Thing You Need to Know About ERP Open Source Software

In recent times, a lot of businesses is relying on Enterprise Resource Planning or ERP systems. It helps companies to streamline their operations including manufacturing, sales, and accounting. 

ERP systems are expensive. But not to worry, as there is a more economical alternative for this. ERP Open Source software is there to help small and medium businesses. It allows companies to pay only for specific features. They have the option to customize too.

What is an Open Source Enterprise Resource Planning (ERP) Software?

The Open Source ERP system is the same as any other Enterprise Resource Planning system. But its source code is publicly available. So, companies can freely access the Open Source Code. It allows them to modify or customize the software as per their choice and no vendor is needed. While other ERP solutions are closed source or proprietary.

Pros and Cons of EPR Open Source


  • Affordability: 

Higher price tags of EPRs often create issues for the small and medium-sized businesses. EPR Open Source is a cost-effective alternative for their needs.

  • Customizability: 

The companies can choose only those features they need and customize the software as per their requirements.

  • Simplicity: 

This comes with an easy scaling feature. It allows companies to upgrade as per their choice without facing any disruptions.

  • Provided Demo: 

Companies can access the open-source database and get a demo of the software. It is a faster and free alternative as it doesn’t require a sales team of vendors.

  • Superior Quality: 

Cheap things are rarely of great quality. In this case, EPR Open Source provides high-quality coding reviewed by independent developers.


  • Hidden Costs: 

The free version of ERP Open Source comes with basic features. Some companies may need to pay extra to fulfill their needs.

  • Required Staff: 

IT staffs with advanced knowledge of programming are required to install the customized designs internally.

  • Viability: 

It’s very secure and long-lasting. Executives may show concern about its open database. In that case, previous customer feedbacks might help them clear their doubts.

  • Complexity: 

The implementation work is quite tiring and complex. Many do the mistake of over customizing wasting money and time both.

  • Documentation: 

Commercial vendors provide necessary documents to help to operate. Open source solutions completely lack this type of reference material.

List of The Industry-Leading Open Source ERP Vendors:

  • ERPNext
  • xTuple
  • Odoo

Open source EPR comes with both advantages and disadvantages. So, you need to choose as per your requirement because it is not ideal for every company.