Choosing Your Manufacturing ERP
SAP Business One, MYOB Exo, and Pronto are the three dominant ERP systems for Australian manufacturers and distributors in the $5M-$100M revenue range. Each serves different business profiles and priorities.
Quick summary: MYOB Exo wins on cost and speed for light manufacturing. Pronto dominates wholesale distribution. SAP Business One provides the most comprehensive capabilities for complex manufacturing and long-term scalability.
Feature-by-Feature Comparison
| Feature | SAP Business One | MYOB Exo | Pronto | Winner | Notes |
|---|---|---|---|---|---|
| Monthly Cost (per user) | $80-$150/user | $100-$200/user | $120-$180/user | SAP | SAP lowest per-user cost but requires more users typically |
| Implementation Cost | $80K-$250K | $40K-$120K | $50K-$150K | MYOB Exo | MYOB Exo fastest and cheapest to implement |
| Manufacturing Capability | Advanced (routing, MRP, shop floor) | Good (BOM, work orders, job costing) | Medium (basic manufacturing) | SAP | SAP strongest for complex manufacturing |
| Warehouse Management | Advanced (bins, zones, pick/pack) | Basic (multi-location, transfers) | Excellent (purpose-built for distribution) | Pronto | Pronto market leader for Australian distribution |
| Australian Payroll | Via add-on/integration | Built-in (STP, super, awards) | Built-in (comprehensive) | MYOB Exo | MYOB Exo most seamless Australian payroll |
| Financial Management | Comprehensive global standard | Strong AU-focused financials | Good financials, distribution-focused | SAP | SAP most sophisticated financial capabilities |
| Inventory Tracking | Serial/batch, quality management, MRP | Serial/batch, basic MRP | Serial/batch, consignment, landed cost | SAP | SAP most comprehensive inventory control |
| Multi-Currency | Excellent global multi-currency | Good multi-currency | Good multi-currency | SAP | SAP best for international operations |
| Reporting & BI | Crystal Reports, advanced analytics | Standard reports, custom via dev | Good standard reports, customization | SAP | SAP most powerful reporting capabilities |
| Ease of Use | Complex, requires significant training | Dated but familiar for MYOB users | Powerful but steep learning curve | MYOB Exo | MYOB Exo easiest for Australian staff |
| Scalability | Excellent to $200M+ | Good to $100M | Good to $150M | SAP | SAP longest growth runway |
| Implementation Time | 6-12 months | 3-5 months | 4-6 months | MYOB Exo | MYOB Exo fastest to go live |
Which System Suits Your Business?
Light Manufacturing ($5M-$20M)
Key requirements: BOM tracking, work orders, job costing, Australian payroll
Complex Manufacturing ($20M-$100M)
Key requirements: Multi-stage production, material planning, production scheduling
Wholesale Distribution ($10M-$100M)
Key requirements: Advanced warehouse, customer pricing, landed costing, consignment
Manufacturing + Distribution ($15M-$50M)
Key requirements: Balanced manufacturing and warehouse capabilities
International Operations
Key requirements: Multi-country, inter-company, currency management
Rapid Growth ($10M to $50M in 3-5 years)
Key requirements: Long-term scalability, advanced capabilities you will grow into
Strengths & Limitations
SAP Business One
Strengths
- Most comprehensive manufacturing capabilities (routing, MRP, quality)
- Excellent scalability to $200M+ revenue
- Strong global multi-currency and international operations
- Advanced reporting and business intelligence
- Largest implementation partner network globally
- Best-in-class inventory management and warehouse control
- Strong long-term investment (avoid second ERP replacement)
- Comprehensive financial management and controls
Limitations
- Highest implementation cost ($80K-$250K)
- Longest implementation timeline (6-12 months)
- Complex system requiring extensive training
- Requires dedicated system administrator
- Australian payroll often requires third-party add-on
- Ongoing support costs highest ($30K-$80K/year)
- Overkill for simple manufacturing or distribution under $20M
MYOB Exo
Strengths
- Fastest implementation (3-5 months)
- Lowest total cost for $5M-$30M businesses
- Best Australian payroll integration (STP, super, awards)
- Familiar interface for MYOB users
- Good manufacturing capabilities for light-medium production
- Strong Australian partner network
- Adequate for most manufacturers under $50M revenue
- Lower ongoing support costs
Limitations
- Dated interface compared to modern cloud ERPs
- Less sophisticated than SAP for complex manufacturing
- Limited scalability beyond $100M revenue
- Weaker warehouse management vs Pronto
- Custom reporting often requires developer
- Manufacturing capabilities lag SAP for advanced needs
Pronto
Strengths
- Purpose-built for Australian wholesale distribution
- Excellent warehouse management (best-in-class)
- Strong multi-location inventory and transfer management
- Sophisticated customer pricing and margin control
- Good for manufacturers with strong distribution component
- Landed cost tracking for importers
- Strong Australian partner network focused on distribution
- Handles consignment stock and freight management well
Limitations
- Manufacturing capabilities not as deep as SAP or MYOB Exo
- Steep learning curve for new users
- Mid-range pricing (not cheapest option)
- Smaller user base than MYOB or SAP
- Interface complexity can slow staff adoption
- Less suitable for pure manufacturing without distribution
Frequently Asked Questions
Need Help Choosing Your Manufacturing ERP?
Choosing between SAP, MYOB Exo, and Pronto is a critical decision. We have implemented all three systems for Australian manufacturers and distributors. Get independent advice tailored to your specific business requirements and growth plans.