Coming October 25: PeerSpot Awards will be announced! Learn more
2020-07-08T09:01:00Z
Miriam Tover - PeerSpot reviewer
Service Delivery Manager at PeerSpot (formerly IT Central Station)
  • 0
  • 8

What is your experience regarding pricing and costs for SAP ERP?

Hi,

We all know it's really hard to get good pricing and cost information.

Please share what you can so you can help your peers.

20
PeerSpot user
20 Answers
Desmond Festus - PeerSpot reviewer
Senior Officer ERP at Swakop Uranium
Real User
2022-08-16T13:33:24Z
16 August 22

From my perspective, when you deploy it, the SAP instantly comes with several users and a pre-given user license. Each additional user added charges differently, and additional license fees are applied. Regarding HANA, there is a split in finance core asset management, inventory management, and supply chain, and they have buckets with the ERP on the previous version. There can also be add-ons. However, the standard things required by the business must be structured together and not charged as stand-alone as they are now with the HANA cloud versions. Currently, the estimate for the license per user is between 20,000 to 40,000 USD. Although I am unsure of the exact number it costs in that range, every time I request a new user, I have to justify the need to my company because they claim it falls in that range per user license.

Alaba Ayotunde O. OLUWAYIMIKA - PeerSpot reviewer
It Asset Management Lead at Dangote Industries Limited
Real User
Top 5Leaderboard
2022-05-18T15:50:59Z
18 May 22

The solution is quite expensive but for an organization the size of ours, I think it's worthwhile because of the information that goes into it and what it provides.

Ra456it - PeerSpot reviewer
Digital Business Solutions - Key Account Manager at a tech services company with 201-500 employees
Reseller
Top 20
2022-03-28T12:37:00Z
28 March 22

It could always be cheaper. They don't have a very easy model of licensing, but large entities would get the upper hand in negotiating the license.

DS
Digital Transformation Manager at a construction company with 1,001-5,000 employees
Real User
Top 5Leaderboard
2022-03-15T20:38:41Z
15 March 22

There is an annual subscription for the use of SAP ERP.

MB
Associate Director at a tech company with 201-500 employees
Real User
Top 5
2022-01-28T12:58:40Z
28 January 22

This solution was initially costly until we moved to internal consulting which brought the overall cost of ownership and maintenance down.

Shady Mogawer - PeerSpot reviewer
IT Manager at Arabian Cement Company
Real User
Top 10
2022-01-05T07:19:02Z
05 January 22

I don't know the price, but I know its licensing is on a yearly basis.

Learn what your peers think about SAP ERP. Get advice and tips from experienced pros sharing their opinions. Updated: September 2022.
634,775 professionals have used our research since 2012.
RajPatnaik - PeerSpot reviewer
SAP Platform Advisory at a tech services company with 10,001+ employees
Real User
Top 20
2021-12-21T18:18:00Z
21 December 21

The solution can cost approximately $1 million a year for maintenance for a small-size company and can grow from there. Approximately $1 million is needed for a good-size company.

Veerender Kumar - PeerSpot reviewer
Product Owner at a tech services company with 201-500 employees
Real User
Top 5Leaderboard
2021-11-04T10:10:58Z
04 November 21

We pay annually for the use of this solution.

PV
Project and Service delivery Manager at a tech services company with 11-50 employees
Real User
Top 5Leaderboard
2021-09-27T19:23:13Z
27 September 21

It's definitely not the cheapest system to license and run. It could be cheaper. Typically, they offer yearly licensing agreements.

Neeraj Jain - PeerSpot reviewer
Consultant at a tech consulting company with 10,001+ employees
Real User
2021-08-02T09:15:27Z
02 August 21

The pricing is very high. For enterprise-level organizations this may be okay, however, for smaller companies, it's likely not suitable. What happens is that if small companies implement it, the maintenance cost is very high for this kind of ERP. It's a problem for those companies who want to implement ERP, and they find implementation cost is higher and the license cost is extremely high. The maintenance cost is very high as well.

