The manufacturing industry is experiencing a major transformation, with many businesses moving away from on-premise ERP systems in favor of cloud-based solutions. This shift became a necessity during the COVID pandemic. The decision to move towards cloud ERP systems was driven by the need for real-time data access, automation, and scalability—essential components for staying competitive.
Traditional on-premise ERP solutions often struggle to keep up with the modern demands of manufacturers due to:
- High IT Maintenance Costs: Maintaining in-house servers and infrastructure is expensive.
- Limited Scalability: Adding new users, locations, or integrations requires costly upgrades.
- Slow Implementation and Updates: On-premise ERPs require manual updates and patches, leading to delays.
Cloud ERP systems, on the other hand, offer real-time access to business data, seamless integrations, and lower IT overhead. This shift is not just a trend—it’s a necessary evolution for manufacturers looking to remain agile, competitive, and cost-efficient.
The Rise of Cloud ERP in Manufacturing
Manufacturers are shifting away from on-premise ERP systems in favor of cloud-based solutions—and for good reason. Traditional ERP systems, while once the backbone of manufacturing operations, are now seen as more costly, inflexible, and difficult to maintain.
Manufacturers need agility, automation, and seamless connectivity to stay competitive. Cloud ERP systems provide a level of efficiency and accessibility that on-premise solutions simply cannot match.
- Lower IT Costs: No expensive hardware, in-house servers, or IT maintenance.
- Scalability: Easily add users, integrate new modules, and expand operations.
- Real-Time Data Access: Employees can access critical information from anywhere.
- Automatic Updates: Always run the latest version without manual upgrades.
- Improved Security: Cloud providers offer enterprise-grade data protection.
For small and mid-sized manufacturers, choosing the right cloud ERP can mean the difference between streamlined growth and operational bottlenecks.
Top Cloud ERP Systems for 2025
Not all cloud ERP systems are created equal. Some cater to large-scale enterprises, while others focus on SMBs looking for cost-effective solutions. Selecting the right ERP depends on your manufacturing model, budget, and required features.
Our Top Cloud Manufacturing ERP List ranks the best cloud ERP solutions for manufacturers in 2025, including:
1. Microsoft Dynamics 365 Business Central
- Best for SMB manufacturers looking for seamless Microsoft 365 integration.
- Lower total cost of ownership (TCO) compared to competitors like NetSuite.
2. NetSuite
- Best for mid-to-large manufacturers with multi-entity operations.
- Complex pricing model and higher implementation costs.
3. Acumatica
- Strong in job shop and make-to-order (MTO) manufacturing.
- Highly customizable, but requires technical expertise for implementation.
Each of these ERPs has unique strengths and weaknesses, which we explore in depth in our full ERP ranking guide.
Business Central vs. NetSuite: A Deep Comparison
Two of the most well-known ERP solutions for manufacturing are Microsoft Dynamics 365 Business Central and NetSuite. But which one is the better fit for your business?
While both solutions offer cloud-based infrastructure, robust financial management, and manufacturing functionality, they differ significantly in pricing, customization, implementation time, and usability.
In this section, we break down some of the key differences, helping manufacturers determine which ERP best suits their needs.
For an in-depth comparison of both systems, check out our Business Central vs NetSuite article.
Key Feature Differences:
| Feature | Business Central | NetSuite |
|---|---|---|
| User Pricing | Per-user license | Subscription-based |
| Ease of Implementation | Faster for SMBs | More complex deployment |
| Customization | Flexible with Microsoft Power Platform | Requires extensive configuration |
| Manufacturing Features | Built-in for premium users | Requires add-ons |
| Reporting & Analytics | Power BI integration | Strong native analytics |
| Scalability | Best for SMBs & mid-sized manufacturers | More suitable for larger enterprises |
Who Should Choose Business Central?
- SMB manufacturers looking for an affordable, scalable solution.
