Two business solutions which are similar yet so different. While SAP is the clear choice for a company looking for end-to-end ERP software for business, Tally is known for its simplicity as Accounting and compliance solutions. But which one is right for your business?
|1. Small Business (turnover less than 10 Cr)
|Tally ERP or Tally Prime
|2. Large Business (turnover more than 200 Cr)
|4. Finance and Compliance
|5. End to End Enterprise Management
However, the selection becomes extremely tough for Medium Sized Business with Turnover between 10cr and 200Cr. We will compare Tally and SAP head-to-head in every aspect. At the end we have a clear winner.
First things First
We have relied on the information provided by the respective software on their official website for features, USPs and capabilities. Also, we have collected information and reviews from third party websites like G2, TrustPilot, Capterra, Software Advice, etc.
First we would tell you exactly what these both software is. You can skip it if you directly want to jump to comparison.
Tally is a widely used business management, accounting and GST compliance software in India. Initially introduced in 1986, Tally is known for its versatility in handling various aspects of business operations, including financial accounting, inventory management, payroll, statutory compliance, and more. It offers features like automatic tax calculation, real-time reporting, bank reconciliation, and easy voucher entry.
Tally is recognized for its user-friendly interface, making it a popular choice among businesses in different industries. The software can be customized to suit specific business requirements and is applicable across sectors such as manufacturing, retail, and trading.
Major Market: India, Middle east, 100+ Countries
Target Segment: Small and Medium Sized Businesses
Deployment: On Premise
SAP, short for “Systemanalyse Programmentwicklung”, is a global leader in business process management software. Founded in 1972 in Germany, SAP has grown into a multinational enterprise The company’s flagship product, SAP S/4HANA, sets the standard for enterprise resource planning (ERP) software, leveraging in-memory computing for data processing and supporting advanced technologies like artificial intelligence and machine learning.
SAP’s integrated applications connect various business functions into an intelligent suite on a digital platform, replacing legacy, process-driven systems. With more than 230 million cloud users and a portfolio of over 100 solutions covering all business functions, SAP caters to businesses of all sizes and industries globally.
Deployment Options: On-premises or Cloud
Target Market: Organizations of all sizes, across diverse industries
USP: Comprehensive solutions for end-to-end business management, integration with emerging technologies, and a vast global presence.
Here is a summary table on which is better in SAP and Tally.
|Tally doesn’t have Inbuilt CRM, HRMS, Product Planning, SCM, etc.
|Sap could handle business of any size
|SAP Has more integration capabilities
|Tally can be implemented in a day
|SAP offers High level customization
|Ease of Use
|Tally is simple and intuitive
|Both have huge learning resources and materials
|Tally has a larger talent pool in India
|Tally starts at Rs 600/user/month
|Reviews and Rating
|Both are highly rate 4.3 and above
|Both have large user bases in their segment
Here is the detailed comparison of Tally and SAP on each parameter.
Here are some of the major functionalities and modules ERPs needs to have.
|Comprehensive accounting and finance management
|Robust Financial Management Module
|Pre-Configured GST Billing, Return Filing
|Custom Configuration for GST Compliance
|Inventory Control ledgers and item wise stocking
|Advanced inventory control and tracking
|Basic payroll features (salary payable)
|Advanced payroll processing
|Income Tax compliance
|In-depth compliance capabilities
|Sales and Purchase
|Easy to use sales and purchase functions
|Advanced sales and purchase modules
|Human Resources (HR)
|Customer Relationship Management (CRM)
|Supply Chain Management (SCM)
Again, we will be comparing Tally Prime vs. SAP Business One, as the flagship SAP 4/HANA is extremely expensive and doesn’t cater to the same segment.
Tally Prime: Tally offers a Silver Rental Plan for its Single User Edition designed for standalone PCs. The cost is budget-friendly, starting at Rs 600/user per month. For those preferring a perpetual license, the expense goes up to a maximum of Rs 54,000.
SAP Business One: SAP provides a customized pricing model, with estimated costs varying. Starting from as low as Rs 8,000/user per month, the expenses could potentially reach up to Rs 40,000/user per month, and there’s no defined upper cap. Besides, there is additional cost of implementation that could cost upto 3 lakh.
Note: There is no information about the pricing of SAP on the official website. The following estimates were based on information provided by the following 3rd party websites.
