Business Process Requirements for Indonesian Small Medium Enterprises (SMEs) in Implementing Enterprise Resource Planning (ERP) and ERP Systems Comparison

Based on Central Agency on Statistic (Badan Pusat Statistik – BPS), the growth of SMEs in Indonesia is increasing rapidly. In order to increase their competitive advantage, SMEs need to implement ERP system. However, most of ERP systems in the today market are very complex and not suitable for Indonesian SMEs. This paper presents the requirements of Indonesian SMEs’ main business processes which are focusing in marketing, distributing, selling and production processes by randomly distributing questionnaires to SMEs. Based on our analysis, those processes are urgently needed to be standardized and implemented in ERP system due to their strategies to increase their market share. In addition, this study also conducts the comparison of ERP systems through thorough observation to give insight for SMEs owners if they choose to buy an ERP system. According to our observation, SAP Business One or Compiere Community Edition could be selected by SMEs due to their detailed and complete