ERP Application: Modules, Deployment, Top ERP Systems and Trends

An ERP application is an integrated business management system that connects and automates core processes, such as finance, inventory, sales, human resources, and operations, within a unified data system.

According to the ERP Report by Panorama Consulting Group, almost 91% of companies that had used their ERP system for at least a year reported that their biggest benefit was better-optimised inventory levels.

Across Australian industries, ERP adoption has accelerated as companies seek to tackle rising operational costs, productivity gaps, and data fragmentation. For instance, a healthcare client we supported relied on more than a dozen separate systems for accounting, inventory, and payroll, creating redundant data entries and compliance risks. Consolidating these functions under one ERP system simplified reporting, reduced administrative workload, and improved decision accuracy.

In this article, you’ll learn how ERP applications manage key business functions, explore different deployment models, review leading ERP systems in 2025, and discover emerging trends shaping the future of ERP software.

Key Functions and Benefits of ERP Applications

The main function of an ERP application is to connect every part of a business into one intelligent system that centralises data, automates processes, and offers real-time insights. The image below highlights how ERP systems reshape day-to-day management into a cohesive, data-driven workflow.

• Centralised Data and Unified Processes: ERP systems integrate all core business data into a single, consistent source of truth. For Australian businesses managing multiple compliance requirements, such as GST, BAS, and STP, this single database keeps reporting accurately, traceably, and audit-ready.
• Automation and Workflow Management: By handling rule-based processes, such as invoice creation, purchase approvals, and payroll submissions, it shortens cycle times and reduces manual effort. This allows teams to focus on higher-value initiatives that drive business growth.
• Real-Time Analytics and Reporting: Modern ERP turns operational data into actionable intelligence. Real-time dashboards and analytics tools reveal performance trends and key metrics instantly, helping leaders make faster, better-informed decisions.
• Enhanced Collaboration Across Departments: ERP links finance, operations, HR, and sales into one platform, removing silos and communication gaps. The result is stronger accountability, smoother coordination, and faster problem-solving.
• Operational Efficiency and Cost Control: By replacing multiple disconnected systems with one streamlined platform, businesses reduce administrative workload, eliminate duplication, and gain clearer visibility over costs and resources.
• Scalability and Future Readiness: ERP applications are designed to scale with business growth, whether expanding user access, integrating new modules, or migrating from on-premises to cloud environments. 

These functions show that ERPs don’t merely manage data but shape how organisations operate, collaborate, and adapt to change. Next, we’ll examine the core ERP application modules that enable these benefits in finance, HR, supply chain, and beyond.

7 Core Modules Of ERP Application

The ERP system comprises seven core modules, including finance, supply chain, sales, manufacturing, human resources, project management, and business intelligence. Together, these modules form a connected ecosystem that supports financial control, efficient production, customer engagement, workforce management, and real-time performance analysis. See the illustration below for an overview of seven modules within a single ERP system.

Finance & Accounting

The Finance and Accounting module manages the entire financial lifecycle, from budgeting and journal entries to reporting and compliance. It supports multi-currency transactions, automated bank reconciliation, and real-time cash flow tracking. For Australian companies, built-in GST and BAS reporting keeps operations compliant with ATO regulations. Learn more about how ERP streamlines financial management in our guide to ERP finance.

Supply Chain Management

Supply Chain Management ensures materials and products move efficiently from suppliers to customers. It oversees stock levels, barcoding, reordering, vendor relationships, and logistics coordination. Advanced tools for forecasting, landed-cost tracking, and RFQ management help manufacturers and distributors control costs and maintain just-in-time inventory. See how integrated supply chain tools reduce delays and costs in our ERP for Supply Chain Management overview.

Sales & CRM

The Sales and CRM module connects front-end sales processes with back-end operations. It manages pipelines, quotations, orders, and after-sales service, allowing teams to deliver consistent customer experiences. By linking customer data with finance and inventory, sales teams can price accurately, forecast demand, and strengthen customer loyalty through data-driven engagement.

Manufacturing & Production

The Manufacturing and Production coordinates every stage of production to align output with demand. It manages Bills of Materials (BOMs), Material Requirements Planning (MRP), work orders, and quality checks, ensuring efficiency and consistency. Built-in traceability features help manufacturers track components and maintain compliance with ISO and industry standards.

Human Resources & Payroll

The HR and Payroll module centralises employee data and automates payroll, leave, and compliance. Functions such as STP Phase 2 reporting, expense tracking, and timesheets simplify administration while ensuring accuracy and adherence to Fair Work and ATO rules. Read how ERP transforms workforce operations in our ERP HR article.

