The Cloud ERP or Software as a Service (SaaS) is a solution being used by many business owners. With the numerous benefits being offered by the Cloud suite, it is no surprise that it is slowly becoming the go-to solution for many Business users.
“78% of U.S. small businesses will have fully adopted cloud computing by 2020 more than doubling the current 37% as of today. The U.S. Small & Medium Business (SMB) cloud computing & services market will grow from $43B in 2015 to $55B in 2016. The link talks in detail about the growth of Cloud ERP in SMB segment.
With the ever-changing market scenario, the day isn’t far when most organizations would be using a SaaS ERP for all their business automation needs. All business owner while adopting a SaaS ERP for the first time, should know what they can expect from the application. Some of the key features to keep in mind while opting for the Cloud ERP:
The answer is a big ‘No’ here. If a Service Provider or Vendor says that Cloud ERP is customizable and can be bent to suit the Business Needs, that is not the truth. The very idea of Cloud ERP is it embraces Best Practices across Industries and Prescriptive way of Configuration. Minor Extensions are a possibility. Customization is also a possibility, but not recommended. The very idea of a Cloud ERP goes south if you decide to go for heavy customization. You have to balance between speed of implementation, Go-live faster, quicker adoption by End users and customizing the Cloud to 100% suit your processes needs.
Data Security Guaranteed
In this digital age where any data can be retrieved from anywhere, data security has become a major concern of many. Any first-time user of SaaS ERP is bound to have doubts about the security of his or her organization’s confidential data. But contrary to popular belief cloud infrastructures offer the most advanced security, making it nearly impossible for anyone to steal your data.
Ease of Integration
Again as customization explained earlier, Integration to other systems is something that Customers needs to be careful about. Do we really need online integration with Cloud ERP and to what extent do we need it? The advice from System Integrator is of importance before you decide to integrate all systems. Making integration simple and fast, SaaS gives you complete control and standard connectors as part of the Package, but usage has to be weighed with Maintenance of the system.
Cost Effectiveness of Cloud ERP
The cost incurred by you during the implementation of SaaS ERP is lower in every aspect when compared to the traditional on-premise systems. With Cloud systems, huge upfront infrastructure costs are not required as well as expenses like maintenance and upgrades are nearly nil. These costs can be an important factor when choosing the right enterprise solution.
Reduced implementation time
For Cloud ERP, the typical implementation time is drastically reduced as compared to an On-Premise ERP. Cloud ERP does not allow for much customization and Business has to stick to best business practices. Typical timeline taken for a Cloud ERP is 8-12 weeks.
Minimum maintenance requirements
With Cloud ERP systems the maintenance requirements are reduced to one-third of what is required for an On-Premise ERP implementation, and the need to hire any specialist resources for maintaining the system is not there. The upgrades or updates to the ERP Package is done seamlessly without the user even noticing it.