After thorough testing and review, our editorial review staff has analyzed two ERP solutions: Odoo and Microsoft Dynamics 365 Business Central. We’ve examined their features, usability, and target markets to help you make the best decision for your business.
Odoo shines as an open-source ERP software, offering functionality for businesses outgrowing their simple accounting and inventory software. Specifically designed for small to mid-sized businesses, Odoo’s integrative approach accommodates a range of organizational needs, from CRM and eCommerce to manufacturing.
Odoo’s accounting module is a highlight, delivering features like bank synchronization, accounts payable and receivable, and reporting. You can even expand it further with the tax report module. Odoo’s modularity lets businesses scale up and add modules as needed, making it a flexible and adaptable solution. However, it’s important to note that deploying the software, integrating third-party apps, or customizing the source code may require technical expertise or a dedicated support team.
Microsoft Dynamics 365 Business Central, on the other hand, is a part of Microsoft’s suite of enterprise applications. It perfectly suits small companies and mid-sized businesses operating across various sectors, including manufacturing, retail, healthcare, financial services, nonprofit, and professional services.
Business Central stands out with its seamless integration with Office 365, Power BI, and Azure. It includes audit trails, multi-currency, and multi-language support, and automates recurring tasks like invoicing and reporting. However, for businesses with complex manufacturing needs, Business Central may not be the best fit. We recommend considering a dedicated manufacturing ERP system for tasks like machine monitoring and shop floor control.
For most businesses, we recommend Odoo over Microsoft Dynamics 365 Business Central. While both are effective ERP solutions, Odoo’s free community version, heavy customization options, and double entry inventory system put it ahead. It’s also generally less expensive than Dynamics 365, making it more accessible for smaller businesses.
However, if your business is deeply integrated with the Microsoft suite and you need seamless compatibility, Dynamics 365 Business Central can be a strong choice. It also has a familiar interface for anyone accustomed to Microsoft Word and Outlook, which can reduce the learning curve.
For a more comprehensive view of available options, check out our roundup of the best ERP software.