Here we will be comparing reviews of Sap Business One against Tally Prime as this product of SAP goes head-to-head with Tally in small and medium sized enterprises.
SAP S/4HANA Cloud which is the flagship product of SAP doesn’t go head-to-head with Tally Prime.
|Number of Reviews (SAP)
|Number of Reviews (Tally)
|SAP Business One Reviews From Verified Users – Capterra India
|TallyPrime Reviews 2023 | Capterra
|SAP Business One Reviews 2023: Details, Pricing, & Features | G2
|TallyPrime Reviews 2023: Details, Pricing, & Features | G2
|SAP Business One Software Reviews, Pros and Cons
|TallyPrime Software Reviews, Pros and Cons
|SAP Business One Reviews – Pros & Cons, Ratings & more | GetApp
|TallyPrime Reviews on GetApp
|SAP Business One Pricing, Features, and Reviews in 2023
|TallyPrime Pricing, Features, and Reviews (Dec 2023)
Tally: Tally offers basic customization features like templates, currency settings, taxes, rules, display, etc.
SAP: SAP stands out in customization, allowing customization at a granular level, covering every aspect, rule, and logic. While powerful, this level of customization comes with a higher associated cost.
Tally: Tally provides basic integration capabilities, but its functionality is limited. It operates more as a standalone system.
SAP: SAP excels in integration capabilities, offering comprehensive integration with various third-party systems, tools, and software. It has well-documented APIs, allowing seamless connectivity and data exchange across all systems.
Tally: Tally can be set up and running within a day allowing rapid deployment without extensive technical complexities.
SAP: SAP implementation is highly complex and technical. The process is intricate, involving significant time and resources.
Tally: Tally faces limitations in handling the complex needs of larger enterprises due to its design and features.
SAP: SAP has a flexible architecture to make it suitable for seamless growth, adapting to the increasing complexities of business processes.
Tally: Tally designed for simplicity. It can be used with very little knowledge of accounting and doesn’t require extensive training.
SAP: SAP demands extensive training and skilled personnel to navigate effectively. The learning curve is steep, and using SAP proficiently usually requires years of experience.
Both Tally and SAP boast a wealth of resources, including self-developed and third-party tutorials, documentation, and support materials.
Tally: Tally enjoys widespread popularity in India and is even embedded in Chartered Accountancy (CA) training. Additionally, numerous training institutes offer Tally courses, making it easier to find employees in India.
SAP: Given its predominant usage of SAP in large enterprises, the pool of trained professionals is smaller. SAP requires hands-on training, and professionals often command higher salaries.
Honestly – SAP is better but extremely expensive. Tally is not an ERP, it’s accounting software with GST compliance and inventory management capabilities.
SAP is not a wise choice if you don’t have extra cash to burn. The cost is humongous, and any Indian medium sized Company would find it difficult to implement SAP.
While you are looking for the better ERP, HB Cloud 360 is an ERP that is specially designed to bridge the gap and serve medium sized enterprises.
HB Cloud 360 ERP has covered all the shortcomings of Tally while still being affordable to medium sized businesses.
Tally or SAP – Which is Best?
Tally is popular for small to medium-sized enterprises, while SAP is preferred by larger organizations for its comprehensive features. For medium-sized enterprises you can go with HostBooks Cloud 360.
Is Tally Still in Demand?
Yes, Tally remains in demand, particularly in countries like India, where it is widely used for accounting, GST compliance, and business management. It is a preferred choice for many SMEs due to its user-friendly interface and cost-effectiveness.
Full Form of SAP in Tally?
SAP in Tally does not have a specific full form. SAP is a standalone enterprise resource planning (ERP) software. Tally and SAP are distinct software solutions with different functionalities.
Do Companies Still Use Tally?
Yes, many companies, especially in India and other countries, continue to use Tally for their accounting, financial, and business management needs. It is a prevalent choice among SMEs due to its simplicity and affordability.
Is Tally Used in the USA?
While Tally is not as widespread in the USA as in some other regions, it can still be used for accounting purposes. However, many American companies prefer ERP solutions like SAP, HostBooks or QuickBooks for their business needs.
Is Tally Used in Dubai?
Yes, Tally is used in Dubai and other parts of the UAE. It is popular accounting and business management software, especially among small and medium-sized businesses.
Create a free account to get access and start
creating something amazing right now!