SAP Customers Seek a Better Solution
According to Kurt Marko, contributor at Forbes, there is a massive amount of business being sucked into the technological black hole that is SAP. Citing Vinnie Mirchandani’s book SAP Nation, he attests that the SAP economy ran a total of 1 trillion dollars between 2009 and 2014, and, for shelling out all the big bucks, companies simply “aren’t getting their money’s worth.” Mirchandani reveals that while the company’s charges are high-margin, they are “only a tenth of the run-rate.” The culprit behind this problem? “The rest is outsourcer/offshore firm fees, consultant travel expenses, customer staff, hosting/other infrastructure, MPLS/WAN charges, other software costs — many not very efficiently applied.”
So why are SAP customers essentially paying waste when they could subscribe to a cloud-based system? Simply put, some of the bigger, badder companies want an on-site system to ensure privacy, rather than share an online system that puts them at risk. But, as Marko points out, there are literally thousands of smaller companies (SMEs) still using SAP that do not share those concerns who would benefit highly from SaaS.
So… why haven’t they switched? Marko answers with this:
There are plenty of SaaS products that address specific enterprise software functions [for SMEs], however the big challenge for SAP’s SaaS challengers is that none match its breadth in covering the full range of business applications.
Enter Cetec ERP.
The thing is, Cetec ERP does cover the breadth that other SaaS providers (Marko refers to “Workday, Salesforce.com, NetSuite, ServiceNow NOW +0.07%, Plex Systems, Kenandy, Kinaxis and others”) can’t. How? Cetec ERP relies on a fully-integrated, web-based system that includes applications such as MRP, CRM, MES, SCM, QMS, inventory control, accounting, and more. Futhermore, Cetec does it at a fraction of the cost that SAP and other top competitors do. No waste. No gargantuan black holes.
However, Markos elaborates on the issue facing SMEs. He states:
“One reason there isn’t [we already know there is] a comprehensive, all-in-one cloud-based alternative to the full SAP suite is that the concept of vertically and tightly integrated software goes against the cloud ethos of lean, focused services extensible and integrable using published APIs that users can lash together to create software tailored for their specific needs.
Cetec has found a way to combine the reliability of out-of-the-box solutions (ie. you get what you pay for) and the innovativeness of custom solutions in our software. This allows our system to grow and morph as your business does, meaning your ERP will never be outdated.
Markos alleges one final reason why SAP’s customers refrain from switching to a cloud-based system. They “are frozen in place petrified by the cost and risk of upgrades in their settings.” We at Cetec are happy to announce that the average cost of full implementation, migration, and development is only $18k, a full 95% savings compared to our competitors (you know, the ones Marko mentioned as almost functioning as a viable alternative to SAP). Plus, training is absolutely free!
Cetec ERP is the viable alternative to the money-sucking IT companies of years past. We provide the functional latitude, minus the business-stunting cost. See how Cetec ERP can help launch your business today by trying our free demo, and get a closer look at how Cetec integrates reliability and flexibility at Should ERP Software Provide Custom Solutions?.