Open-source ERP

Preface
This article is not intended for a specific open-source ERP product, nor has some prejudice against open-source ERP, but just puts forward some ideas from the perspective of ERP users. The argument is only for confusing.

When it comes to open-source software, many people first think of Linux. In this way, a Unix-like operating system developed by an individual can fight against win systems in the server field, and has achieved great success. It is really not easy. As you can see, after using Linux servers, the company's operating costs are decreasing-compared with Windows systems, Linux is almost free. In the ERP industry, how much space does open source have?

Advantages of Open Source
The first thing that comes to mind when it comes to open source isSource codeOpen, of course, the source hereCodeOpening up is nothing more than two situations:
1. Some source code is open
Many enterprises do not infringe on their core interests. Although open-source brands are used, the core source code of system management is not open. For example, you have purchased which modules can be used, the number of users you have purchased can be used, and some underlyingAlgorithm. This type of pseudo-open-source software will not be elaborated in detail in this article.

2. Real open source code
The so-called true open source code refers to all functions of the software,ProgramIt is completely provided to enterprises, and everyone follows a specified game rule (for example, buying the right to use software source code without the right to make profits) develop, improve, and optimize the same set of products.

Problems solved by open-source ERP
I understand open-source ERP as a business model that can solve the concerns of specific customers, especially the service problems of suppliers.
The so-called service covers a wide range of areas. With the source code, customers can do the following:
1. Unlimited user scaling. With unrestricted source code, enterprises do not need to add any additional license fees as they expand. It can greatly reduce the cost of using ERP.
2. Unlimited function expansion. With the complete source code, you can expand the function as expected without any restrictions. If you want to add CRM, you can add CRM. If you want to add SCM, you can add SCM.
It can be said that as long as the complete source code is purchased, enterprises have the right to control the entire ERP project.

Scrubs about open source
Such a perfect solution seems very attractive, saving both cost and perfect control, so all ERP vendors are open-source and users can choose their own. But this is not the case. The ERP market is firmly controlled by non-open-source ERP vendors. Why? Because we still have concerns about open-source ERP.
1. ERP is not just software.
The Three-Point software implements 12 points of data at 7: points. I still don't forget to take out the data topic here, even though it won't be discussed here.
We can see from the proportion of the three seven open: how much impact the software has on an ERP project. In fact, many ERP projects fail to be implemented. The "software factors" are just an excuse. Software is just a tool-a tool that assists enterprises in management. Can it run without software companies? The chicken shines like a flying dog.
In my opinion, in addition to the convenient statistical functions covered by software functions, the last set of ERP improves the management process of enterprises. Simply copying the existing process of an enterprise into SAP, such a project cannot be called a success. So: I only think the impact is limited when talking about whether the software is open-source.

Ii. Constraints on product development
1. Understanding of software
For programmers, it would be much easier to design and develop a set of software products on their own than to make modifications on the basis of other products. The idea is your own, and the idea is your own, just how to implement it. The same problem exists for open-source products: how long it takes for programmers to understand and master the new system. Unlike the implementation of finished software, you must not only master the functions of the software, but also master the software design ideas and development skills. The length of time to master these issues. It is important for every IT manager to consider whether or not the programs to be developed later.

2. development costs
With open-source products, enterprises can develop as they wish, but there is no need to ignore the "development cost" behind this "as they wish ". Development requires a cost even if it is just a report. Although the salaries of a programmer in an enterprise are not very high, it is still a cost. That is to say, there is limited space for enterprises to develop or improve within a limited period of time. Of course, it does not matter if enterprises are willing to wait for a while, but can enterprises afford to wait in a mall like a battlefield environment?

3. Development Project Control
Many of my friends who have done program development in the enterprise have encountered this problem: many very small functions are only used to facilitate the user to query a certain data, occupying a lot of development time. However, modules that really help enterprise operation do not have time for development. This is the requirement analysis, grading, and control.
As users, it is difficult for them to think about how an ERP project should operate at a global level. The position of the ERP project team in domestic enterprises is often not very high, which makes it easy for ERP programmers to fall into such a dilemma: there will always be endless problems to solve, most of the problems to be solved are trivial. Programmers are also slowly indulging in the process of modifying the field length in the report on a daily basis, or adding or deleting several rows of data.

Iii. Concerns about open-source software
1. Product Upgrades
Development based on open-source products will inevitably affect product upgrades. For the same function, software companies have software companies and enterprises have business concerns. After a comparative secondary development, the possibility of product upgrade will inevitably be reduced. This means that the enterprise must independently undertake the subsequent maintenance work of the software. How can we balance the advantages and disadvantages?
2. continuous operation of open-source vendors
Since the product can be purchased at a low cost, you do not need to be bound by software vendors after the purchase-So where is your profit source? How can we ensure your business continuity?
A friend of an open-source ERP vendor said that he could earn profits by providing technical documents, technical support, and authorized franchisees. But will this operation model be successful? Here I come to the conclusion, but I feel like:
Selling documents to one customer is less than one customer, and the customer base is only the customers who use this ERP system. Not to mention support: people have source code. When the customer base is large enough, users can organize their own discussion groups to solve the problem. What is the profit margin? How can we maintain enterprise operations?

Environment applicable to open-source ERP
I talked about the advantages of open-source ERP, the weakness of open-source ERP, or our confusions. Naturally, I want to talk about the survival space that is suitable for open-source ERP.
1. The company has a strong IT team that can conduct in-depth analysis and expand the software.
Some programmers are required to expand the functions of the ERP system. With the continuous expansion of the enterprise scale and the increasing functional requirements of the software itself, you can either change the ERP product or upgrade the software, or you can only develop it on your own. How many development teams do enterprises need to maintain software operation? This demand for programmers is even higher. Of course, enterprises can also purchase the services of open-source software vendors, and they will be responsible for secondary development at a high price.

2. The IT team of an enterprise must be able to fully control the progress of the project.
In addition to requirements for developers, IT teams must also have independent project control capabilities. How do I allocate and manage various demands raised by various departments? How can we ensure that the tasks are completed within the specified time. Roles of IT managers or project managers are indispensable. Of course, such personnel must also have the ability to analyze the system and optimize the implementation of user needs.

3. Enterprises need a CIO to design new modules and functions from a strategic perspective.
In addition to fulfilling users' requirements, CIOs should be able to consider the future direction of software development from the perspective of enterprise operations. And plan some new functions and modules. Communicate with the IT manager or project manager to prepare a work schedule.
Ah, it seems that the IT department can also operate independently, maybe from a cost center to a profit center. Develop a new software market.

I have been engaged in Secondary Development of a foreign ERP product in a Taiwan-funded company 10 years ago. A classic ERP product must be integrated with its understanding of enterprise management in the design process. It is better to use only excel instead of the enterprise process and data transmission. How long does it take to understand this information? As a programmer, we can only have one function, one module, and one module, and 20 IT teams assign some work to each of them, switch the responsible module every three to five months to ensure the system is independent and stable. I also believe that for a mature ERP system, you need the same amount of effort to digest and absorb it.

From a purely technical perspective, programmers appreciate the emergence of such products. You can use the experience of these products for improvement, or develop similar products. From the commercial point of view, I do not deny that such a business model has a space for its survival-existence is reasonable. But from the perspective of a user, I hope that open-source ERP businesses can consider these concerns as users.

After all, the success or failure of ERP vendors is only a case, but for enterprises, the previous ERP system may be broken.