Configuration and customization in ERP implementation are important for meeting objectives. They may sound the same but they are completely different.

1. Differences Between Configuration and Customization in ERP Implementation
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2. Configuration and customization in ERP implementation are important for meeting
objectives. They may sound the same but they are completely different.
Introduction
Difference Between Configuration and Customization in ERP Implementation

3.  ERP Customization is writing customised software that can meet specific business
requirements.
 Accommodates business workflows unique to each business enterprise.
 Flexibility to add new ERP modules within the same product.
 Meets the operational requirements specific to a business.
 Low-code customization reduces complexities of ERP customization.
Pros of ERP Customization
Difference Between Configuration and Customization in ERP Implementation

4.  Requires advanced technical knowledge of ERP products.
 According to the ERP product complexity, customization can be time-consuming.
 Can exceed implementation time and budget.
 ERP vendors don’t support customised modules.
 Requires additional support and maintenance.
Cons of ERP Customization
Difference Between Configuration and Customization in ERP Implementation

5.  ERP Configuration is changing the software’s default settings to meet specific business
requirements.
 Faster and cost-effective than ERP customization.
 No need for changes in the ERP source code.
 One-time activity as per the business and user requirement.
 Beneficial for small-time businesses.
 Supported by ERP vendors.
Pros of ERP Configuration
Difference Between Configuration and Customization in ERP Implementation

6.  Does not support third-party integration.
 Does not satisfy all business requirements.
 Does not support adding new ERP modules.
Cons of ERP Configuration
Difference Between Configuration and Customization in ERP Implementation

7.  Choose ERP customization or configuration as per
Differences between ERP Customization and Configuration
• Business size
• Industry domain
• Allotted budget
• Existing business processes
Difference Between Configuration and Customization in ERP Implementation

8. Considerations to Follow When Deciding Between The Two
• Time availability
• Personalization
• Regular ERP Updates
• Technical expertise
• Extended Functionality
• Budget
Difference Between Configuration and Customization in ERP Implementation

9. Leveraging ERP Solution Capabilities
• ERP configuration is simple.
• Organisations still require ERP customization.
• Hire an expert ERP solution provider.
• Can choose between configuration and customization or both.
Difference Between Configuration and Customization in ERP Implementation

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