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How can you tell if a cloud ERP system is reliable?

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Cloud ERP systems are becoming more popular among businesses that want to streamline their operations, reduce costs, and improve scalability. However, not all cloud ERP systems are created equal, and some may pose risks to your data security, performance, and compliance. How can you tell if a cloud ERP system is reliable? Here are some factors to consider before you make the switch.

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1 Availability and uptime

One of the main benefits of cloud ERP systems is that they are accessible from anywhere, anytime, and on any device. However, this also means that you need to ensure that the system is always up and running, and that you have a backup plan in case of downtime. A reliable cloud ERP system should offer a high availability and uptime guarantee, usually above 99%, and provide transparent and timely communication about any issues or maintenance. You should also check the service level agreement (SLA) and the disaster recovery plan of the cloud ERP provider to understand their responsibilities and your rights in case of service interruption.

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Cesar Ortiz

PMP | Technological Projects Manager | Specialist in O365 | SAP Solution Advisor S/4 HANA FIORI and BO | Network Infrastructure | Gerente de IT.
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It would depend a lot on the business of the company. For example, if an Industrial company needs to be working 24/7 depending on an ERP, then we must have a local contingency plan. Why? A software in the cloud or a plm system requires an internet connection so that the personnel who use it can access the information. This first point is key because it allows the system to be remote on a public server, that is, it does not depend on the company's infrastructure, so users can access it from anywhere, even if they are not in the office. Information security will depend on factors such as information transit, data protection, biometric access to software, among others.

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2 Security and privacy

Another key factor to consider when choosing a cloud ERP system is how well it protects your data from unauthorized access, theft, or loss. A reliable cloud ERP system should comply with the relevant industry standards and regulations, such as ISO 27001, GDPR, HIPAA, and PCI DSS, and implement robust security measures, such as encryption, firewalls, authentication, and auditing. You should also review the data ownership and retention policies of the cloud ERP provider, and make sure that you have control over your data and can delete it if needed.

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3 Scalability and flexibility

A reliable cloud ERP system should also be able to adapt to your changing business needs and support your growth. A cloud ERP system should offer scalability and flexibility in terms of storage, processing, and functionality, and allow you to add or remove users, modules, or features as needed. You should also look for a cloud ERP system that integrates well with your existing systems and applications, and that offers customization and configuration options to suit your specific requirements.

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4 Performance and functionality

Finally, a reliable cloud ERP system should deliver the performance and functionality that you expect from an ERP system. A cloud ERP system should have fast response times, low latency, and high throughput, and ensure that your data is accurate, consistent, and up to date. A cloud ERP system should also provide the features and capabilities that you need to manage your core business processes, such as accounting, inventory, human resources, customer relationship management, and more. You should also evaluate the user interface, the reporting and analytics tools, and the support and training options of the cloud ERP system to ensure that it meets your expectations and needs.

Choosing a reliable cloud ERP system can be a challenging task, but it can also bring significant benefits to your business. By considering these factors, you can make an informed decision and find the best cloud ERP system for your business.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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Shahzad Anwer

Product Owner (CSPO?) | Business Analyst | Agile Practitioner
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The relationship between an ERP system, optimized processes, and real-world constraints is intricate. A well-optimized process that takes into account spatial limitations, real-time scenarios, and machine integrations enhances the ERP's capabilities, enabling it to drive efficiency, data accuracy, and informed decision-making even. Imagine having a high-performance sports car but driving it on a narrow, unpaved road. The true potential of the car can only be realized when driven on a track built for speed and precision. Similarly, an ERP's potential can only be unlocked when its features align with the optimized processes of the organization. The reliance hinges on an alignment between its features and the processes of an organization.

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How can you tell if a cloud ERP system is reliable?

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3

4

5

1 Availability and uptime

2 Security and privacy

3 Scalability and flexibility

4 Performance and functionality

5 Here’s what else to consider

Enterprise Resource Planning (ERP)

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How can you tell if a cloud ERP system is reliable?

1

2

3

4

5

1 Availability and uptime

2 Security and privacy

3 Scalability and flexibility

4 Performance and functionality

5 Here’s what else to consider

Enterprise Resource Planning (ERP)

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