ERP software is a significant time and financial investment that, in the end, keeps your business running. As a result, committing to a software vendor may appear to be a leap of faith, a surrender of control, or even a financial impossibility. Perhaps a prepackaged solution feels too confining for your unique, growing company. Similar to the post below, which provides an overview of web erp open source. Let’s go exploring with Monsterodoo!

What is Open-Source ERP?

Open-source ERP, as the name implies, is an ERP system with publicly available source code. It is presented in a bare-bones format, with the intention of allowing users to customize the system to their specific needs. ERP as a do-it-yourself project, if you will. To build a DIY ERP, you must manipulate the source code by changing, adding to, and sometimes removing entire applications. The end result can range from a basic, straightforward ERP solution to a detailed, industry-specific system – the choice is yours.

Open-source ERP differs from proprietary software in terms of control and freedom of choice. Furthermore, because a proprietary software vendor rarely releases the software code, users must work with and pay their vendor to generate custom features.

What is web ERP Open Source?

What is web ERP Open Source?

Difference Between Open-Source and vs Enterprise ERP

Open Source ERP: Odoo

An open source ERP software system is one whose source code is freely available to the public. Instead of relying on a third-party vendor, organizations can access the source code for free and customize the software using their own IT department. It is a better option for small to medium-sized businesses that want to customize and upgrade their ERP systems without incurring licensing and support costs.

Odoo is an open-source ERP and CRM platform that offers an integrated suite of applications to streamline business operations, inventory, including project management, accounting, warehouse management, human resource management (HRM), and customer relationship management (CRM). It has a solid technical foundation and an easy-to-use and intuitive interface.

Pros of Open Source ERP Software:

  • Open-source platforms such as Odoo, OpenTaps, ERPNext, and Ofbiz have no licensing fees. They are open-source solutions that can be downloaded for free.
  • Open-source software is completely adaptable. They can be tailored to meet specific business needs.
  • Open-source ERP alternatives reduce an organization’s reliance on a single or group of ERP vendors for maintenance, enhancements, or support.
  • Its source code is publicly available, which means that an organization’s IT department can modify, copy, test, and distribute it without paying any royalties or fees.

The disadvantages of open source ERP software are as follows:

  • Businesses require a technically skilled ERP team to customize Odoo modules/applications to their specific needs. It is also a time-consuming process.
  • Even though open-source ERP like Odoo has no licensing fees, it can still raise IT costs. A third-party vendor with technical expertise handles customizations and adaptations.
  • Odoo and other open-source platforms do not provide generalized support. The answer to a specific question is not readily available. Instead, assistance is provided in the form of documents, newsgroups, and forums.

Enterprise ERP: SAP

Enterprise or proprietary ERP software is licensed under the owner’s sole legal rights. It is not allowed to be modified, distributed, or reverse engineered. Enterprise ERP software is a better option for businesses with limited IT resources.

Advantages of Enterprise ERP Software

  • Proprietary ERP software grants businesses ownership. They have complete access to updates, bug fixes, and documentation updates.
  • Support and maintenance services are included with proprietary ERP software. Businesses’ IT departments receive extensive training and support from technical experts.
  • Like SAP, NetSuite is an enterprise ERP designed for long-term use with required updates and upgrades.

Cons of Enterprise ERP Software

  • Enterprise ERP users, such as SAP or NetSuite, have limited access to the program’s source code. If a problem arises, users do not have access to fix, debug, or patch it.
  • Businesses that use enterprise ERP software such as SAP are reliant on the vendor. They are required to follow the vendor’s product availability, pricing, and timeline.
  • The initial investment in Enterprise ERP software is substantial.

Pros and Cons web ERP Open Source

Open-source ERP – software that is freely available, mostly inexpensive, and easily customizable – sounds like a pipe dream. While it has many advantages, it also has some disadvantages. The following sections will list and explain the benefits and drawbacks of open-source ERP software.

PROS

Low Cost

As previously stated, no upfront licensing fees are required to download the source code. As a result, self-hosting your web based erp software open source system with no vendor support is usually free. Those who do not want to fully manage their system can find a vendor that provides a software-as-a-service (SaaS) solution. These systems typically have monthly billing and pricing, but it depends on the services you choose and the number of users.

Extremely Scalable

When gathering requirements for ERP software, it’s critical to consider how your company will look in the future. Adding features or users later necessitates costly re-implementations. However, because of the scalability of an open-source system, a growing business can make changes to its ERP system as needed.

Community Support is Available

Users have complete control over their system customizations thanks to direct access to source code. Users can achieve a whole new level of personalization with this control.

Access to Community Support

Vibrant user communities support many open-source platforms – the support is experimental and transparent. For IT professionals who love immersing themselves in this environment, open source can be a good solution. These communities are known to quickly tackle system bugs, share their pre-built customizations or modules and more.

