SAP Public vs. SAP Private Cloud: The right cloud ERP strategy for your company

Companies today face the challenge of digitizing their business processes in order to remain competitive. A modern ERP solution in the cloud can help to optimize business processes, reduce costs and achieve greater agility. However, not every cloud ERP solution is suitable for every company. With GROW in the SAP Public Cloud and RISE in the SAP Private Cloud, SAP offers two different approaches that are specifically tailored to different company sizes and requirements.

Why in the cloud?

Today, digital transformation is a decisive factor for a company's success. Cloud technologies offer numerous advantages that help companies to remain competitive and make their business processes more efficient. But what does switching to the cloud actually mean? Companies can relieve the burden on their IT infrastructure, reduce operating costs and focus on their core business instead of investing in complex IT systems.

Cloud solutions also enable seamless scalability: companies can react quickly to changing market conditions, integrate new functions and flexibly adapt their business. Especially in a globalized market environment, it is essential to remain agile and innovative. In addition, cloud ERP systems always offer the latest technological developments thanks to regular updates and guarantee the highest security standards.

With GROW in the SAP Public Cloud and RISE in the SAP Private Cloud, SAP has developed two different models to support companies in their transition to the cloud. While the public cloud focuses on standardized processes for SMEs, the private cloud offers a tailored, transformative solution for larger companies with complex requirements.

SAP Public vs. SAP Private Cloud - What are the differences?

Public vs. private cloud - which solution for which target group?

For CEOs: Which solution fits your growth strategy?

Criterion	SAP Public Cloud	SAP Private Cloud
Target group	SMES	Medium-sized & large companies
Cloud model	Public Cloud	Private cloud
Flexibility	Standardized	Tailor-made
Implementation	Fast, a few weeks	Individual, longer duration
Cost structure	Standardized subscription prices	Individually negotiable
Growth & scaling	Scalable, but standardized	Highly scalable & individual, with best practices as orientation

For CFOs: focus on financial control & efficiency

Criterion	SAP Public Cloud	SAP Private Cloud
Cost efficiency	Up to 20 % lower overall IT costs	Up to 20 % lower IT operating costs
Transparency	Real-time insight into financial processes	Detailed analyses & reporting
Scalability	Company growth supported	Flexible integration of new locations
Compliance & risk	Standardized processes	Customized compliance solutions for specific industry and country requirements

For managers:in production: processes under control - focus on efficiency

Criterion	SAP Public Cloud	SAP Private Cloud
Production planning	Standardized planning processes ensure rapid implementation	Customized detailed planning for complex production requirements
Time-to-value	Fast go-live - ready for use in just a few weeks	Longer implementation time, but individually tailored to your production processes
Resource utilization	Optimized machine utilization and material planning	Extended analysis and optimization functions through deeper integration
Process stability	Proven best practices for consistent processes	Flexible adaptation to changing production conditions
Production data in real time	Transparency from the raw material to the finished product	Detailed monitoring & individual evaluations for process optimization

For managers:in logistics: increasing transparency - mastering supply chains

Criterion	SAP Public Cloud	SAP Private Cloud
Supply chain transparency	Real-time overview of stock, orders and delivery status	End-to-end transparency of inventories, freight costs & material flows
Planning & control	Integrated requirements planning and standardized processes for warehouse & shipping	Automated scheduling & transport control with early warning systems to avoid bottlenecks
Scalability & partner connection	Simple connection of new suppliers & logistics partners via standard interfaces	Flexible integration of new locations, carriers or service providers - globally scalable
Inventory management	More precise inventory management reduces excess stock & shortages	Real-time data enables proactive control & avoidance of bottlenecks
Sustainability & ESG	Fewer empty runs & optimized warehousing through data-based decisions	Integrated emissions analyses & resource-conserving management - ESG capability included