Choosing Between SAP S/4HANA and Oracle Fusion Cloud ERP: A Complete Comparison
Author: Pham Hoang Lac – CEO, S4 Consulting
In the digital transformation journey, SAP S/4HANA and Oracle Fusion Cloud ERP are the two dominant names that every enterprise must consider when implementing a comprehensive ERP system. Both belong to the world’s leading ERP solutions, serving thousands of large enterprises globally. However, their approaches, costs, and implementation philosophies are entirely different.
S4 Consulting – Acumatica & Oracle NetSuite ERP Services in Vietnam
So, which solution should Vietnamese companies choose in 2025 — SAP S/4HANA or Oracle Fusion Cloud ERP?
This article summarizes insights from Third Stage Consulting, one of the world’s top independent ERP advisory firms, to help business leaders gain a clear and objective perspective.
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1. Overview: Two Giants in the Global ERP Market
For over two decades, SAP and Oracle have been the two dominant forces in the ERP world.
SAP S/4HANA is the next-generation version of SAP ECC and R/3, built on the in-memory HANA database, enabling real-time data processing and analytics.
Oracle Fusion Cloud ERP, meanwhile, is the culmination of Oracle’s integration of previous systems such as JD Edwards, PeopleSoft, and E-Business Suite. It has been in development for more than 12 years.
Both target large and multinational corporations, but they take very different approaches.
SAP focuses on process standardization across global operations, while Oracle emphasizes flexibility, configurability, and data-driven intelligence.
2. Different Philosophies: Standardization vs Flexibility
| Criteria | SAP S/4HANA | Oracle Fusion Cloud ERP |
|---|---|---|
| Core Philosophy | Standardized enterprise-wide processes | Flexible, configurable, adaptable |
| Best Fit For | Large, multi-branch or multinational corporations | Decentralized or diverse business models |
| Implementation Complexity | High, requires strict process alignment | Moderate, faster configuration |
| Scalability | Extremely strong with deep vertical modules | Highly flexible and easy to extend |
If your enterprise needs a unified process across finance, production, and logistics, SAP S/4HANA is a strong choice.
If your organization values agility and needs to adapt the system to different subsidiaries or divisions, Oracle Fusion Cloud ERP may be the better fit.
3. Technology Foundation: In-Memory vs Data Intelligence
SAP S/4HANA is built on the HANA in-memory database, providing real-time processing and reducing latency for analytics and reporting. It excels in managing complex supply chain, production, and accounting data.
Oracle Fusion Cloud ERP is based on Oracle Database, long known for its strength in Enterprise Performance Management (EPM), Business Intelligence (BI), and data analytics. The integration of Hyperion gives Oracle Fusion a strong edge in financial planning and performance management.
In summary, SAP leads in real-time operational performance, while Oracle Fusion stands out in analytics, reporting, and data-driven decision-making.
4. Total Cost of Ownership (TCO): Which Costs More?
According to Third Stage Consulting’s 2024 benchmark, the average 5-year total cost of ownership (TCO) between the two systems differs significantly.
| Cost Component | SAP S/4HANA | Oracle Fusion Cloud ERP |
|---|---|---|
| Licensing Cost | Higher, especially with multiple modules | Lower, full SaaS subscription model |
| Implementation Cost | High, requires more consultants, 8–14 months | Moderate, faster configuration, 6–10 months |
| Integration Cost | Higher due to add-ons (Ariba, Concur, SuccessFactors) | Lower, Fusion is a unified platform |
| Maintenance & Operation | Higher, requires internal IT support | Lower, managed fully by Oracle Cloud |
| 5-Year TCO (mid-market) | USD 1.5 – 3 million | USD 1 – 2.2 million |
Overall, SAP S/4HANA has about 20–30% higher TCO than Oracle Fusion, but it offers stronger long-term benefits in process control, standardization, and global scalability.
5. Market Strategy: SAP Rise/Grow vs Oracle NetSuite
SAP has introduced two key programs:
RISE with SAP helps existing ECC or R/3 customers migrate to S/4HANA more easily.
GROW with SAP offers a simplified version of S/4HANA designed for mid-sized companies, shortening deployment time and reducing costs.
Oracle, on the other hand, offers NetSuite to serve the mid-market segment.
Oracle NetSuite is a cloud ERP with a total ownership cost that’s 50–70% lower than Fusion, making it highly suitable for Vietnamese companies with 10–500 users.
For growing mid-sized businesses, NetSuite provides the optimal balance between cost efficiency and enterprise-grade functionality.
6. Change Management
Both SAP and Oracle require a complete reimplementation rather than a simple upgrade. Organizations must rebuild business processes, retrain staff, and manage change carefully to ensure user adoption and operational stability.
SAP S/4HANA tends to be more complex to deploy but delivers a solid foundation for process governance.
Oracle Fusion, on the other hand, provides a more user-friendly interface, flexible configuration, and automatic cloud updates.
7. Which Should Vietnamese Businesses Choose?
The right choice depends on your organization’s operating model and long-term strategy.
If your goal is process standardization across global operations with a strong internal IT capability, SAP S/4HANA is the right investment.
If your goal is faster deployment, flexibility, and lower cost of ownership, Oracle Fusion Cloud ERP is more suitable.
For mid-sized enterprises with limited budgets, Oracle NetSuite offers the most cost-effective path to modern cloud ERP.
8. Perspective from S4 Consulting
At S4 Consulting, we understand that every Vietnamese enterprise has a different level of digital maturity and transformation strategy.
With Acumatica Cloud ERP, we have helped manufacturing, F&B, and construction businesses in Vietnam achieve cost efficiency, financial transparency, and operational standardization.
With Oracle NetSuite, S4 Consulting provides implementation and consulting services tailored for mid-sized enterprises seeking to align with international ERP standards at a reasonable cost.
S4 Consulting – Acumatica Gold Partner in Vietnam, and trusted provider of Oracle NetSuite ERP consulting and implementation services.
Website: www.s4.com.vn
Email: contact@s4.com.vn
Hotline: (+84) 28 7100 2345
Stop the Waste !
Acumatica Cloud ERP: More Modern – Up to 50% Lower Total Cost of Ownership.
