>Odoo vs ERPNext - Overview

Odoo and ERPNext are both leading web-based open-source ERP software solutions, written in Python and JavaScript.

I believe ERPNext is the better choice because

ERPNext is truly open-source. It has no closed or paid modules.

ERPNext comes with a complete set of features and is ready to use right after installation. Although ERPNext has fewer users compared to Odoo, the programming languages it uses are popular and modern, making it relatively easy to find developers.

Company Information#

ERPNext#

• Developer: Frappe Technologies Private Limited
• Headquarters: Mumbai, India
• Number of Employees: ≈ 20
• Number of Developers Contributing: ≈ 33 (as of September 2018)
• Main Revenue Source: ERPNext Cloud (per user/year)

Advantages

• ERPNext does not restrict features to paid modules. All development is released under open source, ensuring every user gets the best version of the software without extra cost.

Odoo#

• Developer: Odoo S.A.
• Headquarters: Brussels, Belgium
• Number of Employees: ≈ 500
• Number of Developers Contributing: ≈ 110 (as of September 2018)
• Main Revenue Source: Odoo Enterprise License (per user/year & per app/year)

Advantages

• Odoo has a larger company size and more contributors, making it easier to find developers and implementers.

Disadvantages

• Since the company’s main revenue comes from selling Odoo Enterprise licenses, many developments are restricted to the Enterprise edition. This means users must pay extra to get the best version of the software.

Software Development Approach#

ERPNext#

Focuses on developing ERPNext and the Frappe Framework to be complete and ready to use.

All modules are included in ERPNext, such as Inventory, HRM, CRM, Project Management, Purchasing, and more.

Once ERPNext is installed, all modules are ready to use immediately without any additional installation.

Advantages

• All modules in ERPNext and the Frappe Framework are of high quality, as they are reviewed and audited equally by developers worldwide.
• Users can start working right after installing ERPNext without spending extra time or money searching for and testing add-on modules.

Disadvantages

• There are fewer paid module options compared to Odoo. If users have unique requirements not covered by ERPNext’s default features, they may need to hire custom development, which could cost more than buying a ready-made module.

Odoo#

Focuses on development by dividing features into smaller modules, allowing users to choose or purchase only the modules they need.

Some new features or modules are restricted to Odoo Enterprise, requiring a license fee to use.

After installing Odoo, users must select and install the desired modules and features.

Advantages

• Users can install only the modules they need.
• A wide selection of paid modules is available; if a user finds one that fits their needs, they can save on development costs.

Disadvantages

• Many modules may not be developed to the highest quality standards.
• Users might spend extra time and money searching for and evaluating the right modules.

Release of New Versions#

ERPNext#

• Frequently releases new features and updates.
• Uses Semantic Versioning: x.y.z
  • x = Major – changes when new features are released that are not backward compatible.
  • y = Minor – changes when new features are added.
  • z = Patch – changes when patches are released to fix bugs.
• Provides migration scripts to move data between versions.

Advantages

• Upgrading between versions is straightforward.
• Users always get the latest features.

Disadvantages

• Less stable compared to Odoo because ERPNext releases new features frequently.
• Continuous updates are recommended to maintain compatibility.

Odoo#

• Releases a new version once per year, with no new features added mid-year.
• Mid-year updates are limited to bug fixes, with no new features.
• No official migration scripts are provided; users must rely on OCA or pay for migration services.

Advantages

• More stable because no new features are added mid-year.
• Each version is guaranteed to receive bug fixes for 3 years.

Disadvantages

• Upgrading between versions is not straightforward.