Microsoft Dynamics 365 or
SAP Business One

Softengine Compares These Two Powerful ERP Systems
You Decide Which Fits Your Business Best.

Choosing the right ERP solution can make or break your small business. Choose the right one, and you’ll be well on your way towards scalability and efficiency; choose the wrong one, and you may very well find yourself frustrated and struggling to keep your business processes intact.

In a detailed analysis Softengine compares two ERP leaders for small and medium business: SAP Business One vs. Microsoft Dynamics 365. Review the breakdown of each of their features and functions in detail so that you can better understand which solution best fits your business needs.

History

SAP Business One is an ERP solution developed by SAP SE and designed to serve small to medium enterprises. SAP acquired the system when it bought out Israeli firm TopManage Financial Systems in 2002. SAP BUSINESS ONE has strong functionality and an excellent fit for select industries.  BUSINESS ONE has a large customer base and large network of SAP VAR’s and ISV’s.

Microsoft Dynamics 365 Business Central is the latest addition to the Microsoft Dynamics 365 umbrella. Much of it is built around the Dynamics NAV (formerly Navision) codebase, and it is sold as a cloud-native, browser-based solution. Recently released in May of 2018 this brand new ERP solution is being marketed as Microsoft’s first “cloud” ERP product.

Choosing the right ERP solution can make or break your small business. Choose the right one, and you’ll be well on your way towards scalability and efficiency; choose the wrong one, and you may very well find yourself frustrated and struggling to keep your business processes intact.

In a detailed analysis Softengine compares two ERP leaders for small and medium business: SAP Business One vs. Microsoft Dynamics 365. Review the breakdown of each of their features and functions in detail so that you can better understand which solution best fits your business needs.

History

SAP Business One is an ERP solution developed by SAP SE and designed to serve small to medium enterprises. SAP acquired the system when it bought out Israeli firm TopManage Financial Systems in 2002. SAP BUSINESS ONE has strong functionality and an excellent fit for select industries.  BUSINESS ONE has a large customer base and large network of SAP VAR’s and ISV’s.

Microsoft Dynamics 365 Business Central is the latest addition to the Microsoft Dynamics 365 umbrella. Much of it is built around the Dynamics NAV (formerly Navision) codebase, and it is sold as a cloud-native, browser-based solution. Recently released in May of 2018 this brand new ERP solution is being marketed as Microsoft’s first “cloud” ERP product.

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Microsoft Dynamics 365 Business Central

Strengths and Weakness of the Dynamics 365 System

Strengths

  • Look & Feel:Business Central has a new and improved UX/UI in efforts to deliver a high quality consumer-grade experience.
  • LinkedIn Acquisition: Microsoft has a native connection between LinkedIn and CRM Sales providing all information on profiles directly into customer records.
  • Integration with Microsoft’s Ecosystem of Solutions: Beyond LinkedIn, Microsoft is focusing on business applications like Microsoft Office, PowerApps, Microsoft Flow, Power BI, Cortana and more.

Weaknesses

  • Limited Reporting Dimensions:Business Central offers a limited number of reporting dimensions. This may limit/prevent specific detailed reporting capabilities.
  • Manual Consolidation Across Subsidiaries:Since this platform is designed for small business this isn’t a focus of Business Central and requires manual consolidation.
  • Required Integrations: With Dynamics 365 Business Central, a customer is required to deploy an integration layer to support the use of ERP and CRM together.
  • No Revenue Recognition: Dynamics 365 Business Central doesn’t offer Revenue Recognition or Project Accounting. For companies that need rev rec or deep project accounting will need to look to add-on solutions or 3rd party PSA offerings.

New & Unproven: Been on the market since Spring, 2018. Limited number of live customer references.

Primary Strengths of Microsoft Dynamics 365 Business Central

• Look & Feel: Business Central has a new and improved UX/UI in efforts to deliver a high quality consumer-grade experience.
• LinkedIn Acquisition: Microsoft has a native connection between LinkedIn and CRM Sales providing all information on profiles directly into customer records.
• Integration with Microsoft’s Ecosystem of Solutions: Beyond LinkedIn, Microsoft is focusing on business applications like Microsoft Office, PowerApps, Microsoft Flow, Power BI, Cortana and more.
Primary Weaknesses of Microsoft Dynamics 365 Business Central
• Limited Reporting Dimensions: Business Central offers a limited number of reporting dimensions. This may limit/prevent specific detailed reporting capabilities.
• Manual Consolidation Across Subsidiaries: Since this platform is designed for small business this isn’t a focus of Business Central and requires manual consolidation.
• Required Integrations: With Dynamics 365 Business Central, a customer is required to deploy an integration layer to support the use of ERP and CRM together.
• No Revenue Recognition: Dynamics 365 Business Central doesn’t offer Revenue Recognition or Project Accounting. For companies that need rev rec or deep project accounting will need to look to add-on solutions or 3rd party PSA offerings.
• New & Unproven: Been on the market since Spring, 2018. Limited number of live customer references.

