Why move to Cloud ERP? 12 Reasons & Benefits
Have a quick look at some cloud adoption stats to get you started:
The figures themselves are indicating. Read the blog to know more about it.
Table of contents -
Overview-?
To effectively maintain manufacturing efficiency, achieve higher sales, and register greater profitability in this highly-dynamic and competitive market, an integrated software like ERP has emerged as the preferred tool for businesses. Conventionally, organizations have followed the practice of installing ERP software on the infrastructure they own in their office premises, which is referred to as the on-premises ERP.
While many businesses experience improved functioning with on-premises ERP, there are some specific points where it falls short to prove itself a perfect choice for companies, specifically when we talk about implementation cost, maintenance, and agility. Whereas, a cloud ERP helps businesses successfully sail through these problems.
Source- smartb.co?
What is cloud ERP?
Provided as software as a service, or simply SaaS, a cloud-based ERP software is a vendor-hosted service given to businesses in which a single database is maintained on a server, delivering a unified & up-to-date view. This allows users to access ERP over the internet, eliminating the on-site installation and staff resource usage.
Moreover, apart from being cost-effective with a much lower upfront cost, the cloud ERP software ensures secured data with a strong backup option to prevent loss in any case of major disruption or disaster. With cloud technology, business functions like supply chain management, inventory management, production processes, etc. are easily accessible at a single source with real-time business information.
Top Reasons to Make the Move-
Source - adeaca.com
1. Lower Cost-?
Since the on-premises ERP is installed on the organization’s internal system, everything, from implementation to running the operations, is done in-house by the IT department. Also, the cost of additional power servers and database software required for its implementation makes it an over-priced choice.?
On the contrary, a cloud ERP allows companies to access the software directly via the internet, which straightaway eliminates the need for huge hardware infrastructure to be purchased. Also, since the service is licensed, tasks like regular maintenance and software updates are handled by the host only.
2. Accessibility-?
Today technology is growing exponentially, and amidst such scenario, staying dependent on physical locations to access crucial information or reports could be a setback for a company’s progress and productivity.?
A cloud ERP serves companies with the benefit of staying connected with their business anytime, from anywhere, and due to this top-notch feature of easy accessibility, the cloud ERP stands as the handiest solution in tougher times.?
3. Enhanced Security-?
When it comes to data, its security becomes a concern of paramount importance for every organization. Unlike on-premises ERP, cloud ERP ensures end-to-end data encryption in both transit and at-resting state. Moreover, since it’s a vendor-hosted service, the cloud ERP is monitored round the clock by a team of experts to establish uncompromising security that keeps the new cyber viruses and malware threats at arm’s length.?
4. Automatic Software Updates-?
Businesses keep on evolving and so do the needs. To deal with these constant changes, companies need to have an ERP that supports the latest technology, and is capable of upgrading when needed. Being a vendor-hosted service, cloud ERP offers automatic software upgrades with up-to-date features and also establishes enhanced protection from cyberthreats.?
5. Data Integration-?
The term data integration refers to extracting data from more than one source and consolidating it safely at a single and centralized repository. This complicated task of combining the crucial data from different locations is seamlessly performed by cloud ERP. It gives businesses the ease of connecting multiple applications with a single source to promote flawless data integration without any breach.
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6. Scalability-?
The expansion of business increases the need for resources. An ideal ERP system should be able to keep up operations during increased customer demands and expanded production. At such times, with on-premises ERP, expanding production is followed by installing additional hardware & extra space which makes this option more complicated.????
While a cloud ERP solution can be easily scaled up according to the changing business needs and without any hindrance to the ongoing services. Hence, compared with the on-premises ERP, cloud ERP with limitless scalability is capable of expanding resources and adding users to the system to propel the future growth of the organization.??
7. Disaster Recovery-?
Hazards are inevitable, but their impact can be controlled. In case of disasters like fire, flood, or hardware incompetency, recovering the whole data without any loss is challenging and demanding for businesses.?
In such unprecedented situations when data is at risk, the cloud ERP software comes to the rescue. With the disaster recovery design in mind, it is tailored in a way that it creates & stores multiple copies of data at different geographical locations to avoid even the single possibility of data loss. Moreover, during system failure, it maintains a total system backup that keeps the operations going.?
8. Faster Implementation-?
As compared to on-premises installation, cloud ERP doesn’t require any specific hardware setting, due to which it takes much fewer days, and hence the activation is done quickly, reducing the downtime exceptionally.?
9. Real-time Data-?
With the advancements in technology, our need to have immediate answers has increased. For this, real-time data is considered to be the only quick and accurate solution. Cloud ERP provides real-time information, that is needed to make faultless decisions, thus adding significant value to the company’s operations.???
Also, despite coming from multiple disparate systems and sources, the data gets collectively stored at a commonplace in the cloud so that, anyone can access the ‘single source of truth’ when needed.??
10. Zero Maintenance Cost-?
Since cloud ERP is a third-party service, no hardware infrastructure gets implemented on-premises, which directly cuts off the maintenance cost that is needed to upgrade the system periodically.?
11. Green workplace-?
Apart from productivity, some significant improvements in the company are needed for an environmentally-responsible behavior. Knowing that everything will be on the cloud, the use and need for paper drops down drastically, thus contributing to the environment by reducing carbon footprint. It also adds up in doing its part in the company’s CSR policy.
12. Flexibility & agility-
Being flexible & adaptable to the changing business climate is a necessity today. For this, organizations need to transform their business systems to adapt according to the new processes and requirements. The flexibility of quick adaption is especially essential for businesses, hence cloud ERP—with better supplemental capabilities, is easily configurable & can be tailored according to the unique needs of the company.
Clearing the way for you-?
BatchMaster ERP on Cloud proves to be a perfect fit for streamlining the core operations of an organization. It can also be tailored to the business's unique operational and production needs.
Got queries related to the cloud transition? Get a detailed understanding by contacting our team of experts, as they are always happy to assist you. Click on the link below to get started.