Digitalization as a Competitive Differentiator: ERP Adoption Challenges in Indian Garment SME Clusters

Author(s)	Suraj Mishra, Dr. Jyoti Sah, Prof. Dr. Bhawna Sharma
Country	India
Abstract	The garment manufacturing industry of Ulhasnagar works as a vital textile production center but is still plagued by disorganized work and manual inefficiencies. Digitalization for SMEs has become a survival strategy, although it is perceived to be a luxury for giant corporations more often than not. This essay reviews the shift from manual accounting to the use of computerized ERP. Specifically, it looks at the dominance of Tally as a financial tool in contrast with the need for specialist ERP systems-like Logic ERP or Odoo-which handle complicating aspects like job-work management, consumption of fabric, and tracking of size-color matrixes. The study concludes that while Tally remains the "financial backbone," the ability to survive in the post-GST competitive environment requires deeper operational ERP integration for scalability and minimum revenue leakage. It does this through reviewing recent literature and comparative software analysis.
Keywords	ERP Adoption, SME Survival, Ulhasnagar Garment Sector, Tally vs. ERP, Digitalization, Inventory Management.
Field	Business Administration
Published In	Volume 6, Issue 6, November-December 2025
Published On	2025-11-27
DOI	https://doi.org/10.63363/aijfr.2025.v06i06.2269
Short DOI	https://doi.org/hbdssv

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