When choosing software, you need to be aware of the benefits and drawbacks of each one, and know which one best suits your needs. In this article we will answer your questions.
First of all, an ERP is a computer program designed to plan a company's resources. It is a solution that allows you to manage all administrative and financial aspects of your company, from invoicing and accounting to inventory and purchasing.
ERP systems can be classified in different ways, in relation to their characteristics. Depending on their hosting, we find cloud ERP programs (hosted on cloud servers) or local ones. Depending on whether or not they allow modification of their source code, we have open source or licensed ERP tools. And depending on the payment method, ERP programs can be free, freemium, one-time or recurring payment.
But the main difference between the various ERP programs concerns their characteristics, i.e. whether they are horizontal or vertical ERP software. Let's take a look at what vertical and horizontal ERP consist of.
ERP Verticals
Vertical ERP systems are enterprise resource planning programs that cover all the functions and needs of businesses in a given industry. They are therefore specialized tools, with modules designed specifically for the industry in question. There are, for example, ERP systems for industry, designed for companies in this particular sector.
They have functionalities targeted to your industry.
They provide more added value and do not require so many adaptations to the program.
They are suitable for companies that cover the entire supply chain within an industry.
It helps the company to evolve technologically, since it adjusts to the particularities of the industry in question.
It allows you to increase your productivity and competitiveness, and can be seamlessly integrated with other tools.
It favors cost savings, since it is not necessary to make excessive modifications.
Horizontal ERP
Horizontal ERP systems are flexible and adaptable tools for different industries. They contain the functions most commonly needed by companies, such as purchasing and sales, inventory and warehouse management, customer relationship management (CRM), data analysis and accounting. While they do not include modules developed specifically for a particular industry, they are flexible solutions that can be adapted to meet the needs of many businesses.
When talking about horizontal and vertical ERP systems, it is crucial to know their benefits and drawbacks. If your business belongs to a very specific sector, for example, the wine industry, you will probably need a specialized tool with functionalities developed specifically for your sector, with which you can manage wineries and vintages. On the other hand, if you have a small or medium-sized company that sells household appliances, your best option is probably a general ERP system designed for SMEs.
In the case of businesses that not only market products, but also manufacture them, it would be advisable to opt for a vertical ERP software. In any case, if you are looking for an ERP tool for your company, you should rely on an ERP system provider that can offer you advanced tools and, in addition, advise you on how to implement them in your company.
Zucchetti Spain has the most complete ERP software portfolio in the market, including vertical tools developed for a multitude of sectors: industry, automotive, engineering, machinery rental, wine, agriculture, construction, installation, distribution or services. We also offer a horizontal ERP solution, Solmicro ERP 6, a flexible, adaptable and modern tool that you can customize to fit your company's needs.
We want to be your technological ally. If you want more information about Zucchetti Spain's ERP systems, contact us and we will advise you so that you can implement the most suitable tool for your company.
