SAP vs. ERP: The Differences Explained

Running a successful business isn’t easy. No matter the size, you’re juggling every aspect of running your business, from issuing paychecks and managing benefits and bills. All the while, you’re trying to maintain customer relations and getting new clientele.
Of course, in our ever-evolving technological world there’s software that can help you manage your business effectively. Some software can even run automated tasks to streamline entire processes.
When researching the right software for you, you’ll probably come across articles titled SAP vs ERP. Sometimes, though, ERP and SAP are used interchangeably, making things a touch confusing.
Keep reading to learn everything you need to know about SAP and ERP.
What Is ERP?
ERP stands for Enterprise Resource Planning and is the software you need if you’re looking for an automation solution. It helps manage human resources, paying bills, and almost all accounting processes. ERP also helps managing manufacturing processes and assists with monitoring your business’s growth.
The best part of ERP is its database. This database collects critical information on both clients and employees, which in turn feeds into all of its handy dandy features.
Ultimately, ERP is a centralized system that streamlines information and processes within your business.
What Is SAP?
SAP on the other hand, is short for System Application and Product in Data Processing. SAP is a renowned software developing company that offers several software solutions for businesses of in all industries. From packages for smaller businesses to industry specific software, SAP offers it all.
They’re best known for the ERP software solutions. This is why the terms SAP and ERP are used interchangeably.
The SAP-ERP acts as an integrated system that automates the most difficult aspects of your business. As a result, it can help you consolidate every function to process at its full performance.
The Differences Between Them
The differences between SAP and ERP are easy to understand once broken down. ERP is a type of software program, or software solution that manages different aspects of running a business. Whereas SAP is a software developing company that sells ERP solutions to businesses and enterprises.
As a software, ERP acts as a centralized system that helps streamlines all processes and often, places focus on business growth. As a web-based app, it’s also accessible.
SAP is the largest provider of ERP software systems and offers a variety of ERP options. As mentioned, with SAP, you can get an ERP solution that is geared specifically to your business.
SAP B1 is a great option and solution for small or mid-size enterprises and those wanting to automate several key business functions. The SAP B1 costs have been updated for September, so don’t forget to check it out.
SAP vs ERP: A Guide
The SAP vs ERP debate can be very confusing, especially when people use the terms mutually. Luckily, once you understand that one is a software program and the other is a software development company, you’ll be on the right track. From there you can start making the right choices to better the management of your business.
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