NetSuite vs SAP: Enterprise ERP Comparison

14 min read

Choosing between NetSuite and SAP is one of the most consequential technology decisions a growing company makes. Get it wrong and you're looking at years of pain and millions in switching costs.

The Fundamental Difference

NetSuite is cloud-native, designed for mid-market companies, and emphasizes ease of implementation. SAP is enterprise-grade, infinitely customizable, and built for complex global operations.

Neither is "better." They're built for different problems.

When NetSuite Wins

Companies between $10M-$500M in revenue. Straightforward operations without heavy manufacturing. Teams that want to move fast. Organizations without dedicated IT departments. US-centric businesses.

When SAP Wins

Global operations with complex compliance requirements. Heavy manufacturing with intricate supply chains. Companies over $500M that need unlimited customization. Organizations with technical teams to manage the system.

Implementation Reality

NetSuite: 3-6 months typical, $50K-$200K implementation cost. SAP: 12-24 months typical, $500K-$5M+ implementation cost. These ranges are wide because scope varies enormously.

The Hidden Costs

Both platforms have costs beyond licensing. NetSuite's customization capabilities are limited, so complex requirements drive SuiteScript development costs. SAP's flexibility means you can build anything, but "can" often becomes "must" as requirements expand.