already with user-friendly and modern UI. Users love to get friendly with Odoo as it really provide ease of use at all level of hierarchy i.e. Good Dashboards and Reports for Top Management, Good processes coverage for mid management and Good User Friendly interface of ERP operators at low level. And when people adopt fast with it then ROI can also be driven fast to keep Businesses faith alive for long term.
This might sounds simple but this is very strong factor for any ERP’s Implementation Success.
Industry Flexibility
SAP Business One commonly used in industries like trading, distribution and structured manufacturing. Where repeated and fix processes are involved.
Odoo can be a possible fit for any kind of company or business vertical weather it is manufacturing, construction, retail, education, healthcare, services.
If you are diversifying your business then Odoo is can be proven best ERP for you.
Why Businesses Are Choosing Odoo Over SAP Business One
Now a days businesses are looking for?
- Fast implementation
- Lower initial cost
- Flexibility
- Quick ROI
Odoo fits in all above expectations.
No one can deny the fact that in today’s business ecosystem, lot flexibility is required.
Not just Features, Fitment is also Important
Many business compare and evaluate ERPs only on the base of features which is big mistake.
As More the features we have below to be checked:
- If the system fits with your business processes, Culture, Ethics, Litracy Level?
- Who is going to implement ERP?
- End Users Confidence on Solution?
- Is the solution growth supporting with scalability and flexibility?
- Implementation approach is acceptable as per requirement, budget and timeline?
Fitment of right ERP is the actual decision factor.
Final Verdict – Focus on “Right” and not on “Better”
If your business has no pain areas at the part of clear process coverage then SAP B1 or Odoo any of the Product may work.
But if you are in transition of business growth and still growing, Exceptions are still to be formularised at large scale, and flexibility is required to navigate in market in terms of sustainability then Odoo is more practical choice.
Odoo Let you grow with limited or no restriction. And honestly saying that I expressed flexibility many times in this blog due to its real demand I had seen while working closely with business owners while implementing ERP.
Next Step?
Before Decision making, Ask your own questions:
- Are your all processes are well defined?
- Business actually need flexibility not only control?
- Budget assessment as per real business present situation and the projected one?
- How fast we really want to see ERP spreading in company as it should not go into over analysis as over analysis leads to paralysis?
One inhouse Audit backed with some ERP consultant can give this clarity.
Right ERP is not that if it has all the features.
But!
Right ERP is the one which aligns with your business as a solution.
Need Help?
If you need more clarity on choosing one from SAP and Odoo then we are ready to do brain storming together.
This may be an implementation for ERP service providers but it is a life of your entire business!!!
Lets do a handshake with a cup of coffee to discuss this further at below contact details:
+91-9971800665
Gaurav.kumar@apagen.com
www.apagen.com
– Written and Published by Gaurav Bhama
