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Open Source Erp in today’s economy

Open source ERP in today’s economy is still a question which requires a good insight from the research and business practitioners. The primary issue is the complexity of the ERP software’s used in practice and the various industry domains demand a flexible, customizable, less ambiguity in license agreements, independent of its vendor support and a large responsive community for its products (Gruman, 2007).

Open source ERP is customizable which is largely a requirement of every small to medium business as their resource constraints are more, not only that their demand is often on customization of the ERP product to control their business process in an integrated manner. The trade and license agreement procurement often makes sure that all the various compliances of the business and the vendor are in stringent hands. It often poses large challenges in operation costs. Open source ERP vendors enable no or very stringent agreements in software usage.

The support system for any software is very crucial for its success. Traditional ERP software’s offered support from the vendor side only and involved critical service level agreements and back office operation costs for the business. The open source ERP software has a large responsive community enabling research and development mechanisms for greater support. Customization, support and costs are some of the challenging areas in ERP which integrates the business together for its right functioning and open source provides just that.

Integration with the business needs and its large scale development makes it easy to focus on the direct needs of the business, thereby promoting the open source market. The upper business market segment makes sure that all the various compliances with regard to scalability of business, greater integration with existing systems and long term optimization of resources and vendor support are some aspects which remain undisputable issues for a large ERP application. References Gruman, Galen (2007). Is Open Source The Answer to ERP? Retrieved 18, November 2008 from http://cio. com/article/28812/Is_Open_Source_The_Answer_to_ERP_?

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