SAP Managed Services vs. In-House Support: Making the Right Choice for Your Business

As businesses grow and technology becomes more complex, the demand for efficient SAP (Systems, Applications, and Products) management and support increases. SAP is vital in streamlining operations, enhancing productivity, and driving growth. To ensure seamless functioning and maximum value from your SAP investment, you have two primary options: SAP Managed Services and In-House Support. Both approaches come with their own set of advantages and challenges. In this blog, we will explore the key differences between the two and help you make the right choice for your business.

What are SAP Managed Services?

SAP Managed Services involves outsourcing your SAP environment’s management, monitoring, and support to a third-party service provider. These service providers are specialized in SAP and have a team of experts proficient in handling various SAP modules and tasks. SAP Managed Services aims to alleviate the burden of managing SAP internally, allowing your IT team to focus on core business initiatives.

The Benefits of SAP Managed Services

  • Expertise and Specialization: By partnering with an SAP Managed Services provider, you gain access to a team of skilled professionals with in-depth knowledge of SAP solutions. They stay up-to-date with the latest advancements and best practices, ensuring your SAP environment is in capable hands.

  • Cost-Effectiveness: Managing SAP in-house requires substantial investments in hiring and training SAP experts and maintaining the necessary infrastructure. SAP Managed Services offers a more cost-effective solution with flexible pricing models tailored to your needs.

  • 24/7 Support: SAP Managed Service providers often offer round-the-clock support, ensuring that issues or disruptions are addressed promptly, minimizing downtime, and maximizing system availability.

  • Scalability: As your business expands, your SAP requirements may change. Managed Service providers can easily scale their services to accommodate your evolving needs without causing disruptions.

  • Security and Compliance: Protecting sensitive data and ensuring compliance with industry regulations is crucial. SAP Managed Service providers implement robust security measures, ensuring data protection and compliance adherence.

The Control and Customization Advantage

In-House Support involves building an internal team of SAP experts within your organization to manage and support your SAP environment. This approach offers advantages that may appeal to businesses with specific needs and preferences:

  • Tailored Solutions: In-House Support provides highly customized SAP solutions tailored to your unique business requirements and processes.

  • Immediate Response: With an in-house team, you have direct control over the prioritization of support tickets and the pace of issue resolution.

  • Integration with Company Culture: An in-house team becomes an integral part of your company culture and understands your business goals intimately.

The Hidden Costs and Limitations

While In-House Support offers certain advantages, it also presents significant challenges that businesses need to consider:

  • High Cost of Expertise: Building and maintaining an in-house team of SAP experts can be expensive, requiring continuous investments in training and certifications.

  • Limited Availability: In-house teams may face constraints in providing round-the-clock support, leading to potential delays in issue resolution, especially during off-hours.

  • Resource Management: The responsibility of managing and updating the SAP infrastructure falls on the organization, which can be a time-consuming, and resource-intensive.

Considerations for Choosing SAP Managed Services

  • Business Size and Complexity: Small to mid-sized businesses may find SAP Managed Services more cost-effective and efficient due to the comprehensive services provided by specialized teams.

  • Budget Constraints: SAP Managed Services offers a predictable and flexible cost structure for businesses with budget constraints or those looking to optimize their IT spending.

  • Focus on Core Competencies: Outsourcing SAP management can free up internal resources if your business wants to concentrate on its core competencies and strategic initiatives.

  • Scalability and Flexibility: As your business grows, SAP Managed Services can scale their offerings to meet your evolving needs without disrupting operations.

Considerations for Choosing In-House Support

  • Highly Customized Requirements: In-House Support may be the preferred choice if your business demands highly tailored and specific SAP solutions that align closely with your internal processes.

  • Full Control over Support: Some businesses prioritize having complete control over the prioritization and handling of support tickets, making In-House Support more attractive.

  • Long-term Strategy: If SAP is a critical part of your long-term strategy, and you have the resources and commitment to maintain an in-house team, it may be a viable option.


There is no one-size-fits-all solution in the world of SAP management and support. The choice between SAP Managed Services and In-House Support depends on your business’s unique needs, budget, and long-term goals.

SAP Managed Services offers an attractive proposition for businesses seeking efficiency, cost-effectiveness, and access to specialized expertise. On the other hand, In-House Support provides full control over customizations and can be a strategic choice for businesses that want to build a closely aligned SAP team.

The key is objectively assessing your business requirements and considering budget, expertise availability, scalability, and future aspirations. Doing so allows you to confidently choose the right SAP support model that aligns with your business objectives and sets the stage for optimal SAP utilization and success.

Discover your business’s perfect SAP support solution with Diligent Global’s comprehensive SAP Managed Services, infrastructure managed services and application managed services. Partner with us today and experience seamless SAP management that drives growth and maximizes efficiency!

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