- Companies already using Microsoft 365, Copilot, Power BI, or other Microsoft tools.
- Businesses that want a lower total cost of ownership with predictable pricing.
Who Should Choose NetSuite?
- Larger manufacturers needing a broad, pre-built feature set.
- Companies requiring multi-entity financial management.
- Enterprises willing to pay for custom development and add-ons.
Our detailed Business Central vs NetSuite comparison provides even deeper insights into how these ERPs stack up.
Understanding Cloud ERP Pricing
When evaluating cloud ERP solutions, manufacturers often focus on features and capabilities—but pricing is just as important. One of the biggest challenges in ERP selection is understanding the full scope of costs beyond just the monthly subscription fee.
ERP pricing varies significantly based on:
- Licensing structure (per-user vs module-based pricing)
- Implementation costs (consulting, configuration, and data migration)
- Customization fees (tailoring ERP functionality to fit business processes)
- Training and onboarding expenses
- Ongoing support and maintenance
The True Cost of ERP: More Than Just Licensing Fees
Many ERP buyers underestimate the total costs, leading to unexpected expenses after implementation. The key to budgeting accurately is understanding the difference between:
- Upfront Costs: One-time fees for implementation, data migration, and setup.
- Recurring Costs: Ongoing licensing, support, and maintenance expenses.
- Hidden Costs: Expenses related to customization, training, and third-party integrations.
A common mistake manufacturers make is assuming ERP pricing is limited to licensing fees. However, the real investment includes implementation, user training, integrations, and long-term system maintenance.
Microsoft Dynamics 365 Business Central Pricing
One of the biggest advantages of Microsoft Dynamics 365 Business Central is its predictable pricing structure. Unlike other ERP systems that use tiered subscription models (such as NetSuite), Business Central follows a per-user licensing model with clear pricing.
See our detailed guide on Business Central Pricing.
Business Central License Options & Costs
| License Type | Cost (USD) | Best For |
|---|---|---|
| Essentials License | $70/user/month | SMBs needing core ERP functionality, including financials, sales, purchasing, inventory, and supply chain management. |
| Premium License | $100/user/month | Manufacturers requiring advanced features like production management, MRP, and service management. |
| Team Member License | $8/user/month | Employees needing read-only access or performing light tasks like approvals and reporting. |
Key Benefits of Business Central’s Pricing Model:
- Straightforward per-user pricing (no complex tiered subscriptions).
- Predictable long-term costs (ideal for SMBs planning growth).
- Lower total cost of ownership (TCO) compared to NetSuite and SAP.
Key Takeaways: How to Choose the Right ERP
Finding the right cloud ERP for your manufacturing business requires careful evaluation of your needs, budget, and long-term growth plans. Here’s a recap of the key points:
If You’re Looking for a General Overview of Cloud ERPs:
Read our Top Cloud Manufacturing ERP List to explore the best ERP solutions for SMB manufacturers.
If You’re Comparing Business Central & NetSuite:
Our Business Central vs NetSuite guide provides a feature-by-feature breakdown of both ERPs.
If You Need ERP Pricing Insights:
Check out our Business Central Pricing Guide to understand costs, licensing, and implementation fees.
Choosing an ERP is a major investment, but with the right strategy and knowledge, manufacturers can optimize efficiency, reduce costs, and scale their operations with confidence.
Final Thoughts: What’s Next?
Still unsure which ERP is right for your business? Consulting with an experienced ERP implementation partner can help you assess your options and find the best fit.
Sabre Limited is a leading expert in manufacturing ERP implementation across North America. What sets us apart is our commitment to customer success—we offer fixed-fee pricing instead of traditional time-and-material billing, ensuring transparency and predictability for our clients.
If you want to learn more about how Sabre Limited can support your business, we specialize in helping small to medium-sized manufacturers successfully adopt Business Central. Let’s discuss how we can contribute to your manufacturing success—contact our experts. We look forward to connecting with you.
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