Ready to take your business to the next level without having to spend a fortune?
SMEs in Singapore are starting to find out that Digital Transformation is no longer optional. The companies that are the winners of the future are the ones that make the necessary investments in technology today.
The good news is that:
The Singapore government offers funding to local SMEs to help them adopt powerful solutions like SAP Business One. Grants cover up to 50% of qualifying costs.
In other words, your business can get a huge head start with a solid ERP system that streamlines processes and saves time.
Let’s dive into the details.
In this article, you will learn:
- Why Digital Transformation is essential for Singapore SMEs
- What is the PSG Grant for ERP solutions?
- How SAP Business One helps to run a successful business
- Steps to apply for PSG funding
- How to get the most out of your ERP solution
Why Digital Transformation is essential for Singapore SMEs
Singapore’s digital economy has been booming in the past few years. And it is not only the technology companies that are driving growth.
Manufacturing, wholesale trade, and financial, as well as retail businesses, are among the industries that are making the most out of the digital tools. Those who don’t keep up the speed of digital transformation are soon going to be overtaken by the more forward-thinking players.
The fact is that manual processes and siloed systems create all kinds of bottlenecks. When parts of the business cannot talk to each other, decision-making is slow. And slow decision-making is simply bad for business.
Enterprise resource planning (ERP) systems remove the barriers between different functions and departments. Accounting, inventory, sales and customer management can all integrate into a single platform. Operations can run smoothly when everything from the top to the bottom of the company is connected.
For SMEs who are looking to take the leap, the PSG Grant for SAP Business One opens the door to enterprise-grade solutions at a fraction of the cost.
What is the PSG Grant for ERP solutions?
The Productivity Solutions Grant is a Singapore government grant. Administered by Enterprise Singapore, the PSG provides funding for local small and medium-sized enterprises to adopt digital solutions.
In simple terms:
Eligible SMEs can apply for funding of up to 50% of qualifying costs. The maximum grant amount is S$30,000 per financial year. This makes it a lot easier and more affordable for small businesses to adopt sophisticated solutions that help them to become more productive.
According to SME Horizon, Singapore SMEs that adopted AI-enabled digital solutions, certified under PSG achieved an average cost savings of 52% in the year 2024. These numbers speak for themselves!
If your business is interested in learning more about how the ERP grant works and how to apply for it, keep reading.
The qualifying criteria for this grant include the following:
- The business must be registered and operating in Singapore
- The business must have at least 30% local shareholding
- The group annual sales turnover of the business must not exceed S$100 million OR the business must have less than 200 employees
- The solution to be adopted must be used in Singapore
Applications are made and processed through the Business Grants Portal using Corppass. The average processing time is six weeks.
How SAP Business One helps to run a successful business
SAP Business One is one of the most trusted ERP solutions for small and medium-sized businesses across the globe.
The all-in-one platform integrates all the key business functions into a single solution. No more spreadsheets or a need to hop from one disconnected software to another. Everything seamlessly integrates and connects automatically.
The core SAP Business One solution typically includes the following core business functions:
- Financial management – accounting, cash flow, fixed assets tracking, financial reporting
- Sales and customer management – customer lifecycle tracking from first contact through after-sales
- Purchasing and inventory management – procurement management, inventory control, supplier management
- Business intelligence – real-time dashboards and reporting
According to data from Business Research Insights, the adoption of SAP Business One consulting among medium-sized enterprises is at 72% in order to make digital transformation and boost operational efficiency.
Impressive figures, aren’t they?
SAP Business One serves both small and medium enterprises in both manufacturing and non-manufacturing industries such as:
- Manufacturing
- Retail
- Distribution
- Services
Industry-specific add-ons can be customised to address the unique needs of each vertical.
Steps to apply for PSG funding
Applying for the PSG grant for SAP Business One implementation can be a straightforward process for businesses if the following steps are followed:
- Assess your eligibility Check the business meets the PSG eligibility requirements before starting the application process. Shareholding and revenue criteria are important to double-check.
- Select a pre-approved vendor PSG only supports solutions from the list of approved vendors. Engaging an authorised SAP Business One partner will ensure eligibility and smooth implementation.
- Get a quotation Before application, obtain a formal quotation from the vendor. At this stage, do not make any payment or sign a contract.
- Submit the application Log in to the Business Grants Portal using Corppass and complete the application form with the business and project information.
- Await approval Enterprise Singapore typically reviews and responds to applications within six weeks. Incomplete applications may be rejected but can be resubmitted.
- Implement and claim Once the application is approved, the business can go ahead and proceed with implementation and, upon completion, submit the necessary documents to claim reimbursement.
Remember that no payment should be made to the vendor before the grant application is submitted. The vendor should not support applications made retrospectively after implementation.
How to get the most out of your ERP solution
Securing the PSG grant is just the first step. The real benefits come from the effective implementation and adoption of the ERP system.
Start by setting clear objectives. What exactly should the ERP help to solve? Which business processes need to be improved? This will help to measure success.
Invest in training. It does not matter how good the solution is if the team doesn’t know how to use it. SAP Business One partners will offer extensive training as part of the implementation package.
Leverage real-time data. One of the biggest benefits of modern ERP solutions is immediate access to business insights. Dashboard and data analytics can be used to make better and faster decisions.
Plan for the future. SAP Business One is built for scalability. Configure the system with future growth in mind to avoid rework down the line.
Choose integrations wisely. The platform has a number of built-in integrations and extensions with other third-party software and services. Map out what integrations will bring the most value.
Wrapping Up
Digital Transformation using SAP Business One represents an excellent opportunity for Singapore SMEs. The PSG grant makes this transformation significantly more accessible.
Businesses who are up for the digital challenge can gain significant competitive advantage from integrated ERP solutions such as SAP Business One. The primary benefits are:
- Streamlined operations with less manual work
- Visibility into financial and operations performance
- Better CRM
- Faster and better decision-making
- Scalable infrastructure for future growth
The application process requires attention to detail but is, in itself, pretty simple. Working with SAP Business One partners can make the grant application and implementation process even more straightforward.
For SMEs serious about competing in the digital economy of the future, a combination of PSG funding and a robust ERP solution like SAP Business One provide the perfect foundation for long-term growth.
The funding is there. The technology is proven. The only thing left is whether your business will take advantage of the opportunity or not.
