1. What is SAP Business One (SAP B1)?
SAP Business One (SAP B1), was originally developed in the 1990s by a software company called TopManage. In 2002, SAP acquired TopManage and officially added the solution to its global product portfolio.
SAP B1 is an ERP system designed for small businesses with limited budgets that need a solution that is easy to deploy, simple to use, and capable of covering essential business functions such as accounting, purchasing, sales, inventory, and production. The system runs on two platforms: Microsoft SQL and SAP HANA (in-memory). It also allows integration with satellite applications when customization is needed.
As of 2023, SAP Business One is used by more than 65,000 businesses in over 170 countries, serving over 950,000 users worldwide.
“SAP B1 was a hero in its time — about 15 to 20 years ago, when it dominated the small and medium-sized business segment” said Mr. Tran Tinh Minh Triet, Solutions Director of SAP Vietnam, at the seminar “The Next Era of ERP.”
-1.jpg "SAP Business One Interface – Intuitive and Easy to Use")
SAP Business One Interface – Intuitive and Easy to Use
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SAP Vietnam’s perspective on SAP B1 (SAP Business One)
SAP B1 (SAP Business One) has consistently delivered value for small and medium-sized enterprises (SMEs), offering stability and effective operational management. For businesses that continue using SAP B1, the system remains reliable—continuing to capture data and generate reports as expected.
However, in a rapidly changing business environment—or as companies scale up—businesses increasingly need a system that is more flexible, quickly adaptable, and ready to support critical transformations. This is exactly why SAP S/4HANA Public Cloud (SAP Cloud ERP) was introduced.
Learn more about what SAP S/4HANA Public Cloud is.
2. What is SAP Cloud ERP? (Also known as SAP S/4HANA Public Cloud)
SAP Cloud ERP is the latest name introduced by SAP in May 2025, replacing the former name GROW with SAP. This solution suite is built on SAP S/4HANA Public Cloud, integrating artificial intelligence (AI) and drawing on 50 years of SAP’s industry best practices.
With its rapid deployment, flexibility, affordable licensing and implementation costs, and quick time-to-value, SAP Cloud ERP (SAP S/4HANA Public Cloud) is considered a breakthrough that challenges the long-standing perception of SAP as a complex, time-consuming system suitable only for large enterprises.
SAP S/4HANA Public Cloud – The comprehensive SAP ERP Cloud platform in the new era of governance
With its rapid deployment, flexibility, affordable licensing and implementation costs, and quick time-to-value, SAP Cloud ERP (SAP S/4HANA Public Cloud) is considered a breakthrough that challenges the long-standing perception of SAP as a complex, time-consuming system suitable only for large enterprises.
The SAP S/4HANA Public Cloud solution is built on an architecture consisting of three core layers: Application, Data, and AI – which are fundamental components in any enterprise ERP system.
The Application layer includes a comprehensive set of best-practice solutions for over 24 industries, ready for immediate deployment. The Data layer, powered by Business Data Cloud, connects and standardizes both internal and external data sources, creating a unified data foundation for the enterprise.The AI layer features SAP Business AI, which is directly embedded into ERP processes to enable automation. Additionally, Generative AI (Joule) represents a revolutionary shift in how users interact with the ERP system.
3. In-Depth Comparison of SAP B1 vs SAP Cloud ERP Across 15 Practical Dimensions
To provide a clearer overview of SAP’s two ERP solutions, the following table compares SAP B1 and SAP S/4HANA Public Cloud (SAP Cloud ERP) across 15 practical dimensions:
What is the difference between SAP B1 and SAP S/4HANA Public Cloud (SAP Cloud ERP)?
