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What two choices does an organization have when implementing ERP?

User Hostmaster
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Final answer:

Organizations implementing ERP systems can either customize a commercial off-the-shelf ERP software to suit their needs or develop a custom-built ERP system tailored specifically to their business processes.

Step-by-step explanation:

When implementing an Enterprise Resource Planning (ERP) system, an organization has two primary choices: customizing a commercial off-the-shelf (COTS) ERP software or developing a proprietary, custom-built ERP system.

Choosing a COTS ERP solution often means selecting a package that is pre-built and designed to be configurable to a wide range of businesses. Organizations benefit from the provider's expertise and ongoing support but may have to adapt their processes to fit the software.

Alternatively, building a custom ERP system allows for complete customization to an organization's unique requirements, but it requires significant resources and expertise and involves substantial time and financial investment. Both options involve trade-offs in terms of cost, time, flexibility, and potential business disruption.

User Chakresh Tiwari
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