ERP Systems

Pricing ERP

Open-source ERP (Enterprise Resource Planning) solutions might be a good alternative for your business when compared with on-site or SaaS (Software as a Service) ERP solutions.   When pricing ERP solutions, you’ll find that open-source Enterprise Resource Planning solutions cost less upfront.  However, support costs are typically similar to those of an on-site solution.  Some open-source ERP solutions include; OpenBravo, Tiny ERP, Compiere, ERP5, and OFBiz. 

When pricing Enterprise Resource Planning solutions you have to consider how much bang you’re getting for your buck.  Remember that an open-source solution will cost the same to support as an on-site ERP solution or a SaaS ERP solution.  With that in mind you must determine if the functionality in the open-source Enterprise Resource Planning is comprehensive enough to meet your business needs.  Going with the cheapest solution that doesn’t meet your needs is wasteful.  You will waste your time, your employee’s time, and company’s financial resources.

Pricing ERP solutions is a difficult task, especially when your business is so unique that it will demand customizations of any Enterprise Resource Planning solution.  Customizations throw a wrench in things.  Some Enterprise Resource Planning vendors no longer support their product if customized. If this happens and you don’t have the employees to support the solution, you’ll have to hire a third party vendor, which could be very expensive.  Your choice is to take the open-source code, customize it, and pay a pricey third party consulting firm to support your ERP solution.  Or, you can buy proprietary software, customize it, and hope that the vendor won’t charge you tons of money to support it.  Actually, you should just hope that the vendor will support it.  There are so many options, which makes pricing Enterprise Resource Planning solutions very difficult in deed.

Before you consider all of the different types of Enterprise Resource Planning solutions, think about your company.  Define your business needs.  Identify your gaps and places that are in need of improvement and streamlining.  An Enterprise Resource Planning solution should adjust to your business and not the other way around.  All too often businesses try to mold themselves around an ERP solution.  Unfortunately, things never work out for the businesses in this situation.  There are many ERP solutions on the market today.  Enterprise Resource Planning solutions are made to address specific industry needs and businesses sizes.  Don’t settle for any ole Enterprise Resource Planning solution. 

Written by :

tracey boxer