SAP has rolled out the latest version of its enterprise resource planning software, and says it has added new modules for finance and logistics businesses.
The company says “SAP S/4 Hana 1610” is part of its “mission to reinvent ERP for the digital age”, and is the “new go-to release for all companies in all industries embarking on their digital transformation”.
The ERP application sports a new user interface called Fiori 2.0, and is built on the SAP Hana platform, the database server application to store and retrieve data, which has also been upgraded.
SAP says its new ERP solution has the power to significantly accelerate the transactional and analytics performance and “radically reduce” an organization’s data footprint.
The company adds that as a system of intelligence, SAP S/4 Hana offers decision-making support, simulation, pattern recognition, and prediction capabilities to help organizations transform from the reactive to the proactive.
So what’s SAP?
SAP claims to have 50,000 customers for its ERP solution, and according to at least one survey, this makes it the market leader.
This pie chart, created using data from AppsRunTheWorld.com, would suggest that SAP does indeed have the largest share of ERP software market.
As can be seen from the data, the market for ERP software is highly fragmented or diverse – there’s a lot of companies operating in the space.
And whereas SAP has mostly made its money from ERP software which is usually installed on site, or on-premise ERP, there is a growing trend towards cloud-based ERP, creating opportunities for relatively new companies such as Acumatica, Netsuite, and Intacct.
According to a survey by Panorama Consulting, around 85 per cent of ERP software was run on-premise in 2014, with cloud ERP making up 11 per cent, and ERP software-as-a-service accounting for 4 per cent.
Less than 20 per cent of SAP’s ERP customers are said to be cloud-based.