Question

In: Operations Management

Write 5 major differences in Customization and Configuration of an ERP system? 500 words

Write 5 major differences in Customization and Configuration of an ERP system? 500 words

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Expert Solution

ANS.

ERP Customization

  • When you customize an ERP system, you’re building functionality that doesn’t currently exist anywhere in the software. If your partner didn’t develop this customization for you, you’d probably have a very difficult time achieving the desired outcome. Customization very frequently requires technical software development and coding skills.
  • Requires deep technical and product knowledge
  • Customizations are often unique to your solution
  • Add new features to meet requirements
  • Customizing an ERP application refers to modifying it on a macro scale so that it meets specific business or company requirements.

ERP Configuration

  • When you configure an ERP system, you’re essentially setting the ERP’s “options”. This might sound easy, but there are A LOT of options and it really helps to have advanced knowledge of an ERP system’s inner workings before configuring them to work in a certain way. ERP partners also have a ton of experience mapping your business requirements to your system confinguration.
  • Requires deep product knowledge
  • Configurations could be carried out identically on any instance of the same ERP software
  • Setup existing features to meet requirements
  • Configuring an ERP application involves optimizing basic system functions and components to enable it to integrate with an existing system environment.

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