Cloud based ERP as the name implies, the software that is used as a service hosted through the vendor’s cloud platform. It can be easily accessed by the use of an internet browser anytime anywhere. Thus avoiding complex IT infrastructure and saving cost & space. Due to the number of benefits, Cloud ERP has been widely acquired by most of the companies recently. Regardless of the size of the company there are many cloud tools available, especially designed for industry specific purposes as well as customizable software.
Facts on Cloud ERP :
- Cloud spending has grown 6 times of IT spends in recent years and is expected to grow further.
- 70% of organizations already had cloud based applications.
- 82% of the companies who switched to clouds in projects saved huge amounts of money.
Difference between On-Premise and Cloud based :
|Deployment||The deployment is done in-house using the company’s infrastructure.||Taken care of by the host-cloud service provider|
|Cost||Additional Infrastructure, operating and maintenance cost is high||The setting up and run time is cheaper and faster|
|Mobility||On-premises needs 3rd party support to access remotely||Just internet connection is enough to access the data|
|Security||Lack of implementing data security protocols and supervision leads to malicious attack||Service providers opt for encryption methods to enhance security|
Benefits of Cloud ERP :
Low operating costs:
The initial investment and subscription costs are very reasonable and within budget for small and medium scale industries.
The data is fully encrypted and system tracks all activity.
Real time analytics:
Real time information is readily available to make important decisions in the course of business.
Fewer Technical Requirements:
There is no need for additional expenses to invest in new hardware.
Boost Business Efficiency:
With all the time saved by streamlined processes and readily available data, you get more time to focus on product development.