SL.No.
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Description
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SAP Business One
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Custom Developed ERP
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1
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Risk associated with Product
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SAP is world’s leader in ERP and technology solutions. In particular, SAP Business One is being used by more than 50,000 customers globally including India. This fact practically eliminates any product related risks.
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Much smaller customer install base if any (for local ERP products). Typically keep undergoing corrections on basic processes, bug fixing and so on. If the solution is being developed for the first time then the development time can run into year(s) and functionalities get released in a piece meal.
Not only does the customer not get to use the complete solution quickly, they also lose time and with it, they incur a cost of missed opportunities.
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2
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Support
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SAP has a large partner base and customers have a choice to move from one to another if they are not satisfied by the quality of service.
Plus, SAP itself provides help desk support if the issue is escalated to them by partner(s).
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Customers have to depend only on one single company that has developed the solution. Being a small entity it can face business challenges like lack of resources, financial instability etc. which can have an adverse impact on the service quality.
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3
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Business functionalities
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Product is developed keeping the global market in mind. It incorporates best practices from across the world. However, it is possible that some small functionality (very peculiar to any industry vertical) may have to be customized during the project implementation.
Alternatively, customers also have an option to buy add-on solutions developed by some other partner to reduce the deployment time.
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If the product is developed afresh for a customer, then it is likely to address almost every process that the customer wants (which may or may not be the best practice).
However, such applications may not stand the test of time.
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4
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Ease of modifying solution with changing needs
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Customization is quite easy in SAP Business One. User can add new fields and tables on the fly using the front end of the application. For a complex development, SAP’s software development kit can be used by the partner to deliver seamless solution.
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When changes are required to the solution customer is likely to face challenges on account of either lack of flexibility in the product, unwillingness of developer to make changes, non-availability of resources at product developers end etc.
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5
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Flexibility
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Easy and quick customization capability makes the application quite flexible
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Making changes to any functionality becomes difficult. Even for adding new fields customer has to depend on the product vendor, who may or may not be able to appreciate the business urgency.
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6
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Help documentation
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Available publically on SAP’s help website. It is kept updated in line with new functionalities added to the product
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Chances of getting documentation are very limited.
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7
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Incorporating new technology
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SAP is a world leader in ERP products and invests significant resources in updating the computing technologies in their products. This benefits not just new but existing customers as well.
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Very unlikely that a small company would be able to do this. Hence customers get stuck with a technology that may have become obsolete.
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8
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Scalability
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SAP Business One is designed and developed in a manner that protects customers’ investment over a long period of time. It has the capability to keep scaling up to match customers’ business growth.
Support multi-location, multi user with ease. Customer can keep adding more users, more locations, as required.
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Scalability is a question mark & hence a risk for the customer, who may have to shelve the ERP and go for new one that would support the increased business. We have encountered several such cases.
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