Introduction

The mid-market business has been exceptionally confident in recent years, building some of the most conventional thoughts, new ideas, and product-service offerings. While the business has grown significantly, most mid-market leaders confront a variety of macroeconomic and microeconomic challenges. These challenges include inflation, supply chain disruptions, raw material shortages, skill gaps, and so on, making it extremely difficult for them to sustain growth.

Most businesses see digital transformation of the value chain which can help them save time, increase efficiency, provide a better customer experience, and therefore increase profitability.

Do you believe this will end out great for your business? No, there is something more that can make your business much better than you believe, which we shall explore later in this blog.

According to an Everest Group survey, nine out of ten mid-market businesses are now using or intend to invest in ERP solutions. Growing businesses are looking to invest in technology and ERP systems to optimize internal processes and improve external consumer experiences.

If you are a mid-sized company looking for an ERP solution, then you’ve come to the right place.

What is a mid-market business?

The “mid market” is a group of commercial businesses valued between “$10 million and $1 billion”, comprising approximately “200,000” companies and accounting for around one-third of total private sector GDP. 

What are the SAP ERP Business Solutions?

If you assume that SAP is designed just for large businesses, well, SAP offers ERP solutions for all sizes of organizations. 

SAP offers three types of solutions based on the size of the organization:

• SAP Business One for Small-Sized Organizations
• SAP Business ByDesign for Medium-Sized Organizations 
• SAP Business Suite for large organizations

Where these solutions are completely integrated out of the box, this implies that all fundamental company activities, such as accounting, sales, purchasing, inventory management, and production, are integrated from the start, resulting in much lower costs and faster implementation.

In this blog, we will be mainly focusing on mid-sized businesses, so let’s go into a deep dive into SAP business Bydesign.

Globally, around 80,000 small and midmarket firms use SAP Business ByDesign and SAP Business One. They are incredibly resilient, versatile systems that centralize a company’s main business operations into a single system, allowing for efficiency and real-time data to support rapid, intelligent business choices.

Now let’s know more about SAP Business ByDesign:

SAP Business ByDesign

It is a cloud-based, on-demand business management solution for small and medium organizations. It is a full-featured cloud ERP software solution that enables businesses to leverage the power of large-scale business applications without requiring IT infrastructure.

Why Companies Choose SAP Business ByDesign?

• It is a complete all in one solution ideal for midmarket organizations or fast-developing small businesses.
• We recommend SAP ByDesign for organizations with a more rapid development trajectory and plans to use M&A as part of their growth strategy.
• It is an excellent ERP software solution for wholesale distribution, discrete manufacturing, oil and gas, and professional services.

Let’s get into the specifics of SAP Business ByDesign.

Since its original release in 2007, SAP Business ByDesign has established itself as a reliable, mature ERP solution for fast-growing and medium-sized businesses. With the use of SAP’s new Business Technology Platform (BTP), it is becoming a fundamental offering for firms that are not yet ready for SAP’s flagship S/4HANA ERP system.

Business ByDesign is becoming increasingly popular. As of April, approximately 15,264 businesses in 165 countries were using this for backend services, a 21% growth over the previous year. There are now over 200 software solution partners supporting this, 250 value-added partners, and around 12,220 add-on solutions for the platform.

The options and support for the software will continue to increase in 2025 and beyond, owing to a significant shift that SAP is going to roll out now across its ERP systems.

Meeting the future of SAP BusinessByDesign:

Late last year, SAP announced a significant update that affects Business ByDesign and the other ERP systems it provides: the SAP Business Technology Platform (BTP).

The concept of BTP is a single, unified platform that extends many SAP ERP packages. Instead of having various products and codebases that require integration and periodic upgrades as an organization expands or changes, BTP is a universal software platform that atomizes business software functions and allows them to be integrated into any of SAP’s ERP systems.

According to IDC, a third-party research firm, BTP and the opportunities presented by the new paradigm will increase productivity for Business ByDesign users by 19 percent on average, save businesses $195,000 per 100 system users, and reduce business process errors by 63 percent, among other benefits.

This is a substantial extension for Business ByDesign, since it adds new features to the product while also better connecting it with other SAP services. The BTP release represents the most significant advancement, since its debut.

The Advantage of BTP for SAP BusinessByDesign:

BTP the new software development paradigm provides various advantages to consumers.

1.  Improved agility and faster adaptation

• ByDesign users benefit from BTP’s modular architecture, which allows for quick backend adaptability to new scenarios by picking particular capabilities as needed.
• The new paradigm emphasises global software capabilities, breaking free from ERP instance constraints, and giving users a more adaptable operational framework.
• Its comprehensive platform now includes over 750 modules, and continuing development demonstrates a dedication to growing the available tools and capabilities.
• Continuous development of the platform guarantees that ByDesign users have a growing set of alternatives, encouraging agility and efficiency in response to changing business requirements.