Independence from Vendors

From infinite flexibility to endless opportunities for innovation, independence from vendors can open many doors for software users. Think about it: open-source software users can always conduct business on their terms and schedules.

Cons

A knowledgeable IT team is required.

With an open-source ERP implementation, you become the project’s software expert. This responsibility is a significant impediment, and it can automatically deter companies without access to a tech-savvy team from attempting to implement these systems.

Excessively complicated

All ERP implementation projects are difficult, but open-source implementations are the most difficult. If you don’t have a plan in place, giving yourself free rein on customizations can quickly become counterproductive.

Increased Risk Possibility

Open-source software vendors who are well-established and financially stable are scarce on the market today. Working with companies in their early stages may be viewed as a business risk by some.

Lack of Proprietary Engineering

Specific engineering that serves their goals is one of the things that companies pay for with proprietary products. For example, all of a proprietary vendor’s research and development on their products can support less downtime, lower different types of failure rates, and increase ease of use, which supports the you-get-what-you-pay-for concept.

Independence from Vendors

Let’s go over this again: while independence from vendors can be beneficial, it also comes with a lot of responsibility. Users of open-source ERP can only rely on themselves and their user community for assistance.

Less-Qualified/Knowledgeable Support

Typically, proprietary ERP vendors and companies have a well-versed support team to resolve any issues that may arise. To fix problems or bugs, open-source software relies more on community forums and your IT staff. These forums can be disadvantageous because how will you resolve the issue if you receive complex bugs, malware, spyware, or viruses that are difficult for your IT personnel to fix? If no one in the support forum has encountered this issue or knows how to resolve it, how will you find a solution without completely removing your software?

We hope that these advantages and disadvantages help you better understand how an open-source ERP software would work in your company. If you’re interested, we’ve written extensively about the general benefits and drawbacks of ERP.

Best Open-Source ERP Software

After research, we determine the best web based erp open source software on the market right now. Please use it to gauge and consider open-source system options for your business.

ERPNext

ERPNext is a popular and comprehensive open-source ERP system that was first released in 2008 by the India-based company Frappe. It can work for almost any business due to its extensive feature set. ERPNext, on the other hand, provides industry-specific solutions for a variety of industries, including manufacturing, retail, distribution, education, nonprofit, agriculture, and healthcare, among others.

ERPNext includes Frappe’s web framework, which is built with Python and Javascript. The generic framework can be customized, expanded, or included with additional applications. ERPNext has been hosted on GitHub since 2011 and is MIT licensed. More than 1,000 people participate in the community forum’s discussion forum.

Paid services for support, hosting, and backups are available for those who do not want to manage the system independently. Standard, Enterprise, and Self-Hosted pricing models are available.

Primary Benefits: Delivery Trip, Customer Relationship Management (CRM) Analytics, HR Report, Project Profitability Report, Quality Review.

Key Features: Stock Management, Purchases, CRM, HR Management, Multi-Currency Accounting.

Odoo

Following that is another popular erp open source web based that offers paid subscriptions and services. Odoo works in agriculture, automotive, cleaning and hygiene, and construction.

Odoo comes in three flavors: two that are free to download and deploy on-premises, and a third that is cloud-based for users who want to pay to use the system with support. Odoo Enterprise, the paid option, is a licensed version of the software. Odoo Enterprise costs more than ERPNext’s paid subscription. Implementation services can be purchased from a local partner (for more than 50 users) or from Odoo directly (for less than 50 users).

Odoo S.A. and its community have created 14,300 apps that are now available to users. Odoo Community is the system’s free, open-source version.

Primary Benefits: Internet of Things (IoT) Box, Website Builder, Odoo Sign, Marketing Automation, Amazon Connector.

Key Features: CRM, Documents Management, Field Service Management, Manufacturing Management, Point-of-Sale (POS),

Flectra

Flectra is an open source erp web application that combines ERP and CRM functions of an ERP and CRM software. Since its initial release in 2016, this system has quickly gained popularity, with many users claiming that Flectra is simple to use. Python and Postgresql are included in its framework. It can be self-hosted on-premises or deployed as a SaaS solution.

Pricing is either per app per month or in monthly or annual installments. Pricing packages include Starter, Professional, and Enterprise; new users can also take advantage of a free trial. Implementation, support, development, and training are among the services provided.

Primary Benefits: Helpdesk, Real-Time Workforce Reporting, Feedback System, Self-Service Portal with Multi-Device Support, Marketing Automation.

Key Features: CRM, Project Management, Accounting, Multi-Country Support, Leave Management,

Conclusion

We hope the information in this article helps you better understand the open-source ERP market. Begin by gathering your requirements to learn more about which ERP system is best for you.

Please contact Monsterodoo for more information. We are a team of top-tier business software consultants and developers who provide Odoo ERP solutions and services to assist businesses in automating and streamlining processes and achieving unrivaled business growth.