| No |
Aspect |
SAP Business One (SAP B1) |
SAP Cloud ERP (S/4HANA Cloud) |
| 1 |
Business Objects |
Small business < 100 employees |
Medium & growing businesses (100–500+ employees), with a fast growth orientation |
| 2 |
Architecture |
On-prem/cloud hosting, running SQL Server or HANA |
Cloud-native, running on SAP BTP and HANA database |
| 3 |
Implementation |
Depending on the site, separate configuration is required |
SaaS – fast deployment, best practices available |
| 4 |
System Update |
Handcrafted, project-based |
Automatic 2 times/year, no downtime |
| 5 |
AI & Machine Learning |
Not built-in, need external solution |
AI/ML (Joule), predictive analytics, realtime available |
| 6 |
Best practices |
Low level of standardization, requires a lot of customization |
Available by industry scope items
|
| 7 |
ERP subsystem |
Basic: finance, sales, purchasing, simple manufacturing |
Full: FI, CO, MM, SD, PP, EWM, TM, Project, Treasury... |
| 8 |
SAP ecosystem integration |
Yes, but limited, highly customizable and difficult to extend |
Native with Ariba, Concur, SuccessFactors, SAP BTP |
| 9 |
Customization and extensibility |
SDK/add-ons, may affect updates, deep customization may affect system upgrades |
SAP BTP, Fiori apps, side-by-side extension, no core impact |
| 10 |
Security & authorization |
Infrastructure dependent; manual authorization |
ISO 27001, GDPR; centralized management, role-based |
| 11 |
Cost |
Low initially, but increases during maintenance and upgrade |
Predictable, clear costs per user/month package |
| 12 |
Ability to scale the business |
Within small business |
Good, for medium to large businesses, can expand globally |
| 13 |
Development Roadmap |
Maintaining but slower, mainly oriented towards SMEs |
Continuously integrate new technologies from SAP: AI, Sustainability, ESG... |
| 14 |
SAP's Strategic Direction |
Maintain as a stable solution for small businesses |
SAP is investing heavily in SAP Cloud ERP as a strategic platform for the future |
| 15 |
Integration |
Integrated but limited and less scalable |
Native integration - native integration with SAP and non-SAP solutions (via API, iRPA...) |
4. Key Questions to Help Business Leaders Choose the Right ERP Solution
There are many ERP solutions available on the market today, such as SAP S/4HANA Public Cloud (SAP Cloud ERP), SAP S/4HANA Private Cloud, SAP Business One (SAP B1), Microsoft Dynamics 365, Oracle Cloud ERP, Oracle Fusion Cloud ERP, Odoo, Infor, and others. To help businesses determine which solution is the best fit, the following set of questions is designed to clarify key priorities across three main dimensions:
4.1 Dimension: Driving Growth and Sustainability - Accelerate growth
How easily can the ERP system adapt to new business processes or scaling needs?
- Does the ERP system offer a side-by-side extensibility platform to support industry-specific or custom business processes when needed?
- Can the system be easily integrated and customized, and will these changes create barriers during future upgrades?
- Will customizations or extensions impact the core ERP system?
- Is the system resistant to change, making adaptations or process updates difficult?
Can the ERP system apply Best Practices according to industry specifics?
- Does the system come with preconfigured, industry-standard processes — such as ERP for manufacturing, plastics, agri-food, or pharmaceuticals?
- Does the system minimize customization to help reduce implementation costs and risks?
Key Questions to Ask When Evaluating an ERP Solution for Its Growth-Enablement Potential
Is the ERP system continuously updated with the latest enhancements and innovations?
- No manual maintenance or re-deployment required after each upgrade
- Continuously delivers new technology enhancements and up-to-date management practices
Does the ERP system support business expansion into new markets?
- Evaluate whether the system is ready for globalization
- Can it support multiple countries, languages, accounting standards, and local regulatory requirements?
4.2 Dimension: Simplify Work
Does the system support real-time data access?
- Real-time data enables businesses to identify operational bottlenecks and areas that need optimization
Does the ERP system integrate the latest AI technologies?
- AI is directly embedded into business processes to automate task execution
- The system also enables natural language interaction through Generative AI
Does the ERP solution provide better support for planning and analysis?
- Directly connects internal and external data sources to enhance planning and analytics
- Automates planning and analysis based on specific business contexts
Key Questions to Ask When Evaluating an ERP Solution for Work Simplification Dimension
4.3 Securing ERP Implementation Success Dimension
How long does it take to implement the ERP system?
- What is the implementation approach?
- Does the solution follow a ready-to-use Fit-to-Standard model, or does it require custom design from the ground up?
How much customization does the ERP system require?
- Does the solution support industry-specific processes?
- Does it offer a side-by-side extensibility platform to handle unique business needs while maintaining a clean core?
What are the implementation costs and annual licensing fees of the ERP system?
- What is the licensing model: one-time payment (on-premise) or subscription-based per user (SaaS)?
- Do annual maintenance costs cover licensing, support, and system updates?
Key Questions to Ask When Evaluating an ERP Solution for Implementation Success Dimension
5. Key Questions for SAP B1 Users Considering a Move to SAP S/4HANA Public Cloud
5.1 When is the right time for a business to move from SAP B1 to SAP Cloud ERP?
Businesses should consider upgrading and transitioning when their existing ERP system shows signs of stagnation, accumulates technical debt, and becomes difficult to upgrade or scale. Over time, such systems may turn into obstacles, failing to support evolving business priorities and operational demands.
