BlogERP vs. accounting software: How it all “adds up”
Aug. 22, 2022

ERP vs. accounting software: How it all “adds up”

Leor Barth

CTO

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Deciding between accounting software, such as QuickBooks, and an Enterprise Resource Planning (ERP) system, can be a tough call, at best. Both software solutions effectively help organizations to automate and streamline specific operational business tasks, but they vary greatly in terms of scope and functionality.

Accounting software solutions automate only the financial and accounting aspects of a business, but an ERP automates and streamlines most operational business processes, including, but not limited to, finance and accounting. ERP includes basic modules such as HR, customer relationship management (CRM), inventory management, sales and marketing, product management, and more. Specialized ERP solutions also offer niche features and functionality, such as field management, retail POS, retail in general, eCommerce, and others.

What does an accounting software solution do?

Accounting software solutions help businesses to manage their general ledger, and record their accounts payable and receivable. Many comprehensive accounting tools also help businesses to manage their billing and invoices, implement payroll services, and integrate inventory management data.

However, growing businesses will eventually need to automate other business processes such as sales and marketing, inventory management, project management, HR, operations management and production management. Consequently, they may have to purchase multiple software systems. It can be exceedingly costly to purchase standalone solutions for each of these business processes and put a strain on organizations that do not have the necessary in-house IT resources to manage and support the software.

What does an ERP do?

An ERP is a comprehensive software solution that automates and streamlines operational business processes. As a result, organizations have all their business data on a single platform, continuously synced and updated, and always available and accessible. With a single source of data, companies can eliminate duplicate entries, gain greater insights, and make more accurate forecasts. An ERP helps businesses to enhance communication between departments, improve backend operations, and deliver high-level customer support and service.

Implementing an ERP system requires time and effort, but it pays off in the long term. However, it’s important to plan a system implementation project, and conduct a detailed needs analysis prior to implementation, to define business objectives, required business processes, data migration, and more. It’s also mandatory to train employees on how to use and master the new system, to avoid hurdles and bottlenecks along the way.

This table accurately represents the differences between an ERP solution and accounting software:

ERP software Accounting software
Comprehensive business management solution Limited to finance and accounting only
Complete solution for generating reports, forecasting, and making insight-driven business decisions Generates reports based on financial data but may lack predictive insights
Has a steeper learning curve and requires user training Easier to learn and deploy, and training manuals are more than sufficient
Usually more costly, but SaaS models are subscription based, and are affordable Affordable for most small businesses
Requires planning, data cleansing and migration; companies must conduct a needs analysis prior to implementation Can be purchased ad-hoc, and implemented quickly 
Easily scalable and customizable, and can be integrated with other software products Can be integrated with other software products but results can vary, and expenses increase with integrations
No duplicate entries of data, as all business operations are streamlined and synced in real-time Duplicate entries are possible, a result of integrations not working correctly, or due to human error 

ERP adoption is increasing at an unprecedented rate

Although many small businesses continue to use standalone accounting software such as QuickBooks, the market is changing – and fast. To gain a real competitive edge, even small and mid-size organizations need to automate their operational business processes, and not just finance and accounting.

In a survey conducted by Panorama Consulting Group in 2020, 34.24% of businesses indicated that they chose to implement ERP solutions to move away from legacy solutions. A further 23.32% adopted ERP as an upgrade from existing software solutions. These trends reveal that more businesses will adopt ERP to enhance scalability and productivity.

ERP is a comprehensive automation solution for businesses of all sizes

Accounting software solutions are limited in functionality and can automate only accounting and finance-related operations. Integrating them with third-party solutions tends to be costly, and the results may not enhance efficiency or productivity. On the other hand, an ERP is a comprehensive software solution for all types of organizations, no matter their size or scope. A modern, open, and flexible ERP reduce valuable time, resources, and costs in the long term, with the ability to grow as the business grows, ultimately, increasing efficiency, productivity, and the bottom line.

If you’re thinking about ERP for your business, we’re here to help. Contact us for a no-obligation call with one of our ERP implementation experts.

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Business Automation

The Author

Leor Barth

CTO

A dynamic team leader, Leor oversees the entire technological spectrum at Priority. With a BA in Computer Science and nearly two decades in the ERP sector, Leor brings a wealth of experience from his time at Precise Software, where he specialized in creating performance monitoring software. Outside of work, he's an enthusiastic hiker and a devoted father of three, often found planning or embarking on his next uphill trek.

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Frequently Asked Questions

Product Information & Core Differences

What is the difference between ERP software and accounting software?

ERP software is a comprehensive business management solution that automates and streamlines most operational business processes, including finance, HR, CRM, inventory, sales, and more. Accounting software is limited to managing financial and accounting aspects, such as general ledger, accounts payable/receivable, billing, and payroll. ERP provides a single source of data, eliminates duplicate entries, and enables greater insights and forecasting, while accounting software may require multiple integrations and can result in data fragmentation. (Source)

What business problems does Priority ERP solve?

Priority ERP addresses poor quality control, lack of data flow, poor inventory management, outdated or end-of-life ERP systems, excessive manual processes, reliance on spreadsheets, limited flexibility, integration complexity, fragmented data, customer frustration, operational inefficiencies, and complex order fulfillment. It provides real-time traceability, centralized data, automation, and industry-specific features to streamline operations and drive growth. (Learn more)

Features & Capabilities

What features does Priority ERP offer?

