Comparison: the best free and open source ERPs
Your business is growing and you're thinking that now might be a good time to streamline your management tools? You're right: implementing an ERP won't cost you millions of euros, and will enable you to manage accounting, purchasing, customer relations and invoicing in a single environment.
Beware, however, of the costs involved in implementing an ERP: ERP management software is never entirely free, even if its licence is. Project management will inevitably take up a lot of your teams' time, and the business lines concerned will probably be affected by new uses. Make sure you don't pay the price for poor project management. The solution to avoid the worst: compare ERPs.
Open source ERP: definition
A flexible ERP solution
An open source ERP, like any ERP , is business management software made up of several business modules sharing a single database.
An open source ERP is software whose code is open, which makes it an intrinsically flexible and scalable tool, offering the possibility of configuring additional modules according to the company's business needs and changes.
Open source ERP, like all ERP, is designed to rationalise the company's business processes, i.e. to optimise data management, the interweaving of different business activities and the use of data to avoid re-entries, for example. It also enables actions to be traced, for better analysis and decision-making.
Open source ERP features
Rich in functionality, an ERP solution generally covers most areas of business management, including :
- customer relationship management (CRM)
- order management (quotations, invoicing)
- human resources management
- sales management
- stock management
- financial and accounting management ,
- project management,
- production, etc.
Open source ERP trends
The latest trends in open source ERP include
- the intensification of the move towards cloud (online) ERP, which is much more suited to modern uses,
- the development of vertical ERP, i.e. management solutions designed for the specific needs of a particular business sector (e.g. specialised for industry),
- improved integration with services that are leaders in their field, such as CRM or e-commerce platforms,
- more user-friendly than ever: ERP solutions are becoming ever more ergonomic, faster and more enjoyable to use,
- the growing importance of the technology used and the ecosystem surrounding the tool, which take precedence over the functionality itself.
By 2022, more than 70% of new applications will be developed in-house using an open source database.
ZDNet
Open source ERP: advantages and disadvantages
The advantages
- Open source ERP is free software: access to its code offers great flexibility;
- You don't need to buy a licence to use it, which saves on costs compared with a proprietary ERP and allows you to retain a degree of independence;
- Open source ERPs are often free , but not always. Modules and extensions may have to be paid for;
- Most open source ERPs benefit from a very large community of contributors, who bring in batches of improvements and bug fixes at a rapid rate (sometimes more than one update per month);
- Systematic innovation and the speed of updates mean that software obsolescence is reduced, compared with the sometimes less frequent development of SaaS-mode ERPs;
- The user communities are very responsive to your queries. So you never feel alone when faced with a support team that can't find a solution to your problems;
- For some companies, they are used as a solid, reliable technological foundation on which to develop business applications;
- They are easy to integrate and customise, even if they require resources with very good IT skills;
- These integrated management software applications are characterised by their interoperability: each business process and their interdependencies are rationalised, resulting in improved performance.
The downside
- The darker side of Open Source ERP lies in the additional services. Users who think they're getting a bargain with a free ERP often find themselves saddled with catastrophic integrations, failed updates, laborious maintenance, or even installation that takes weeks. In the case of proprietary online ERP, unlike open source ERP, the publisher takes care of everything for you (hosting + security + updates + support + availability guarantees). Calculate the start-up and running costs of the ERP in detail with an experienced third party before committing to open source.
- The second point is the most problematic: since 1 January 2018, accounting software has had to be certified to guarantee the inalienability, security, conservation and archiving of data. Since open source software can be "modified", it will never be certified, since no guarantee can be provided.
- In the event of an audit, the company hosting the ERP management software will be held responsible for complying with these legal obligations: potentially you or your IT service provider. Any company that is unable to prove that the software or systems it uses are compliant is liable to a €7,500 fine. This fine may be imposed if the taxpayer or its representative refuses to allow the tax authorities to carry out an unannounced inspection, and may be renewed if the company persists in its failings. In addition, presenting a false certificate or attestation is a criminal offence punishable by three years' imprisonment and a €45,000 fine.
- Finally, open source software is clearly not on a par with proprietary software in terms of performance, ergonomics and functional coverage. Odoo used to be an exception, but it has reduced the size of the open source core and made most of the essential functions chargeable.
In the end, if you really want to be satisfied with an ERP package, it's better to buy a pay-as-you-go solution or have a very strong team of engineers to take over all or part of the solution.
Our selection of open source ERP software
Axelor
Axelor is an Open Source ERP that not only looks good: it's ergonomic and offers a host of collaborative features.
Axelor
Axelor
Created: 2005
Number of users: unknown
Community: unknown number of contributors
Licence: AGPL 3.0
Technology : J2EE, AngularJS, JBoss, PostgreSQL, MySQL
It makes you forget about stifling ERP systems by offering clear views that enable you to work on both operational and decision-making tasks. The technologies used by Axelor are at the cutting edge of the market and are particularly well exploited in this highly interactive tool.
