Saturday, May 29, 2010

Features of Open Source ERP

• Cutting down The Cost: The important benefit of Open Source ERP is they are available at free cost. The Commercial ERP packages are very expensive and require huge budget to carry out implementation, upgrade, training, associated consultancy and maintenance processes. Since the initial investment is high to implement Commercial ERP, Companies will find very difficult to pay whenever renewal is made to existing license systems. Current Open Source ERP systems provides wide range of platform support and use model driven approach which enable broader application adaptability, faster deployments and rapid application customizations at lower cost.

• Lesser dependence on the Vendor: The Open Source ERP applications can save huge amount of investment require for vendor management activities. An Organization can setup own house team to deal with Open Source ERP application activities. No need to approach vendors for each and every issue. They can fix the errors or modify the source code according to their needs and save time and money required in product support cycle. The Open Source ERP vendor management process is very flexible than commercial ERP vendor management, organization can easily switch the vendor if they are not happy with vendor service.

• Flexibility: The Commercial ERP systems are designed and developed by vendors such way that the structure of such system reflects best practices but it is the vendor not the customer that is defining what best mean. These systems are very complex and major modification is impracticable. Most of the companies who implements commercial ERP systems change their work process according to systems requirements. Changing the business process to fit the requirement of the system is not a good option because they provide competitive advantages to the business. With Open Source ERP, organization can modify the application features according to their requirements. Integration with other existing legacy system is also possible where some time not possible with commercial ERP system where code is tightly held by the vendors. With Open Source ERP organization can customize system functionality to meet business requirements.

• Implementation Process: The implementation process of Opens Source ERP systems is less time consuming and not complex because most of the Open source ERP systems are developed by using module driven approach. The Company can hire vendor to implement the system or they can setup small unit into their organization to implement system using module driven implementation approach.

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