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Why cloud ERP could be a smart business choice


Cloud-based ERP cuts-off the investment in purchasing and managing the software, related hardware, servers, and facilities necessary to run it

By Biswas Nair, Founder & Managing Director, Inspirria Cloudtech

Opting for cloud in IT businesses is the trend followed by organizations for more than a decade now. Thanks to cloud-based business applications that provide better alternatives to the inflexible, unwieldy and expensive ERP systems of the past. Be it small and midsize companies that are looking for minimal initial investments or large businesses eyeing for reduced costs and business agility, cloud ERP has been the choice. While companies are moving towards cloud, the idea of typically depending on static, on premise IT system seems to be out-dated. Organizations are able to bring together cloud-based application extending the business aspects to improve the scalability, mobility and cost effectiveness. Cloud based apps also allow quick decision making, letting the corporate workforce to access real-time data on any devices from anywhere and anytime.

The extensive use of cloud has prompted organizations around the globe to think over why cloud ERP is right for them. Following are several factors that can help you guide the need for a cloud ERP system:

Operating Costs Optimization

The initial costs in cloud-based ERP are typically lesser than that of on-premise ERP. Cloud-based ERP cuts-off the investment in purchasing and managing the software, related hardware, servers, and facilities necessary to run it. It also avoids investment on experienced IT staff as the cloud ERP provider hosts and maintains the entire IT infrastructure ensuring data security and proper system functioning.

Improved Business Experience

By adopting cloud applications, businesses can move away from their massive ERP infrastructure investments, focusing on achieving improved business experience. As the major responsibilities of the IT staff are managed by the cloud ERP provider, the resources can be concentrated into innovation and business growth. Companies can build new sales channels, monitor and automate their supply chains by working more closely with the suppliers.

Cloud-based ERP systems are easy to scale. It gives the flexibility to add more users as the business grows. Whereas, on-premise ERP do not offer the same freedom as it would involve additional hardware cost for every new user added.

Easy System Upgrade and Customization

When the ERP provider releases a new product update, previously implemented customizations will be wiped out when tried to upgrade. In order to bring back the functionality, the IT team willhave to start customizing from scratch again. Thus on-premise ERP customization becomes cumbersome. Opting for cloud ERP solutions which automatically carry forwards previously implemented customizations and integration to the advanced version of ERP software seems to be a smarter choice.

Easy Deployment

Every ERP deployment takes time and requires precise planning, but cloud ERP supports easy and faster deployment. Businesses need not waste time procuring and installing IT infrastructure. Also rolling out services across multiple regions, subsidiaries, and divisions becomes convenient and saves significant time with cloud-based ERP.

Access from Anywhere

For today’s on-the-go workforce, getting access to the data from outside the office is imperative. The C-suite keeps tab on real-time financial data and the sales team needs up-to-the-minute information about the customer and prospect activity. Cloud solutions, however, provide connectivity from anywhere using any device. And the robust security settings offered by many cloud solution providers makes it easy to ensure that offsite access is limited to only those who need it.

Increase Security

The security in an ERP system depends on the nature of the information it deals with. A clever ERP system ensures the security of both moving company data and also data at rest. When it comes to internal data security, authentication is the key. Each ERP user is assigned an account and is controlled via central admin panels. Most cloud-ERP solutions offer enhanced security over in-house systems by virtue of the fact that many providers take enhanced measures to ensure that data on their solutions is safe.

If you have an interesting article / experience / case study to share, please get in touch with us at editors@expresscomputeronline.com


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