Compiere
Compiere is a robust ERP tailored to the most demanding requirements. Its ERP and CRM work perfectly together, and the business subsets can be customised as required.
Compiere
Compiere
Founded: 1988
Number of users: 9,000 customers
Community: number of contributors unknown
Licence: Mozilla MPL
Technology: J2EE, Oracle
Compiere is renowned for its data model, based on a highly efficient Data Dictionary accessible via the publisher and Web Services. This Open Source ERP is aimed at large SMEs looking to reduce their operating costs.
Dolibarr 6
Dolibarr is an Open Source ERP and CRM legend. It is also the only one in its category to be designed for small organisations: the self-employed, VSEs, start-ups and small SMEs.
Dolibarr ERP CRM
Dolibarr
Created: 2002
Number of users: several million
Community: 5,400 contributors
Licence: AGPL 3.0
Technology: PHP framework, mySQL database
Dolibarr is based on proven technologies developed by a dynamic community of developers. There are no functional loopholes in its modules. It is particularly advantageous because it is completely free and because of the ergonomic improvements made in its latest version.
Odoo 8
Odoo is a refreshing ERP. Designed around Apps that you assemble as you wish, Odoo is ergonomic, fast and geared towards modern sales channels.
Odoo
Odoo
Created: 2005
Number of users: 2 million
Community: 1,500 contributors and 300 employees
Licence: AGPL 3.0
Technology: Python, PostgreSQL
In its latest batch of new features, Odoo makes it possible, for example, to create an e-commerce site and manage a point of sale. It can also be used to manage talent recruitment activities. Odoo is an ERP for VSEs and SMEs that want to innovate and reinvent themselves.
Openbravo
Openbravo is an open-source ERP that has the resources to match its ambitions, thanks to some very substantial fund-raising. Openbravo is a retail-oriented classic.
Openbravo
Openbravo
Created: 2001
Number of users: unknown
Community: 20,000 contributors
Licence: MLP 1.1
Technology : J2EE / AJAX
It is particularly well-suited to SMEs in the goods trading sector, thanks to its fine-tuned management of all sales channels, as well as the products in its catalogue. The number of contributors to the Openbravo project is simply enormous, guaranteeing a long life for this Open Source ERP.
Bonus: Archipelia
Archipelia, a 100% web-based, multi-tenant*, multi-business SaaS ERP, can be seen as part of the same open source philosophy. Users are directly involved in the construction of the tool and its functional development.
Archipelia
Archipelia is both publisher and exclusive integrator, so it can ensure upward compatibility for all functionalities. Its strengths include its rich functionality, modularity and interconnection with numerous SaaS applications.
*A single, up-to-date version for all users, just like smartphone apps.
Our selection of free ERPs
Wave Accounting is an online accounting platform for small businesses, freelancers and entrepreneurs.
Founded in 2009, it offers essential functionality for accounting, invoicing, expense tracking and financial reporting. Wave is easy to use and free, making it a popular choice for those with basic accounting needs. However, for businesses with more complex needs, other solutions may be more suitable.
ZipBooks is an online accounting solution designed to meet the needs of small businesses and the self-employed.
Created to simplify financial management, ZipBooks offers features such as invoicing, expense tracking, time management and financial reporting.
ZipBooks' user-friendly interface and intuitive tools make it an attractive option for those looking for an easy-to-use accounting solution.
Kiwili is an online business management platform designed to simplify the day-to-day management of small businesses, the self-employed and entrepreneurs.
This all-in-one solution offers features such as invoicing, expense management, time tracking, project management and accounting!
Kiwili enables users to centralise their business operations, track their finances and collaborate more effectively with their team.
The user-friendly interface and customisable features make it an ideal option for those looking to streamline their management processes without investing in complex systems. Although Kiwili offers a free version, it also offers paid-for plans with more advanced features for businesses that require more advanced management and accounting functionality.
Kiwili
List of unselected Open Source ERPs
There are not many free Open Source ERPs. They are all worth mentioning to broaden your search if necessary. Here they are:
- ADempiere ERP (derived from Campiere)
- Apache OFBiz
- ERP5
- Negocia
- NOALYSS
- OBM
- Onix ERP / CRM
- OpenAguila
- OpenConcerto
- openinfo3w
- SpeeDealing
- Tryton
Conclusion
An Open Source ERP is a good solution, provided you have competent and motivated technical teams to take responsibility for managing it. The objectives must be clearly expressed upstream to guide the choice towards a generalist ERP or a specialised ERP.
Finally, beware of the darker side of Open Source ERP, such as operating costs and compliance with legislation, which will make the owners of Open Source solutions more accountable.
After reading this article, which solution will you decide to go for?
Updated article, originally published in March 2017.
Article translated from French