What is Cloud Based ERP?

What is Cloud-Based ERP?

When ERP (Enterprise Resource Planning) software emerged in the market, the only option was to host On-Premise, meaning that the business’s own IT personnel would be responsible for maintaining the software which would be installed on the business’s own hardware. As technology advanced and evolved, Cloud ERP took center stage and is only becoming more popular amongst ERP customers. In today’s Softengine blog, learn all about what exactly it means to host on the Cloud and the benefits that can be gained by choosing the Cloud.

By definition, Cloud ERP is when the ERP software is hosted on the provider’s own cloud platform and gets managed by their own IT department. Instead of the software being located on the business’s own hardware, it is accessible over the internet. Because the software is hosted on the provider’s platform, various types of Cloud ERP solutions are often referred to as “Software-as-a-Service” (SaaS) because the customer does not own the software but leases it as a subscription service. Due to Cloud ERP being offered as a service, this eliminates the upfront hardware installation costs and allows the customer to not be responsible for maintenance, security, upgrades etc. (1).

Benefits of Cloud ERP

  1. Maintenance Easy: Due to the cloud ERP provider managing the maintenance of the software, this relieves the customer of many responsibilities and efforts that are required for upkeep. This can also save customers money if they do not have an IT department employed to handle the proper maintenance and support of the software. Overall, if a customer is looking at purchasing an ERP but has hesitations due to the absence of an IT department, this is no longer a concern due to the extensive options for service and maintenance that hosting on the cloud offers (2).
  1. Greater Security: When choosing to host on the cloud, it allows for greater peace of mind when dealing with security issues. Every business is aware of the threat that security breaches pose to their business and critical data, but with the cloud, data, security, and disaster recovery are all handled by security experts who work full-time to ensure that their customers’ data are secure . Due to the collaborative, complete, and connected nature of Cloud ERP and the top-notch security they provide, vulnerability and security risks are decreased (1).
  1. Mobile ERP Support: With the on-the-go culture and the increasing amount of businesses moving to a hybrid or remote work life, the ability to access ERP and complete business operations out of the office is becoming more prevalent and necessary. With Cloud ERP, mobile device support is built into the product and offers customers the secure capabilities to conduct business from anywhere at any time with the peace of mind that their data remains secure and confidential (1).
  1. Faster Innovations: Technology is constantly being updated to improve functionality and performance for users, and with Cloud ERP, customers can benefit from innovations faster. Quicker access to new updates within the software allow for user-experience to be increased in shorter amounts of time. Remaining up-to-date and operating at peak performance levels is a sure way to continually improve and innovate at pace with the newest technological advances (2).
  1. Improved Agility: When a business is growing, there is no time to wait for an outdated legacy system to keep up with the requirements necessary to continuously grow. Software flexibility and cross-departmental integration are two key ways to maintain and increase growth. With the features and functions that a Cloud ERP offers customers, it is a great asset to drive operations while providing the detailed insight into the heart of the business. In conclusion, to continue to grow a business, it helps to have an ERP that is well-equipped and capable of growing along with it and supporting the specific requirements (1).

Overall, Cloud ERP is a fantastic option for businesses looking for extra flexibility, security, and access to innovative technologies. Making the shift to the cloud may seem daunting, but with the right ERP partner, the transition can occur with minimal business disruption. At Softengine, we are a SAP Gold Partner specializing in SAP Business One, an ERP solution designed specifically for the Small to Midsize business market. We offer Cloud ERP hosting options and are readily available to offer further business-specific insight.

For inquiries into SAP Business One on the Cloud, contact one of our specialists at [email protected]

More information about SAP Business One: https://softengine.com/product/sap-business-one/

More information about Softengine: https://softengine.com/about-softengine/the-softengine-advantage/


(1). https://www.sap.com/insights/what-is-cloud-erp.html

(2). https://www.techtarget.com/searcherp/definition/cloud-ERP

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