Cloud ERP has its own benefits and is the first choice for business organizations to implement for fruitful results. This blog is all about the benefits of cloud ERP for a business enterprise. The benefits you realize will depend on your project execution before, during, and after the implementation.
Here are a few reasons why some organizations choose to implement cloud ERP:
1. Improved Business Intelligence
With the implementation of Cloud-based ERP Solutions organizations accesses data remotely without integrating any sort of complex technical configuration. From the last few years, the number of organizations deploying business intelligence (BI) in the cloud has increased by 200%. This approach is highly beneficial for the sales and marketing departments as they depend on real-time data to learn and personalize the customer journey. Cloud technology is more scalable to store large volumes of data and offer access to data gathered by IoT technology.
2. Faster to Implement
Cloud ERP systems are faster to implement in comparison to the on-premise ERP systems. The technical parameters for cloud technology can be setup within 24 hours. This offers business organizations additional time to work on the expansion of the business. Change management and business process management need the same time and resources when implementing cloud or on-premise ERP.
3. Ability to Focus on Your Core Competencies
Several organizations particularly startups lack sufficient IT staffing and infrastructure. An enterprise holds expertise in IT but it’s not necessarily its core competency. With Online ERP Solutions organizations outsource their IT function and focus on their core business. Retailers, for example, mainly like to dedicate more to the customer experience instead of IT maintenance.
4. Cost Effective
The cost involved in cloud technology is lower than on-premise technology. But subscription costs add up over time, several enterprises are more concerned regarding minimizing the capital expenditures instead of reducing operating costs. These enterprises may opt for a multi-tenant cloud to reduce long-term costs. For smaller organizations, the long-term cost may actually be less expensive than on-premise ERP.
5. Data Security
To avoid security threats, several organizations turn to cloud ERP as it has a very secure hosting environment. Some still concern about the cloud security, but they don’t realize how cautious Cloud-based ERP Solutions providers are when it comes to security. Cloud vendors have a lot to lose when it comes to multiple customers as it is popular targets for security breaches. This may seem like a disadvantage, but in several cases, it forces vendors to develop sophisticated security.
6. Scale your Business
Scaling is a complex job to perform and if you don’t grow your business, you’ll fail to keep up with your customers. But if you scale too quickly, you might waste resources. A Cloud ERP system addresses this dilemma because it offers a scalable platform, perfect for startups and fast-growing businesses. When new employees enter the company, no need to buy and install new hardware or additional software. Instead, you can scale your Cloud ERP to serve unlimited number of users, without the trouble of maintaining on-premises hardware.
