HR Modules : Branch vs Company

Dear Sir,

Just wonder how does the branch work in HR modules?
At first my assumption was the branch was a new entity of a company when created.
But, after I create a new branch in HR module, it didn’t show in new Setup --> company list.
What is the relation than for branch & company?

Second question : in Setup --> Global Defaults , is the “Default Company” refer to the holding company if we have multiple branch company?

Many thanks for your response.


i think it’s something like this:

Company A
–> branch 1
–> branch 2
Company B
–> branch 1
–> branch 2
Company C

1 Like

Hi jlx

Thanks for your feedback. :smile:
Ok it make sense.

Than “Default company” , does it mean the holding (main) company?
Should I conclude the HR module was able to handle corporate multi company structure?


Yeah for most parts. Though we recommend separate instances for separate companies.

Hi Rmehta,

Many thanks for your feedback!

Are you refer to Multitenant which consist of more than 2 ERPNEXT system?
If so, what is the purpose of having branch?

My intention of asking is because I’m intended to setup a HR which handling multi-subsidiary company by one main holding company.The main holding company will manage all subsidiary company’s HR centrally. Is this possible?

Again , will “Default Company” act as this?

Please advice.


As I understood it, “companies” are there to separate financial data (accounts)
if you want to assign employees to a specific company, I think you will need to customize the employee form and add the “company” option here:
erpnext->set up->customize->customize form-> select “employee” form

Hi jlx,

Exactly. You are right.
In fact, the company field was already in the Employee form. Refer attached.

That’s my previous question.