Mauro  Del Quondam - PeerSpot reviewer
IT Development Director at Lottomatica SpA
Real User
Top 20
2021-06-25T15:13:21Z
25 June 21

When you have a solution that is stable, reliable, and has a high performance as this solution, the price is going to be expensive. However, when you evaluate the service you are paying for the cost is quite reasonable for this solution.

AM
Head of Product Operations Planning at a pharma/biotech company with 1,001-5,000 employees
Real User
Top 20
2021-04-16T06:24:54Z
16 April 21

SAP ERP is expensive.

Usman Saleem - PeerSpot reviewer
Senior Manager IT Business Systems Architect / SAP Project Manager at a consumer goods company with 201-500 employees
Real User
Top 20
2021-03-26T17:25:30Z
26 March 21

The pricing is modular. You are charged according to the business process you want to take advantage of. However, it's a bit better than Oracle. For example, if I am using Oracle's finance and manufacturing modules, I need two licenses, however, in SAP, we only need one license that captures all processes we're using. There are no additional costs beyond the central licensing.

AM
SAP Architect/ Business Analyst BPC, BW , SAC , FI at a educational organization with 10,001+ employees
Real User
Top 5Leaderboard
2020-12-18T09:37:04Z
18 December 20

The licensing costs are slightly on the higher side. They need to make it more competitive.

Nam Doan - PeerSpot reviewer
Java Software Engineer at a tech services company with 10,001+ employees
Real User
Top 5Leaderboard
2020-11-11T23:40:00Z
11 November 20

SAP is more expensive than some of its competitors.

Azzedine Allouache - PeerSpot reviewer
GLOBAL ERP (SHIFT) Logical design and Technical Integration Lead at Sanofi
Real User
Top 20
2020-10-14T06:37:00Z
14 October 20

I would say that the price is competitive. Some components are available at an additional cost, depending on the type of contract that you have.

OP
Azure Cloud Solution Architect(CSA) at a tech services company with 1,001-5,000 employees
Real User
2020-09-23T06:10:02Z
23 September 20

The costs are high in terms of licensing. It will be too expensive for many companies if they are considering using this solution.

FH
SAP Basis Consultant at a energy/utilities company with 1,001-5,000 employees
Real User
Top 20
2020-09-10T07:35:42Z
10 September 20

There are licensing costs.

it_user881271 - PeerSpot reviewer
CIO at Kolektor Group d.o.o.
Real User
2020-07-20T05:36:57Z
20 July 20

The pricing of the solution could be a bit lower. It's on the more expensive side, as far as solutions go.

AM
Solution Application Development Manager at a real estate/law firm with 201-500 employees
Real User
2020-07-08T09:01:00Z
08 July 20

This is a costly product.

