So many factors impact the financial health and operational efficiency of the company, including inventory management, human resource management, quality control and reporting, and checking performance. However, all these factors can be addressed better through an ERP or enterprise resource planning system.

There are so many options for ERP systems, so finding the right one with a user-friendly interface and advanced features is the major challenge. This article is designed to help you to know about the comparison between Odoo vs Sap to help you understand the core features of both applications and make the right choice.

What to Know About Odoo?

In Odoo, there are many open-source business applications that help facilitate the company process. The flexible and modular nature makes it adaptable to on-premise and cloud environments. Odoo is helpful in HR and account management as well as accounting, e-commerce, customer management and more to help businesses run smoothly.

What to Know About SAP?

SAP ERP offers on-premise and cloud abilities that offer many functional and technical components. SAP helps many business apps to control quality, manage materials, and maintain plants. Also, this software combines with other tools such as NetWeaver, process integration and enterprise portal and male the environment development for better growth and efficiency.

Odoo’s Key Features

Odoo ERP system comes with different modules that support each function of the enterprise. However, this system is modular, and companies have to install the required features, which offer two benefits to the company: flexibility and cost-effectiveness. As per the understanding of the Odoo vs. Sap ERP guide, the key features of the Odoo ERP system are:

• Inventory and Supply Chain: Odoo is a solid ERP system for all businesses with fewer needs and is helpful in managing inventory as well as the supply chain for stock handling.
• Human Resources: This software is useful for improving management, attendance and employee recruitment.
• Carbon Footprint Management: Odoo is the leading sustainable software because of its main tracking and decrease in carbon emission modules.
• Project Management: The software is useful for managing, planning and tracking projects.
• Manufacturing: The special tools of this software can manage production and operational efficiency with less competition.
• CRM and Sales Management: The software is helpful in relationship management, tracking leads and sales improvement.
• Accounting and Finance: This tool can manage accounting, expenses and financial reports.

SAP Business One’s Key Features

SAP ERP system is the best and most solid solution for businesses with core needs because it is the standard tool. The following are some features of this software:

• Financial Management and Analytics: This software is useful to manage finances and create detailed analytics.
• Sales, Customer Management, and Purchasing: This system is useful for managing sales orders, maintaining customer relationships and buying operations.
• Inventories and Production Planning: It is useful in providing a smooth flow of inventory and production processes.
• Reporting and Compliance: The software provides reports and compliance with industries.

ERP Cost Comparison

You have to find the right ERP model that fits your budget. Oddo and SAP ERP both have flexible fees and pricing, so it is suitable for businesses with different needs and small companies. Keeping this in mind, you must compare the licensing of both software.

Odoo’s Pricing Model

According to the Odoo ERP vs SAP comparison guide, the Odoo system uses the user pricing model, so it is easy for all businesses to access.

• One App Free: This software is useful for start-up companies. The software also provides free licensing to all users on Odoo online, so it is helpful for businesses to explore the app.
• Standard: The odoo standard option asks you to pay $24.90 per month, which was $31.10 at first. In this plan, customers can get all odoo apps on the online platform, so you can choose the best one that fits the needs of your business.
• Custom:  The starting price of this module is $37.40 per month with all apps on the online audio platform, odoo and an on-premise option with the studio for customized app development, company management and API access. So, businesses that need advanced control can use this module.

SAP Business One’s Pricing Model

SAP ERP software is a solid system with flexible pricing options that meet the needs of different businesses. It helps businesses understand the cost of this software according to their requirements. The following are the licensing and deployment options for this software:

• SAP Business One Professional: This module has all the functions and features that must be present in the SAP ERP system. The system is available as a monthly subscription for $100 as well as a perpetual license for $3,500.
• SAP Business One Limited: This module is helpful for less functioning rather than complete apps, so the price of this model is almost $1,800 per user for perpetual licensing and $60 for a monthly subscription.

SAP vs. Odoo Differences/Comparison

To help us understand the viewpoint of both applications, it is important to focus on the features of Odoo vs Sap ERP applications. Let's check out our comparison table to understand the core differences between both applications.

Odoo vs SAP Comparison

Parameters	Odoo	SAP
Amount of data the ERP can handle	Optimal for companies processing up to a hundred orders daily.	Handles large amounts of data, processing thousands of orders daily, but considered slow.
Free version available	Offers free licensing, but paid versions offer more options.	Only offers paid licensing.
Flexibility	Highly flexible, allows modifications to stay competitive.	Less flexible, designed to follow a strict business logic.
Complexity	Written in Python with modular structure; user-friendly interface.	Written in C, C++, Java, and ABAP; complex interface requiring specialized staff.
License fee for on-premise option	Free licensing for self-hosted installations.	Various paid licensing models (perpetual, annual, subscription).
Simplicity of customization	Easy and cost-effective to customize.	Customization is detailed but requires significant resources and expertise.
Specifics of migration to a new ERP version	Allows smooth and fast data transfer but requires coding for custom functionality.	Backward compatible, eliminating the need for frequent data migration.
Bug fixing options	Open-source with a large community providing ready-made solutions.	Closed-source, relying on internal expertise and technical support.
Adaptability to new regulations	Quick to adjust with the support of experienced developers.	Complex module structure makes compliance with new regulations challenging.