HOW DOES SAP BUSINESS ONE AUTOMATE SUPPLY CHAIN?

SAP Business One simplifies definition and management of production, assembly, sales, and template bills of materials (BOMs). You can store BOM numbers, descriptions, warehouses, and item compositions in easy steps, while recording per-item quantities, production issue methods, prices, and comments at each level. When you add a bill of materials to purchase, production, or sales orders, pricing and quantities are automatically recorded for both the product and its components. SAP Business One supports standard, special, and disassembly production orders. Bills of materials can easily be entered into production orders so that item availability, warehouse location, and issue method are automatically recorded. By storing a production due date, production scheduling can be managed using alerts management in SAP Business One.

HOW DOES SAP BUSINESS ONE AUTOMATE SUPPLY CHAIN?

SAP Business One simplifies definition and management of production, assembly, sales, and template bills of materials (BOMs). You can store BOM numbers, descriptions, warehouses, and item compositions in easy steps, while recording per-item quantities, production issue methods, prices, and comments at each level. When you add a bill of materials to purchase, production, or sales orders, pricing and quantities are automatically recorded for both the product and its components. SAP Business One supports standard, special, and disassembly production orders. Bills of materials can easily be entered into production orders so that item availability, warehouse location, and issue method are automatically recorded. By storing a production due date, production scheduling can be managed using alerts management in SAP Business One.

SAP Business One

Strengths and Weaknesses of the SAP Business One Solution

SAP Integration
• Within SAP Tier 2 deployments situation, SAP Business One tightly integrates with other leading SAP ERP and business applications.
• SAP BUSINESS ONE provides a robust suite of applications, including standalone analytics (SAP Analytics Cloud), in-depth travel & expense management (Concur), and end-to end procurement (Leonardo & Ariba).
Manufacturing Capabilities
• SAP Business One provides deep functionality in the manufacturing space, especially around Engineer to Order (ETO), Demand Planning and MRP.
Multiple Deployment Options
• SAP’s Business One can be hosted on a partners cloud, SAP’s private cloud or deployed on-premises.
Proven
•  SAP Business One is a proven platform amongst SMB manufacturers and distributors and offers a deep ecosystem of partners and solutions developed for BUSINESS ONE.

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Primary Strengths of SAP Business One:

SAP Integration
• Within SAP Tier 2 deployments situation, SAP Business One tightly integrates with other leading SAP ERP and business applications.
• SAP BUSINESS ONE provides a robust suite of applications, including standalone analytics (SAP Analytics Cloud), in-depth travel & expense management (Concur), and end-to end procurement (Leonardo & Ariba).
Manufacturing Capabilities
• SAP Business One provides deep functionality in the manufacturing space, especially around Engineer to Order (ETO), Demand Planning and MRP.
Multiple Deployment Options
• SAP’s Business One can be hosted on a partners cloud, SAP’s private cloud or deployed on-premises.
Proven
•  SAP Business One is a proven platform amongst SMB manufacturers and distributors and offers a deep ecosystem of partners and solutions developed for BUSINESS ONE.

Conclusion

Microsoft Dynamics 365 Business Central is a new in the ERP space and lacks core processes for a flexible ERP. SAP Business One is a proved ERP selection for small- and mid-size businesses looking to migrate from QuickBooks or legacy accounting software to a leading ERP solution.

Conclusion

Microsoft Dynamics 365 Business Central is a new in the ERP space and lacks core processes for a flexible ERP. SAP Business One is a proved ERP selection for small- and mid-size businesses looking to migrate from QuickBooks or legacy accounting software to a leading ERP solution.

Curious if SAP Business One is a good fit for your particular industry and budget?  Check out our BUSINESS ONE readiness quiz below for real-time insights and pricing info.