You need to make sure that you have everyone on board when an ERP implementation is done. Each and every stakeholder in the company needs to be involved in the implementation and he/she should play effective role in ERP success. (more…)
Key criteria needs to be understood in order to develop an effective ERP strategy and that can be best defined by comparing the performance of the companies which have ERP and the ones which don’t have. (more…)
Cloud services have certainly captured the interest of many people and it also offers plenty of advantages but warehouse management professional’s needs to be aware of the certain differences in simple and cloud-based warehouse management systems. You need to give consideration to the following points while deciding to go for cloud or traditional warehouse management systems. (more…)
Companies gain a lot when they integrate an ERP solution to their business. They can get even more advantage when they move from legacy ERP system to off premises one in the cloud. Perfect ERP implementation offers great accessibility to the data which improves automation and tracking. (more…)
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University of Central Punjab held job fair on December 1, 2014. Job fair was the best opportunity for fresh as well as experienced candidates to meet top employers of various industries. More than 8000 students from Bachelors, Masters, MS and PHD programs gave on spot interviews to top employers. (more…)
ERP systems have been deployed for the purpose of reducing costs through efficient management of materials and processes. ERP systems were built for just few business needs like order management, inventory control and account payables in 1990s but now things have changed and ERP systems of today are fully capable of running complete businesses successfully.. (more…)
Whether to go for the cloud-based or on-premises ERP solution is the question which most people ask? Erpisto ERP is getting popular day by day as different vendors provide the best and sophisticated alternatives as compared to the on-premises ERP implementations. Cloud-based ERP offers plenty of advantages and only few disadvantages which makes it a perfect choice for most businesses. Small and medium sized businesses which don’t have many resources to support conventional on-premises solution can make best use of the cloud-based ERP solution.
Advantages of Cloud Based ERP Solution
Some of the advantages of cloud-based ERP solution are:
Fast Implementation
Cloud based ERP system takes less time to get implemented as compared to on-premises solution. The reason is that the cloud system is already set up and you just need to get plugged into it. However it is important to note that reengineering of the business processes takes same amount of time no matter you choose to implement cloud or on-premises ERP.
Low Cost
Cloud-based ERP solution cost less than an on-premises solution as you share the server hardware, overhead and all other costs with different customers on the vendor system.
Easy to Install
ERP system is set up at the vendor’s site so it is easy to install your ERP system. Staff can guide you throughout the installation as they are familiar with the system. However, downside to this is lack of flexibility as you are limited in how much a customization can be done to the basic ERP system.
No worry about the upgrades or patches
When you opt for the cloud-based ERP system then you don’t need to worry about the upgrades or any other maintenance as it is taken by the vendor. Disadvantage to this is that you have to upgrade on vendor’s schedule and this can be a problem if you have customized your cloud-based ERP system.
Controlled staffing costs
Staffing costs can be controlled as you share the cost of highly skilled IT staffers with vendor’s other customers. You can also avoid the problem of under-utilized staff who don’t have to spend time in maintaining ERP system which is beneficial for small businesses.
Costs prediction
Cloud-based ERP systems charge monthly for their services and this let you make the right predictions for the costs unlike an on-premises system. Cost of cloud-based ERP solution can vary according to the size of your system. Large scale enterprises prefer on-premises system while small and medium scale enterprises usually go for cloud-based ERP.
Choice of a cloud-based or on-premises system is not an easy one and you need to carefully weigh your needs against the benefits and costs of both system before going for the right one.
People have started to overcome their fears regarding data security in the cloud and now they have started believing software as a service as a solid solution for their ERP. Getting migration done to cloud based ERP is not an easy step like signing a document or giving all the work to the vendor. Steps need to be followed for preparation when you talk about your organization data.
Things to consider before making choice of a Vendor
Preparation needs to begin before your company makes choice for the vendor. You need to address the questions like will you still own your own data and how much comfort you will have with the data generated by cloud based ERP solution with other applications that your organization uses. Data is your no doubt but vendor lock in is an emerging trend and this can make it difficult for customers to obtain backups of data to move data to another cloud vendor or on premises solution. You also need to consider will it mesh seamlessly with other systems or you require third part solution or some sort of plug in for data exchange.
Data Preparation
After selecting the most suitable vendor you need to prepare your data to move it to the cloud. Landscape analysis of the data needs to be done to understand the structure and how will it work along with the new system. You can also model the interactions and links and when you are done with this data assurance phase begins. Data needs to be profiled to see which data is of insufficient quality to get moved to the ERP system. Data cleansing needs to be done to remove and correct the data that is corrupt, incomplete, inaccurate and irrelevant. Data verification is done to ensure that it is accessible and in the right format for the cloud based ERP solution and you need to determine how this format will affect other systems.
Recent studies have revealed that data migration of the data which is not ready for the newly purchased ERP solution can cause plenty of problems for the implementation. Best practices needs to be followed in order to let the data migration provides an effective foundation and it is also important to review the regulations and standards for specific industry and geolocation as this will help to ensure that you can not only move your data to ERP solution but you can share it with the industry specific applications while remaining in complete compliance with rules and regulations which can make things difficult for you in the future.