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What is SAP Software

SAP is a German software company known for building software solutions for businesses. It is best known for its Enterprise Resource Planning software that helps organizations of different sizes track and automate business processes with a suite of integrated software applications.

SAP software was founded in 1972 by five IBM employees who left the company when the project they were working on was no longer the focus of their employer. By 1973, they already had their first commercial product which was an ERP software.

Today, SAP software is a leader in ERP software, boasting of over 437,000 customers in over 180 countries.

What Does SAP stand for?

SAP stands for Systems Applications and Products in Data Processing. Of course, being a German software company, the acronym is a translation of the German meaning Systeme, Anwendungen und Produkte in der Datenverarbeitung.

Acronyms are very common in SAP. We have already seen SAP and ERP, but there are tons of others. It you use SAP on a regular bases or you are just being introduced to SAP software for the first time, it might be a good idea to know a couple of these acronyms. Here is a helpful guide with an SAP acronyms list.

SAP Software Solutions

SAP is not one software. The company makes a lot of business software, you just have to pick the one your business needs. Even for a given solution, the company offers different software options depending on your needs.

Some of the most popular SAP software solutions include ERP, CRM (acronym for Customer Relationship Management), Supplier and Procurement management, Supply Chain Management, HR (acronym for Human Resources), and Analytics.

SAP also offer solutions that can integrate emerging technologies like IoT (acronym for Internet of Things), Machine learning, and Blockchain.

Now, let’s take a look at some their software products:

SAP S/4HANA (ERP for Large Businesses)

SAP S/4HANA is an ERP solution for large businesses. It was first released in 2015 as a successor to the SAP R/3 and SAP ERP. A version with cloud support, the SAP S/4HANA Cloud was released in March 2016.

The difference between the two versions is that while SAP S/4HANA is deployed on premises, the SAP S/4HANA Cloud can be deployed in the cloud or on premises. SAP S/4HANA Cloud also supports a hybrid approach that allows for deployment both on premises and in the cloud allowing for easier and faster integration between headquarters and branch offices.

SAP Business One

SAP Business One is an ERP solution for small businesses, though it will also work for medium sized businesses. The solution can be deployed on premises or in the cloud and is designed to help small businesses streamline their processes for a more efficient operation.

The software enables you automate critical business processes and comes with CRM software integrated.

SAP Business One will also help you with financial management, Sales, Inventory management, and Procurement. The Software will also provide business intelligence through accurate and in-depth reporting and analytics that will help in sound decision making.

SAP Business ByDesign

If you are running a small or medium sized business, the SAP Business ByDesign is an ERP solution for you. It is a cloud based ERP solution that integrates financial management, CRM, project management, human resources, supply chain management, and procurement.

SAP Business ByDesign also offers industry-specific functionality to enable you adapt the software-suite to your specific needs, whether manufacturing, professional services, wholesale distribution, or public sector.

SAP Business ByDesign also has localization capability that enables you adapt it to your country. You can even run multiple companies in different countries in one system without creating confusion.


SAP C/4HANA is a CRM solution for businesses. The aim of this software suite is to help you offer the best possible experience to your customers. The CRM software will help you ensure your businesses offers the same experience to customers across all departments.

SAP C/4HANA is an integration of five cloud based solutions to enable you manage all aspect of customer relationship from the point of their first encounter with your business to onboarding to after sales and beyond.

SAP Fieldglass

SAP Fieldglass is a cloud based software solution that helps companies with the management of external workforce like vendors and independent contractors. It is also called a vendor management software and easily integrate with other SAP cloud solutions.

SAP Ariba

SAP Ariba is a cloud based software solution that offers capabilities for improving business processes for more efficient procurement, cost management, and supply chain management.

SAP Integrated Business Planning

This is a cloud based solution for supply chain planning. It will help with demand forecasting and inventory management. Using artificial intelligence and predictive analytics, this supply chain management software will help you with demand and supply planning.

SAP SuccessFactors Employee Central

This is a cloud based Human Resource Information System (HRIS). The software helps you manage your workforce. You can automate all core HR processes including tracking of time and absences.