Can you explain the difference between customization and configuration in an ERP system?

1 Answers
Answered by suresh

Customization and configuration are two key concepts that are often used in the context of ERP systems. Understanding the difference between them is important for effectively managing and implementing an ERP system.

Configuration in an ERP System

Configuration refers to the process of setting up an ERP system to meet specific business requirements without modifying the underlying code. It involves selecting options and parameters within the system to tailor it to the organization's needs. Configuration typically involves using the system's built-in tools and functionalities to make changes, such as defining user roles, setting up workflows, and customizing report formats.

Customization in an ERP System

Customization, on the other hand, involves making changes to the ERP system's code or functionality to meet specific requirements that cannot be achieved through configuration alone. Customization often requires programming skills and can involve modifying existing features, developing new modules, or integrating third-party applications with the ERP system.

Differences between Customization and Configuration

  • Configuration is done using the system's built-in tools, while customization involves modifying the system's code.
  • Configuration is generally less complex and risky compared to customization, which can introduce potential compatibility issues and maintenance challenges.
  • Configuration changes can often be reverted easily, while customization changes may be more permanent and require careful testing.

Overall, configuration is preferred over customization in ERP systems as it is more flexible, easier to maintain, and less likely to cause unexpected issues. However, there are situations where customization may be necessary to meet specific business requirements that cannot be achieved through configuration alone.

Answer for Question: Can you explain the difference between customization and configuration in an ERP system?