How Cloud Computing is going to change the future of ERP

ارسال شده توسط بابک بابکی | 30 Dec, 2013

ERP NEWS – Large businesses depend a lot on Enterprise Resource Planning (ERP), and every decision taken by them is solely based on information extracted by using ERP application. There is no business domain that does not use ERP in today’s fast moving world. ERP is installed on a centralized server in the company and is managed by a team of specially trained people who look over all the functions and operations of it. From generating critical real time reports to marking employees’ attendance, ERP plays a critical role in controlling the flow of information throughout the company.

cloud-computing

With all the benefits of ERP, it still requires a lot more attention and resources to be managed. With the increase in cost of maintenance, many companies are thinking to move the whole ERP system over the cloud. Cloud Computing which was once seen as a total disaster for the ERP systems is now being linked with it for the better management of ERP.

Why go for Cloud ERP

Unlike traditional ERP system, Cloud ERP provides much more flexibility and ease of use without increase the cost of setup and still providing much more features that are fit for every type of business.

Lower Cost and Licensing

Unlike traditional ERP, companies do not need to purchase a license for every user that uses the system. Instead, a company can simply pay a fixed amount for the Cloud ERP license and then everyone can use the system. In a nutshell, Cloud ERP is cost effective solution for small and medium sized businesses.

System Updates OTA

The biggest advantage for deploying Cloud ERP is that companies do not need to update their systems every time to get new features and upgrades. Cloud ERP gets updated OTA and saves a lot of time and effort as compared to getting updates on the traditional ERP.

Better Data Management

Cloud ERP also provides better scalability over managing a company’s data placed in the cloud. With the whole data in the cloud, it is very easy for any company to move it anywhere at any time without losing it.

More Security for Company Data

Cloud ERP also provides top level security and privacy to a company’s data by using strict protocols and mechanism that can protect data from any potential threat.

Verdict

Cloud Computing and ERP together can bring innovations and can drastically change the fortune of a company. Not many Cloud ERP systems are available in the market but according to analysts, it can take up to 5 years to fully transfer from traditional ERP to a Cloud based ERP.

By Walter Bailey (2013)


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