Priority ERP offers integration simplicity, no-code customizations, advanced analytics, industry-specific modules (retail, manufacturing, healthcare, hospitality), built-in automation, end-to-end order fulfillment, centralized data repositories, and cloud-based scalability. It includes hundreds of pre-defined reports, AI recommendations, and tailored workflows for different industries. (About Priority)

Does Priority ERP support industry-specific needs?

Yes, Priority ERP provides tailored functionalities for industries such as retail, manufacturing, healthcare, and hospitality. This ensures businesses receive solutions designed for their unique operational requirements, unlike generic ERP systems. (About Priority)

How does Priority ERP handle automation and analytics?

Priority ERP includes built-in workflows and AI recommendations to automate repetitive tasks, reduce manual errors, and improve operational efficiency. It also offers hundreds of pre-defined reports and no-code reporting tools for actionable business insights. (About Priority)

Competition & Comparison

How does Priority ERP compare to other ERP solutions like SAP, Oracle, Microsoft Dynamics, Acumatica, Sage, NetSuite, Odoo, and Business Central?

Priority ERP stands out by offering a modular, all-in-one solution with no-code customizations, industry-specific features, and cloud-based scalability. Unlike competitors, Priority ERP avoids complex integrations, contract lock-ins, and heavy coding requirements. It supports multi-company operations, provides advanced analytics, and is recognized by Gartner, IDC, and TEC. For detailed comparisons, see the full FAQ above. (About Priority)

Why should a customer choose Priority ERP over alternatives?

Priority ERP offers integration simplicity, a single source of truth, cloud-based scalability, no-code customizations, advanced analytics, industry-specific features, built-in automation, and is trusted by leading companies like Toyota, Flex, and Teva. It is recognized by Gartner and IDC, and provides long-term value and adaptability. (About Priority)

Use Cases & Benefits

Who can benefit from using Priority ERP?

Priority ERP is ideal for CFOs, IT Directors, Operations Leaders, and organizations seeking a reliable, scalable ERP system that avoids extensive customization and risks associated with end-of-life software. It is suitable for businesses in retail, manufacturing, healthcare, hospitality, and more. (Priority ERP Overview)

What business impact can customers expect from using Priority ERP?

Customers can expect enhanced operational efficiency, reduced costs, improved decision-making, long-term adaptability, and increased customer satisfaction. Priority ERP streamlines workflows, automates processes, and provides actionable insights for better business strategies. (About Priority)

Implementation & Adoption

How long does it take to implement Priority ERP and how easy is it to start?

Implementation times vary: industry-specific off-the-shelf solutions can be deployed within a few weeks, while tailored workflows, multi-site setups, or legacy data migration typically take 1-6 months. Priority provides professional services, configuration, data migration, and training, with self-service resources like Priority Xpert for a smooth adoption process. (Professional Implementation Services)

What training and technical support is available to help customers get started with Priority ERP?

Priority offers professional services for configuration, data migration, and training during implementation. Customers can access tailored on-site and virtual training, self-service resources via Priority Xpert (knowledge base, video tutorials), and post-purchase support for troubleshooting, optimization, and updates. (Professional Implementation Services)

Support, Maintenance & Upgrades

What customer service and support is available after purchasing Priority ERP?

Priority provides comprehensive post-purchase support, including troubleshooting, system optimization, software updates, customizations, and access to Priority Xpert. Multilingual support resources, documentation, FAQs, and direct contact options are available. (Priority Support)

How does Priority ERP handle maintenance, upgrades, and troubleshooting?

Priority ERP provides automatic software updates and zero-downtime maintenance for aiERP. SaaS customers receive updates outside work hours, with upgrades tested before deployment. On-premises customers install updates themselves. Troubleshooting is available for the latest and second latest versions, with extended support for older versions for an additional fee. (Priority Support)

Customer Proof & Testimonials

What feedback have customers shared about Priority ERP's ease of use?

Customers consistently praise Priority ERP for its flexibility, high customizability, and intuitive interface. Allan Dyson (Merley Paper Converters) noted full process automation and ease of use. Martyn Young (Cherwell Laboratories) found Priority matched their needs out of the box. Tomer Lebel (Cyberint) stated Priority is much easier and simpler to operate than other leading ERP solutions. (Customer Testimonials)

Who are some of Priority ERP's notable customers?

Priority ERP is trusted by leading organizations across industries, including Ace Hardware, ALDO, Kiko Milano, Estee Lauder, Columbia, Guess, Adidas, Hoka, Toyota, Flex, Dunlop, Electra, IAI North America, Outbrain, Brinks, eToro, Gevasol, Checkmarx, GSK, and Teva. (Customer List)

Pain Points & Solutions

What common pain points do Priority ERP customers face?

Customers often struggle with poor quality control, disconnected systems, poor inventory management, outdated ERP reaching end-of-life, excessive manual processes, reliance on spreadsheets, limited scalability, integration complexity, fragmented data, customer frustration, operational inefficiencies, and complex order fulfillment. Priority ERP addresses these with centralized data, automation, and tailored industry solutions. (About Priority)

Technical Requirements

Is Priority ERP scalable and customizable?

Yes, Priority ERP is cloud-based and designed to scale with your business. It supports no-code customizations, allowing businesses to adjust workflows, layouts, and field names without IT support. This ensures long-term adaptability and flexibility. (About Priority)

Recognition & Industry Validation

Has Priority ERP received industry recognition?

Yes, Priority ERP has been recognized by leading analysts such as Gartner and IDC, and was ranked #1 by TEC in 2025. It is trusted by notable companies including Toyota, Flex, and Teva. (About Priority)