Projects & Services

Project-based organisations rely on the Projects and Services module to plan, track, and bill work effectively. It monitors time, budgets, milestones, resource allocation, and billing status across multiple engagements. By integrating with finance and HR, it provides real-time visibility into project costs and margins, helping service-based companies make informed decisions and improve profitability.

Reporting & Business Intelligence Analytics

The Reporting and BI module transforms business data into insights that guide strategic decisions. It delivers real-time dashboards, KPI tracking, and performance analytics, allowing leaders to identify trends, measure outcomes, and forecast accurately. Many modern ERP systems also embed AI-powered analytics to automate reporting and uncover opportunities for optimisation across finance, operations, and sales.

Learn the details in our complete guide to ERP modules.

Together, these core modules create operational harmony across every department. Next, we’ll explore the ERP deployment models, including cloud, on-premises, and hybrid, and how each option impacts cost, scalability, and compliance for Australian organisations.

3 Main ERP Deployment Models: Pros & Cons

There are 3 main options to deploy a modern ERP application: on-premises, cloud-based, or hybrid scenarios that combine both ways. The illustration below highlights the three main ERP deployment models and how they differ in architecture and business impact.

• On-premises: This is the classic software deployment model where you are in complete control. Typically, you can install the ERP application wherever you want in your data centre. However, your IT team is responsible for installing and maintaining its software and hardware. Many businesses are moving from on-premise to cloud ERP as an advancement. This upgrade process requires careful preparation and a thorough evaluation process for ERP and deployment alternatives.
• Cloud-based: Cloud-based means that the ERP application is provided as an internet-based service and hosted in the cloud. Typically, the ERP vendor handles security, upgrades, and routine maintenance on your behalf. Cloud ERP is currently a commonly used deployment approach for a variety of benefits, such as lower upfront and maintenance costs, robust security measures, scalability and agility, simpler integration, and more.
• Hybrid: The hybrid cloud ERP option is available for businesses that need a combination of both to satisfy their needs. Here, you will have both on-premises and cloud-based ERP apps and data.

Selecting the right deployment model is only the first step in ERP planning. The next decision lies in choosing the ERP software that best aligns with your organisation’s size, industry, and compliance needs. Next, we’ll explore the top ERP systems in Australia, comparing their capabilities, localisation features, and relevance to small, medium, and enterprise-level organisations.

Top Popular ERP Applications for Australia

The most widely used ERP systems in Australia, including Odoo ERP, Microsoft Dynamics 365, SAP Business One, Oracle NetSuite ERP, and MYOB Accumatica, help businesses bring every part of their operations together in one connected system. These platforms are built to simplify compliance, improve efficiency, and support growth across industries of all sizes. Below is an overview of the key features of each ERP platform trusted by Australian businesses.

Odoo ERP

Odoo ERP is an open-source, modular ERP platform widely adopted by Australian SMEs seeking flexibility and affordability. It covers finance, inventory, manufacturing, CRM, HR, and project management within a single unified interface.

Key Features:

• Modular design covering over 50 business apps (AI, EGS, Finance, CRM, Inventory, HR, Manufacturing, etc.)
• Built-in Australian localisation for GST, BAS, and STP Phase 2 compliance
• Flexible deployment, available in cloud or on-premise models
• Intuitive interface with real-time reporting dashboards
• Active open-source community and affordable scalability

Microsoft Dynamics 365

Microsoft Dynamics 365 combines ERP and CRM capabilities within a unified cloud ecosystem integrated with Microsoft 365 tools. It enables medium and large organisations to manage finance, operations, customers, and sales with real-time data and AI insights.

Key Features:

• Comprehensive ERP and CRM integration with Power BI and Azure AI
• Cloud-based architecture with strong data governance and Australian privacy compliance
• Scalable modules for Finance, Supply Chain, Services, Customer Experience, and Operations
• Custom workflows and process automation via Power Platform
• Seamless integration with Microsoft Office 365 and Microsoft Teams

SAP Business One

SAP Business One is a proven ERP solution for small to medium-sized enterprises (SMEs) needing robust control over finance, manufacturing, and supply chain. Built for reliability and compliance, it provides end-to-end process visibility within a single database.