2.  Custom Processes and Self-Development

• BTP provides Business ByDesign users with a drag-and-drop environment, allowing for easy process customization and the quick generation of capabilities while developing flexibility and universality.
• By using BTP, businesses can easily link data, eliminate the need for obsolete bespoke code paradigms, lower maintenance efforts, improve system dependability, and open up possibilities for third-party software integration.
• It simplifies interaction with third-party software, eliminating the need for outmoded bespoke code techniques and providing easy integration without the danger of rapid obsolescence.
• Its versatility allows customers to use essential technologies such as AI and automation, providing potential for company development and operational capability enhancement.

3.  Comprehensive AI and automation system-wide

• BTP’s design is mainly based on artificial intelligence and automation, allowing Business ByDesign customers to incorporate any data source into SAP’s AI engine. 
• Business processes inside BTP can effortlessly include AI components, giving users the flexibility to expand automation in response to changing technology demands.
• Modularity and service model design are essential, allowing businesses to choose to add automation to particular sections of their system rather than making it a default feature for all software functions.
• The versatility of ‘s architecture guarantees that automation can be adjusted to specific company requirements, boosting efficiency and technical developments in parallel with changing demands.

4.  Improved integration and connectivity

• Business ByDesign has become an essential focus for enterprises due to its great integration skills and ability to act as a hub for multiple systems.
• The Business Technology Platform (BTP) improves integration by building the platform around APIs and integration points, enabling unprecedented levels of communication between platform modules and external software solutions.
• BTP is built from the ground up to seamlessly integrate systems and streamline business processes. Its components interact seamlessly, allowing firms adopting Business ByDesign to swiftly build connections and adjust data flows.
• The platform allows organizations to create connections and ensure the seamless flow of data based on their changing needs, providing a dynamic and adaptive approach to information sharing.

I Guess,

You could be thinking about the full cloud-based corporate solution that was mentioned at the beginning of this blog.

Grow With SAP:

With the explicit goal of providing smaller firms with a comprehensive suite of cloud ERP solutions, SAP has developed a new product, GROW with SAP, which includes the SAP S/4HANA Cloud public version for this market.

The solution combines SAP S/4HANA Cloud, public edition, quicker adoption services, pre-configured best practices, embedded AI and automation capabilities, and SAP Business Technology Platform, all with a quick deployment option for this specialized market.

Some of the main highlights of GROW with SAP are:

The system offers many major benefits, including speedy cloud ERP implementation and time to value for mid sized clients, a streamlined review and deployment process, access to case studies and relevant data to assist customers in optimizing rollout plans, and continual automation and innovation. To ensure these major benefits, the system is proposed with various critical aspects, including:

• A ready-to-run cloud ERP solution for small and midsize businesses
• Self-service Acceleration Tools and Services
• Embedded SAP Build portfolio with low-code solutions based on SAP BTP for on-the-go automation
• Ready-to-go, predefined processes

For more on Grow With SAP and how it will drive greater efficiency for your company,

Conclusion

With BTP, a company’s size is now the most important determinant in determining which SAP system it uses.

Small businesses use SAP Business One. SAP Business ByDesign is used by rapidly developing and medium-sized organizations. Large businesses continue to rely on SAP S/4HANA. But now, the modules and functionality they provide are shared by all three of SAP’s ERP packages. Businesses do not have to wait for features to arrive in a particular solution, nor do they have to upgrade for specific capabilities that are only accessible in a bigger SAP solution. 

Looking to know how to grow your business?

Connect with us as we KaarTech has 20+ years of experience in delivering ERP software for 300+ clients worldwide. KaarTech distinguishes itself as a leader who is used to making a difference in your business rather than simply turning up.

 

FAQ’s

Who are mid-market businesses?

The mid-market group includes a wide range of industries and firms that fall between small and big businesses. These organizations usually have particular requirements, such as limited IT resources, financial limits, and a need for streamlined operations.

What are SAP’s solutions for mid-market businesses?

SAP provides a suite of products intended specifically for mid-market businesses. Here are some of the most notable SAP mid-market solutions: SAP Business ByDesign, SAP Business One, S/4HANA, and SAP Success Factors

What benefits do mid-market businesses get from implementing SAP?

Mid-market businesses implementing SAP can reap numerous benefits, including higher accuracy and scalability, increased visibility and standardization, streamlined automation of daily tasks, improved customer service, and more effective decision-making.

Why Choose SAP ERP Over Others?

SAP ERP offers enhanced scalability, shorter implementation time, a user-friendly interface, and high customizability, providing businesses with distinct advantages. It allows seamless adaptation and growth, enables quick deployment for faster benefits, simplifies system navigation for employees, and ensures a personalized and optimized experience.