Related Questions
OJ
User at Hijazi Ghosheh Group
Feb 08, 2022
Hello community,  I've been looking at the following 2 products: SAP Business One and SAP ERP. What are the limitations of SAP Business One that should make me choose SAP ERP, instead? Thanks for your help!
See 1 answer
Amritanshu NEHRA - PeerSpot reviewer
User at www.acquirosolutions.com
08 February 22
Hi all within SAP there are two products:  SAP Business One and SAP S/4 HANA SAP Business One as per SAP is for Small and Medium Enterprises and SAP S/4 Hana - is for Large enterprises SAP Business One (as per SAP) is an entry-level product with limited functionality like sales, purchase, AR, AP, MRP, Inventory Production and project management and the rest of the functionality is done through customization wherein  SAP S/4 Hana has a full-blown module related to large organization MM (Material Management), FICO (Finance and Costing), PP (Production Planning),  PS Project system and can be customized as per the requirement with large user login. Cost for both systems has a big difference: Business One is approx. starting at $160K for 10 users and SAP S/4 Hana starts at $ 700K for 10 users. Hope that answers the query.
Netanya Carmi - PeerSpot reviewer
Content Manager at PeerSpot (formerly IT Central Station)
Nov 09, 2021
Why?
See 2 answers
James Myers - PeerSpot reviewer
Founder and CEO at FP&A Strategy Consulting
13 October 21
SAP ERP and Anaplan serve different purposes and actually work well together.   Think of SAP ERP focused on the Actuals, while Anaplan models the future. The reason why I’ve seen clients use Anaplan for planning vs. SAP BPC is Anaplan is more flexible and can easily keep up with constant changes in business planning.  While BPC is more of a consolidation tool, with Anaplan you can also have your driver-based models in a system vs. running them offline and only putting the answer into a system.   Therefore, my recommendation is to use both.
Janet Staver - PeerSpot reviewer
Tech Blogger
09 November 21
There are different aspects of both Anaplan and SAP ERP that I like and dislike. Anaplan improves forecast accuracy and drives up the quality of analytics. Rather than spending all of their time consolidating numbers into one space, employees can reshift their focus to deep-diving into the numbers, which is a huge advantage because it frees them up to do more value-added work instead. I also like that Analplan is a collaborative solution - it makes building out forecasts and modeling data much easier than just using Excel because it is in the cloud and is more structured. Anaplan is also very well connected. For example, data from one use case can be used in other models. Moreso, if a change is made to one model, it will be changed in all other models as well. Although Anaplan requires a slight learning curve and some training, initial setup is fairly easy. And for the times where you have technical questions, I have found that support is adequate. However, Anaplan is quite expensive. Nevertheless, I am very impressed with the stability of the solution and its performance. Not only that, but I am impressed by its ability to scale phenomenally. SAP ERP has been recognized as the best solution in the class of ERP products. In addition, it provides excellent visibility into the details of enterprise resource planning. Like Anaplan, it is very scalable. I think one of the best features SAP ERP has to offer is the claim management. One disadvantage is that you cannot easily create customizations. Also, outside of the SAP for RPA it is required for you to use an additional solution on a platform as a service if you want to extend the solutions. Another downside is that the initial setup is not straightforward and can be quite complex, so you have to be prepared to handle that. Conclusion: Overall, I would give Anaplan a 9 out of 10 rating. Anaplan has many more advantages for me than SAP ERP and since both options are very pricey, Anaplan takes the win because I like that it has so much more to offer.
Related Articles
DC
Marketing Manager at MIE Solutions
Mar 01, 2021
Shop floor management with improved capabilities is an important component of the manufacturing industry. This makes it vital for manufacturers to have centralized systems and the best ERP software is the ideal choice in this regard. The main purpose of shop floor management is to increase and sustain the production quality and efficiency. Today’s rising trend of digitization calls for ident...
Gene Hammons - PeerSpot reviewer
Director at ProfitFromERP
Mar 01, 2021
What don't they tell you about ERP? Turns out there's plenty left unsaid. There's actually an 80% marketwide failure rate measured by cost overrun, time to go-live and expected functionality - granted, getting the system up a month later isn't the end of the world, but a 2x budget overrun is no laughing matter.  CIO's have also expressed disappointment in having sufficient budget to finish th...
Gene Hammons, MBA - PeerSpot reviewer
Director at a consultancy with 1-10 employees
Nov 16, 2020
Over the past few months, political coverage reminded me of a Winston Churchill quote – “A lie gets halfway around the world before the truth has a chance to get it’s pants on”. Living in a world of competing politicians and contentious media, there were seemingly plenty of lies for both sides to yelp about. I thanked my lucky stars that in the business of ERP, we don’t deal in lies as the c...
Related Solutions
Related Articles
DC
Marketing Manager at MIE Solutions
Mar 01, 2021
ERP Helps Improve Shop Floor Management & Productivity
Shop floor management with improved capabilities is an important component of the manufacturing...
Gene Hammons - PeerSpot reviewer
Director at ProfitFromERP
Mar 01, 2021
What They Don't Tell You About ERP
What don't they tell you about ERP? Turns out there's plenty left unsaid. There's actually an 80...
Download Free Report
Download our free SAP ERP Report and get advice and tips from experienced pros sharing their opinions. Updated: September 2022.
DOWNLOAD NOW
634,775 professionals have used our research since 2012.