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The mid-size market has been very upbeat over the last few years, being the seedbed of some of the most offbeat innovations, out of the box ideas and product-service offerings. While the market has been brewing up fast, most mid-market leaders struggle with several macro and micro economic challenges like inflation, supply chain disruptions, raw material shortages, skill gaps etc. - making it extremely challenging for them to sustain growth.

One of the key growth strategies highlighted by most analyst houses for mid-sized companies is digital transformation of the value chain from production to sales that can help save time, improve efficiencies, boost customer experience and thereby profitability. Growth focused cloud enterprise resource planning (ERP) solutions thus emerge as the next-generational solution for mid-sized companies.

According to a recent survey, 9 out of 10 mid-market companies are either already using or planning to invest in ERP solutions. Thriving businesses undoubtedly need to invest in technology and ERP solutions to optimize their operations internally and deliver better experiences to consumers externally.

SAP’s GROW with SAP offering….

With a clear objective of empowering the smaller players with a full suite of cloud ERP solution, SAP has launched a new offering GROW with SAP, bringing the SAP S/4HANA Cloud, public edition for this market.

The solution brings together SAP S/4HANA Cloud, public edition, faster adoption services, pre-configured best practices, embedded AI and automation competences and SAP Business Technology Platform – with a quick deployment option for this niche market.

Some of the key highlights of GROW with SAP include:

The solution promises some key advantages like - rapid cloud ERP deployment and time to value for midsized customers, simplified evaluation and deployment process, access to case studies and related data that can help customers have optimized rollout plans, and continuous automation and innovation. To ensure these key benefits, the solution is put forward with some critical features that include:

  • Ready-to-run cloud ERP solution for small and midsize companies

  • Self-service acceleration tools and services

  • Embedded SAP Build portfolio that includes low-code solutions built on SAP BTP for on-the-go automation

  • Ready-to-go preconfigured processes

GROW with SAP vs. RISE with SAP……

While GROW with SAP has primarily been modelled on the lines of RISE for a parallel mid-market, there are some specific differentiators to enable the product-fit for this market.

RISE with SAP has primarily launched as a bundled offering for larger and upper-mid market (with majority of its customers with annual revenues less than USD 5 Bn), GROW with SAP is more focused on small and mid-sized clients who may or may not be existing SAP customers. For SAP, this means dealing with customers whose annual revenues are below USD 1 Bn, a market where SAP has traditionally not performed well.

Further, a big distinction between GROW with SAP and RISE with SAP is that GROW focuses only on SAP S/4HANA Cloud, public edition, the multi-tenant version of SAP S/4HANA Cloud where infrastructure and software are shared with other customers, and the solution is hosted and operated directly by SAP. RISE with SAP on the contrary offers SAP S/4HANA Cloud, public edition as well as private edition.

GROW with SAP additionally provides access to SAP Community, SAP Learning site – enabling the small, mid-market players - seamless engagement and learning in a collaborative, open community of SAP experts, partners, and customers.

What Lies Ahead….

With the introduction of GROW aimed at mid-size businesses, SAP surely differentiates itself from other SaaS vendors like Oracle, Salesforce - with an offering that radically simplifies buying, deploying, and optimizing enterprise apps in the cloud for a new genre.

While solutions like Oracle NetSuite, Workday Enterprise Management Cloud have been in the market for long, SAP’s GROW is positioned to provide targeted cloud ERP offering for the niche small and mid-market players with a clear roadmap, predictable pricing, and rapid time to value with just four to six weeks of implementation timeline!

Further, considering that RISE has been doing well for SAP since its launch two years ago and has been incremental in driving SAP’s overall cloud revenue, its recent move to launch GROW, as a counterpart to RISE, to tap-in the parallel mid-market demand, could be just the tipping point of the next wave of growth for the company.

Additionally, for SAP’s thriving partner ecosystem, this could be an opportunity to unleash a new market of implementation services for mid-size businesses which are eager to move to cloud but had been waiting for a clear blueprint! Implementation partners like Infosys are already collaborating with SAP’s RISE with SAP program to provide ERP-as-a-service offering and enable clients accelerate their digital transformations.

With promising times ahead, this market will surely be an interesting watch.

Please feel free to share your feedback or thoughts in the comments section below. You can also follow the SAP RISE community for more info. Kindly follow my profile for more blogs and articles. Thanks.