Q.What are the different kinds of accounting software packages available to a business?

Not every business needs software built entirely from scratch — most can use a standard package as it is, or with only minor adjustments.

Accounting software packages are broadly of three kinds: Readymade software, usable straightaway with little or no modification (e.g. Tally); Customised software, a readymade package adapted to a specific business's particular requirements; and Tailor-made software, built entirely from scratch for one organisation's unique needs, usually only justified for …

Accounting software packages available to businesses are broadly classified into three kinds:

1. Readymade software — a standard package that can be used straightaway by virtually any business, with little or no modification. Tally is the most widely used example of readymade accounting software in India, suited to small and medium businesses across almost any industry.
2. Customised software — a readymade package that has been adapted or configured to meet a specific business's particular requirements (for example, adding a custom report format or a specific workflow), without being built entirely from scratch.
3. Tailor-made software — software built entirely from the ground up for one specific organisation's unique needs, where no readymade or customised package can adequately serve the purpose. This is the most expensive option and is usually justified only for very large organisations or those with genuinely unusual requirements. …

Students sometimes treat 'Customised' and 'Tailor-made' as synonyms — they are not. Customised software starts from an EXISTING readymade package and adapts it, while tailor-made software is built completely fro …