Know the Difference between Accounting Software and ERP

All companies, including in the category of Small and Medium Enterprises (SMEs), medium to large businesses, will certainly need a system that will be able to accommodate all needs in various fields. The best solution to accommodate all the needs of a company is accounting and ERP software. However, there are still many people who do not know the difference between Accounting Software and ERP, both in terms of specifications, functions, and how it works.

Although they have some similarities in terms of functionality, but basically these two software also have differences. Entrepreneurs must, of course, know the difference between these two softwares in order to use them efficiently. What are the differences between accounting software and ERP systems? Check out his review below.

Accounting Software

Accounting software is a program designed to facilitate the work of accountants in terms of recording business transactions so that it no longer needs to be done manually. Currently, various accounting activities such as recording purchases, sales, payroll ledgers, and other activities can certainly be done with accounting software. This of course will make financial reports easier to obtain.

In general, financial accounting software itself aims to facilitate the activities of an accountant when they make financial reports. This software will also provide various benefits for companies, such as:

• Accelerate in working on financial reports
• Avoid a mistake
• Helping companies during the decision-making process through accurate data
• Knowing the company's financial condition

By using this accounting software, financial reports consisting of a balance sheet, ledger, statement of cash flow, trial balance, profit and loss, audit of KKP files (Tax Service Office, and so on.

ERP system

Enterprise Resource Planning or what is often referred to as an ERP system is a concept for planning and managing resources within a company. This system consists of an integrated program application package and multi-modules to support all company needs. In addition, the ERP system itself can function to serve and support various types of business processes so that operational activities will be more efficient.

In contrast to the function of accounting software, the difference between Accounting Software and ERP is that ERP systems are known to place more emphasis on the planning process, resource analysis, sales, purchasing management, accounting, resource management, and inventory. Generally, ERP systems can run almost all operational activities in the company. Everything of course will run automatically connected to each other.

ERP systems can also be adapted to various business models and company industries, ranging from retail, manufacturing, or educational institutions. This system also has many benefits, such as:

• Make work easier and faster
• Reduce human error
• Provide important information for the company
• Assist management in making decisions
• Provide solutions to various types of issues about consumers
• Increase business productivity, keep inventory safe, and so on.

The difference between Accounting Software and ERP lies in the needs of each company. Accounting software in general can only be used by the accounting or finance division and is used by accountants. While the ERP system itself can be used by company divisions and every employee through granting access.
Before deciding to choose these two software, make sure the company knows its needs first. Other information about accounting software and ERP can be found on the Soltius website https://www.soltius.co.id/id/blog/mengenal-software-acuntansi-dan-benefit.