Moving ERP to Cloud ‘Will Benefit Business’

PostedOn: 2016-10-06 12:28:48

The realism today is that most venture applications are well on their way to life form cloud based. We’ve seen it with simple workloads such as HR and payroll, travel and expense management, and in the last decade we’ve seen the cloud as the new standard for customer relationship management (CRM) deployments. 

So what are the benefits of cloud-based ERP solutions? Below are eight reasons why moving your ERP system to the cloud will benefit your business and support business growth.

1. Freedom of Choice

Put quite simply, not all cloud ERP systems are created equal. Specifically, very few ERP vendors admiration your right to choose the deployment model that is most appropriate for you, and revise that wrapping up down the road as your business grows or technical needs change. Your right to evolution between on-premises, multi-tenant, and single tenant is an important one. It recognizes that the “best” deployment model for you today might not be the best model in a few years or even a few months. By providing the alternative of Multi-Tenant (with its compelling economics and seamless upgrades) or Single Tenant (allowing more administrative control and administrative ownership), you can choose the model that works best for you.

2. Compelling Cloud Economics

Despite the cloud having proven its value beyond just good financial sense, there is no doubt that for companies of all sizes the economics of cloud deployment are undeniably compelling, moving from capital to operational expenditure. Some of the more hidden economic benefits of the cloud include:

  • Not being as capital intensive as an on-premises deployment because of the subscription-based pricing model.
  • Better and more instant scalability, allowing clients to add (and sometimes remove) users to their system on demand and saving them from having to invest in hardware and software at the “high water mark”.
  • The direct and indirect costs of your infrastructure, from the server to database systems to the actual hardware and replacement cycle cost.
  • The hidden costs of maintaining the servers yourself.
  • The benefit of the reduced deployment times (and corresponding improved ROI) that are typical for cloud deployments, as the necessary infrastructure is in place already.

3.    Better IT Resource Utilization

At the end of the day, most IT departments are stretched pretty thin and find themselves spending too much time on low-value (but admittedly critical) activities such as verifying backups, applying security updates, and upgrading the infrastructure upon which your critical systems run. There is the tremendous business benefit to assigning those tasks back to your ERP vendor as part of a cloud deployment, freeing up your IT department’s time to work on more strategic business projects such as creating executive dashboards, deploying mobile devices, and crafting helpful management reports.

4.  The Cloud is more secure

Today, it’s hard to imagine a client who could possibly create a more secure operating environment than leading cloud providers. Indeed, Gartner reports that “Multi-tenant services are not only highly resistant to attack but are also a more secure starting point than most traditional in-house implementations.”

Security today is a comprehensive, end-to-end mindset that has to be built on every layer of the ERP environment from the physical network interface cards to the user passwords. It means a holistic come up to anticipating and minimizing possible natural, human, and technical disruptions to your system to make certain uptime and peace of mind.

5. Upgrades

Cloud deployment redefines the experience by designing upgrades big and small to be deployed by the ERP cloud operations staff as part of standard support services, without imposing software installations on your staff. Minor updates are transparently deployed in a non-disruptive fashion, and major upgrades are announced well in advance and include a sandbox training environment and end-user training.

These major upgrades are designed to require little to no project management on your part, short of double checking that everything is working the way you expect it to and ensuring that your internal users are prepared to take advantage of the new version

6. Mobile and Collaborative

Moving to a cloud-based system gives everyone the real-time system access they require as a routine part of their jobs while driving out the inefficiency of paper-based processes and the burden and security risk of figuring out how to deliver this you.

Opening up your ERP system by virtue of cloud deployment allows you to retire the poorly defined ad-hoc “integration by Excel file” workflows that might have cropped up across your organization. In their place, you can deploy real-time integration processes that link your employees, suppliers, partners, and customers.

Cloud deployment brings the opportunity to redefine many of your legacy business processes and workflows in a way that leverages these more open, connected, instantaneous integration paths.

7. Business Consistency and Process Alignment Globally

Increasingly, companies have staff working across multiple locations and they aspire to provide the efficiency of a single unified ERP system across the enterprise to support them. Deploying a single cloud ERP globally (where the only infrastructure requirement is Internet access) removes many operational obstacles, and gives you the confidence that your continued expansion efforts can be accommodated without a significant IT effort by simply enabling that new location in your existing cloud-based ERP system. With consistency comes improved transparency and increased efficiency.

8. Reduced Risk, Greater Visibility, Better Value

Many clients choose a cloud-based system (ERP and other workflows) because it allows them to deploy a much more complete solution than they could otherwise manage or financially justify under legacy deployment models. Not having to make a massive upfront investment in the ERP system and its supporting infrastructure is critical in allowing smaller companies to perform beyond same-sized participant from an enterprise application quality and completeness perspective.

ERP solutions aren’t just software. They are tools that can be used to help grow your business profitably, offering supply solutions that provide more accurate information in real-time, driving smarter, faster decision-making, and enabling customers to quickly meet changing market demands to stay ahead of their opposition. The cloud increases the business benefits that ERP offers and can go along with your business on the road to victorious growth.