Key Features:

• Integrated modules for finance, purchasing, production, and analytics
• Australian localisation for GST, BAS, and e-invoicing
• On-premise and cloud deployment flexibility
• Centralised database for real-time operational control
• Extensive partner network across Australia for local support

Oracle NetSuite ERP

Oracle NetSuite ERP is a fully cloud-based ERP platform designed for growing enterprises and multi-entity organisations. It offers unified management of finance, supply chain, and order management with real-time visibility across all business units.

Key Features:

• Cloud-native platform with multi-company, multi-currency support
• Built-in GST/BAS compliance and advanced financial reporting
• Real-time dashboards for executives and managers
• Strong automation for order management and billing
• Scalable infrastructure suited for global expansion

MYOB Accumatica

MYOB Accumatica (formerly MYOB Advanced) is a cloud ERP solution localised for Australian and New Zealand businesses. It supports end-to-end management of finance, payroll, inventory, and customer service, with strong compliance and local hosting.

Key Features:

• Fully cloud-based ERP with local data centres in Australia
• STP Phase 2 and ATO-compliant payroll functionality
• Comprehensive financial, inventory, and project management modules
• Real-time business analytics and workflow automation
• Dedicated local support and partner ecosystem

The ERP systems leading Australia’s market today share a common focus: integration, compliance, and scalability. In the next section, we’ll explore the future trends shaping ERP applications, including AI integration, modular cloud architecture, and sustainability-driven innovation that are redefining how Australian businesses operate.

The Future Of ERP Application - Emerging Technology Trends

Future ERP trends are reshaping how businesses operate by introducing AI-driven intelligence, sustainability-focused modules, and composable architectures that adapt to changing needs. These innovations are moving ERP systems' transactional tools into predictive, connected, and sustainable business platforms. Below is some of the latest technologies that you can consider to improve your ERP and get a competitive advantage.

• Artificial Intelligence (AI) and Machine Learning (ML): AI and ML are transforming ERP applications into intelligent decision-support systems. By analysing patterns across finance, operations, and supply chain data, AI helps predict demand, optimise inventory, and detect financial anomalies before they escalate. Many modern ERP platforms, such as Oracle NetSuite, Dynamics 365, and Odoo, now embed AI-powered process automation to enhance efficiency and reduce human error. Explore how Odoo AI and Dynamics 365 Copilot enhance forecasting, simplify reporting, and improve user productivity.

• Sustainability & ESG Modules: Sustainability and ESG modules are emerging as key components of next-generation ERP systems. These modules enable businesses to track carbon emissions, monitor energy use, and report on social impact metrics directly within their ERP dashboards. The new ESG app introduced in Odoo 19 is an example of how ERP vendors are embedding sustainability into day-to-day operations, helping businesses align with Australia’s climate disclosure frameworks and ESG reporting obligations.
• The Rise of Composable ERP: Composable ERP represents the shift toward modular, flexible ERP architectures that allow businesses to select and integrate only the components they need. As explored in our guide to composable ERP, this model enables faster innovation, lower upgrade costs, and easier adaptation to new compliance or market requirements, key benefits for Australian organisations pursuing agility.

Understanding these emerging ERP trends helps businesses make informed choices about technology adoption and system design. Next, we’ll address common FAQs and expert insights on ERP applications, offering practical guidance for Australian organisations evaluating ERP readiness, deployment options, and success factors for implementation.

ERP Application - Frequently Asked Questions

1. Is ERP software suitable for small businesses?

Yes, ERP software is suitable for small businesses, especially those looking to scale. Many ERP vendors, like Odoo or MYOB, offer affordable, modular solutions that allow small businesses to start with basic functionalities and expand as they grow. Explore top 5 ERP software for small businesses in Australia.

2. Is Xero an ERP?

No, Xero is primarily a cloud-based accounting software designed for small to medium-sized businesses. However, Xero can integrate with ERP systems, such as Odoo, to offer a seamless flow of financial data and extend its capabilities. For more on how Odoo integrates with Xero, check out Odoo and Xero integration.

3. How long does it take to implement an ERP system?

The time required to implement an ERP system varies depending on the complexity and scale of the business. For small businesses, implementation can take as little as 3 to 6 months, while larger companies may need 6 to 12 months to fully deploy and integrate an ERP solution.

In conclusion, an ERP application brings together every part of a business, from finance and inventory to people and production, into a single connected system. For companies in Australia and New Zealand, choosing the right ERP is a step toward transforming how your business runs. Ready to see how ERP can streamline operations and drive growth? Consult with our team to find the solution tailored to your industry, your team, and your future.