 

Questions to ask yourself before choosing Odoo vs. SAP ERP

There is a huge difference between sap and Odoo. Some ERP systems are much more beneficial, such as these can improve reports and plans, increase process visibility and reduce cost. However, one size does not fit all, so not a specific ERP system is helpful for an organization. So, with the help of analysts and team lead developers, we have created a list of different questions with suitable answers to help you discover which ERP system is the best option for your organization.

How many orders do you have to process daily?

For companies with more than a hundred orders daily, odoo is the best solution, but it doesn't allow you to store a large amount of data. However, if you install the odoo at a start-up so, when your company grows, developers can customize the ERP for data handling.

SAP is useful and is made with different principles. This software can store and handle a large amount of data for companies that receive thousands of orders daily. Amazon uses this software to handle almost 500,000 orders in an hour. However, the handling and processing of such an amount of orders and the slowness of SAP have become a meme.

Does the survival of your business depend on its flexibility?

Odoo is helpful to small and medium businesses that use one technique for today and another for tomorrow to stay competitive. It is the constructor ERP to help businesses assemble the system and change components. This means that the company can change processes, suppliers, and chain management. However, flexibility is the main component that helps companies survive.

SAP is useful for companies that are strictly dependent on processes but not flexibility. The offices with thousands of employees in different countries should follow clear processes for smooth functioning. Coca-Cola is involved in managing marketing, advertising and more in almost 70 different countries.

How much time and effort are you ready to invest in your ERP project?

Odoo is the best open-source software with different modules. So, companies can use any of the modules to explore different odoo functions and features. The flexible and modular nature, as well as the programming language, make the software easy to use and help companies to easily find developers with different expertise. As it is the comparison between Odoo and SAP, odoo comes first in terms of speed.

However, the complexity and simplicity of the software are effective in adoption time. Odoo provides a user-friendly interface with different functions for cloud and on-premise versions.

SAP has many modules with tangled structures, which is needed by many international companies. The ERP can be written in C, C++, Java, and ABAP. In this case, developers are unable to understand the structure and logic of the system, while specialists with almost 5 years of experience are needed here.

What are your hosting server preferences for the ERP system?

Odoo and SAP are easy to install applications on-premise with hosted private cloud and public cloud. If you are interested in installing odoo on your server, then you may use the free version with no licensing fee.

However, to be registered on SAP, you have to pay a fee except for server maintenance. You have the option to choose either the perpetual, annual subscription or the payment method.

How important to you are simplicity and the low cost of customization?

Odoo can be easily and affordably customized. However, the customization abilities of both this software are different. So, the off-shelf functionality of both software is not enough.

Each step or process of odoo is easier compared to SAP, whether it is the management of packing, delivery of product or return of the product. However, SAP takes a lot of time and is exhausting software. It also requires strict ties to processes.

SAP and odoo are entangled with detailed customization when you need a multicurrency function, different product revisions, and tangle logistics. This approach is useful if you are running a global corporation.

For SAP, you have to accept all the requirements of processes because this software doesn't adjust with processes. It dictates about changing for smooth running. This means customization is not impossible, but it requires a lot of resources and expertise.

If you don't want to rearrange processes according to ready-made ERP, then you have an alternative option, such as a customized system. However, tuning the existing system will take much more time and resources than tuning it.

Is Odoo better than SAP?

The choice between Odoo and SAP largely depends on your business needs, size, complexity and budget. However, Odoo is considered more fit for businesses of every size. Being cost-effective, flexible and having a friendly UI makes Odoo perfect for businesses of all sizes to scale their ERP systems without any extra burden. SAP, having high fees, implementation costs, resource-heavy requirements and a complex customization process, works well for large and multinational corporations only. Since it has ability to manage large-scale operations with high levels of automation and integration, many large-scale businesses prefer to use SAP.

Conclusion:

Odoo is helpful for small and medium companies that are looking for a way to use a unified system instead of spreadsheets. However, SAP is a sophisticated system and is useful for Fortune 1000 companies that have to store a large amount of data.

Anyhow, choosing between SAP and Odoo is a major battle. No system is less functional or important because it offers particular types of benefits. Read out the above guide between Odoo and SAP to understand which is better for your business.