Kailash Anwala - TechStoriess.com

They tend to focus more on practical decision making, ROI driven and operational-focused ERP, which a homegrown ERP provides. After the pandemic, India’s digitalisation has accelerated massively, as businesses started digitising operations faster, companies demanded flexible software’s, and demand for cloud-based solutions also increased. Global ERPs are very expensive and resource-intensive - it has high licensing and subscription costs, maintenance expenses, additional hidden costs, and more over it often do not serve the purpose according to Indian standards. Hence, Indian SMEs and mid-sized companies prefer homegrown ERPs as simpler systems improve employees’ adaptation and increase efficiency, also helping in faster onboarding and high usability. India has its specific taxation and GST compliance requirements, different payroll structures, vendor ecosystem and frequent regulatory changes, which make it different from Global markets. So, localization is definitely becoming an advantage. Indian ERP understands local business realities better than any Global tool. It supports regional operations, local accounting practices and compliance structures. Businesses prefer such software designed around the Indian workflow for their ease. Another turning point is GST integration for many ERP providers. Indian ERP adapt quickly to GST-related changes, while Global platforms often require longer customisation cycles. Indian ERP also provides faster implementation and customisation. Businesses cannot afford an ERP deployment that takes months. Faster onboarding reduces operational costs. Indian firms are often more willing to customise workflow according to client requirements. Another differentiator is the customer support and responsiveness. Indian ERP are more agile and accessible and business value direct communication and quick troubleshooting, hence creating stronger long-term business relationships. Industry-focused ERP is replacing one-size-fits-all enterprise platforms. Sectors like manufacturing and logistics need customised inventory and procurement workflows, while real estate requires project-based management systems. Homegrown ERPs are sector-specific and hence, it is gaining traction in India. The current India’s Saas ecosystem is subsequently leading to the rise of homegrown ERP platforms. India has been evolving from an outsourcing hub into a product innovation ecosystem, the new startups focus on high growth and cost sensitivity, hence domestic software has an edge over global. Domestic ERP firms are no longer just a low-cost alternative but have been innovating rapidly across all sectors. Indian ERP firms are becoming globally competitive, expanding into different markets. Competitive pricing combined with customisation flexibility has given a big advantage. Although Global ERP still dominates large multinational enterprise operations. Indian firms are building a strong position in the market and sector-focused segments. Businesses have become conscious and simply prefer solutions that are operationally aligned and economically sustainable. The rise of homegrown ERP platforms reflects the maturity of India’s Saas and technology systems. Localisation, agility, affordability and scalability are becoming the future of ERP adoption in India. Article contributed by Kailash Anwala, Founder & Managing Director, UniSteps

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Why Are Indian Firms Moving Away From Global ERPs?

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