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Hi folks,

In the run-up to launching SAP Financials OnDemand, I've been getting daily questions on how to position SAP Business ByDesign relative to SAP Financials OnDemand. And, since I am the marketing manager for both products, I thought it might be a good idea to put out a short, and strongly simplified clarification around this.

Please take a look at the following visual, which explains the differences in a such a simplified format.

Simply stated, SAP Business ByDesign is a single application (or a "single app" in today's parlance) that customers can simply configure and use to run their entire business. This is specifically appropriate to the requirements of mid-size businesses, but also applies equally well to subsidiaries or divisions of larger enterprises, who want to buy only one application that does the job.

On the other hand we have our latest member of the Cloud Solutions family, SAP Financials OnDemand which we will fully launch at SAPPHIRE NOW in Madrid. This new solution is specifically designed to make finance organizations more efficient and to accelerate strategic execution. Finance OnDemand  provides a trusted, single source of truth for the enterprise, while at the same time enabling instant action based on superior insight.

But SAP Financials on Demand is more that just a financials solution! It also provides an open and flexible framework that forms the foundation for a loosely-coupled "Best of Suite" approach for enterprises, seeking to mix and match the financial core with best of breed components. With Financials OnDemand, other cloud solutions, starting with SAP Travel OnDemand, simply snap-in using open API's to give customers a maximum of choice for building their own, personal best-of suite.

So, there you have it. SAP Business ByDesign is a single app that runs your entire business. And SAP Financials OnDemand is a cloud solution focussed on making the finance department more strategic.

Is there overlap between the solutions? Yes there is. The overlap cannot be avoided, because SAP Business ByDesign is using the same financial engine, and both products are available to large enterprises. But one can also look at the overlap from a benefits perspective. Both products are from SAP, and inherit 40 years of excellence in building financials solutions. Both solutions are engineered for the cloud, are fully multi-tenant and easily extensible using the same software development kit (SDK).

I hope this short blog helps to clarify the differences and similarities between SAP Financials OnDemand and SAP Business ByDesign. I look forward to your questions and comments.

CHHO, Walldorf, Oct 10, 2012