In many cases, companies also proactively plan their ERP transformation as part of long-term strategies—such as preparing for IPO through system transparency or expanding into international markets through export-readiness.
Expert Insights: How SAP Cloud ERP Benefits Export-Oriented Businesses
5.2 What are the challenges and advantages of transitioning from SAP B1 to SAP Cloud ERP?
The transition from SAP B1 to SAP S/4HANA Public Cloud (SAP Cloud ERP) offers several advantages thanks to the familiar SAP ecosystem, including its data foundation, process mindset, and governance structure. The two systems share similar management logic—especially in terms of master data and process structure—making it easier for users to adapt and transition smoothly.
.jpg "Chuyển đổi lên SAP Cloud ERP – Một lộ trình, nhiều giá trị bền vững")
Moving to SAP Cloud ERP – One Journey, Many Lasting Values
A key challenge lies in the fact that some businesses have previously implemented deep customizations on SAP B1 (deployed on-premise). This makes maintaining a clean core during the transition to SAP Cloud ERP more complex and requires careful planning. To ensure a smooth and stable migration, it is essential to engage with an experienced partner—one that has successfully guided businesses through the transition from SAP B1 to S/4HANA. During the Discover phase, they can help define a structured and tailored roadmap for the journey ahead.
Read more: Digiworld completes digital transformation after 13 years of applying SAP ERP
5.3 Is the cost of migrating from SAP B1 to SAP Cloud ERP high?
In terms of licensing and implementation costs, SAP Cloud ERP is not significantly more expensive than the total cost of running SAP B1. However, the true difference lies in the “invisible return”: businesses that have already implemented SAP B1 can transition to SAP S/4HANA Public Cloud more quickly, thanks to their familiarity with SAP processes. This results in significant time savings and accelerated value realization.
SAP Cloud ERP is built on a Fit-to-Standard model with preconfigured industry-specific processes, which allows deployment timelines to be measured in weeks rather than months.
5.4 Quick-Win Factors for a Fast and Effective Transition to SAP Cloud ERP
The quick-win factor lies in leveraging the success stories of businesses that have previously implemented SAP—and distilling those experiences into a proven implementation methodology. To achieve this, it is essential to work with a highly experienced implementation partner. Both the business and the partner must clearly define the core business challenge, focus on resolving the most critical operational bottlenecks, and maintain a clean core—avoiding the temptation to pursue non-essential customizations too early in the process.
With SAP S/4HANA Public Cloud, Citek has taken the lead in building a dedicated team aligned with SAP Global standards. This strategic approach has positioned Citek as the first company in Vietnam to consistently deliver successful SAP Cloud ERP projects across a wide range of industries: Manufacturing, Plastics & Packaging, Pharmaceuticals, Chemicals, Food & Beverage, FMCG, Trading, and Real Estate. Notable projects implemented by Citek include: Sa Giang, TNG Food (a member of Vinh Hoan Corp.), Tan Tuong Khang, B2B Sen Vang, and Win Brothers Group (FDI).
.jpg "Citek với đội ngũ chuyên gia dày dặn kinh nghiệm triển khai thành công nhiều dự án chuyển đổi số tổng thể quản trị doanh nghiệp")
Following the successful SAP Cloud ERP project at TNG, Vinh Hoan Group selected Citek as the implementation partner for its subsidiary, Sa Giang.
Through its outstanding contributions, Citek has been recognized by SAP as the top consulting and implementation partner for SAP S/4HANA Public Cloud.This recognition affirms Citek’s position as a leading strategic partner in driving the adoption of SAP Cloud ERP (SAP S/4HANA Public Cloud)—also known as GROW with SAP—and supporting the digital transformation of businesses across Vietnam and the broader Southeast Asian region.
6. Summary
Migrating from SAP B1 (SAP Business One) to SAP S/4HANA Public Cloud (SAP Cloud ERP) is increasingly seen as a natural evolution in the new era of ERP. Today, businesses of all sizes can adopt SAP S/4HANA in as little as 12 weeks, with reasonable costs, built-in AI, a flexible BTP platform, and industry-specific implementation methodologies—empowering fast, efficient, and sustainable operations.
Citek is ready to support your transformation journey—from current-state assessment and expert consulting to full implementation of GROW with SAP and smart management solutions—laying a solid foundation for long-term, sustainable business growth.