A method and system for handling errors and exceptions in an ERP environment are disclosed. According to one aspect of the present invention, a condition or event causes a script-engine associated with a particular ERP server to generate an error message. The error message is communicated to a centralized controller-node. The centralized controller-node analyzes the message and determines the best course of action for handling an error or exception related to the error message. Based on the controller node's analysis, the controller node communicates a response message, thereby enabling the process that caused the error to continue without terminating abnormally.