5 Benefits of ERP Cloud Hosting

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Businesses are always looking for new ways to capitalize on internal intelligence to make every supplier, distributor, and service interaction count. Speed is essential in markets that have rapid product life cycles and short time-to-market schedules. While on-premise systems can help to achieve these needs, cloud-based solutions are quicker to implement, easier to customize, and show potential to increase adoption rates across resellers. Ever more companies are turning to ERP cloud hosting solutions to help them become a more competitive force in their industry.

If your business is considering a move to the cloud, here are five benefits of ERP cloud hosting:

1. Lower Upfront Investment Costs

Unlike traditional onsite solutions, an ERP cloud hosting service does not require a large upfront investment. With on-premise ERP, you can expect to pay a substantial amount to purchase and maintain servers, secure housing, and deploy, configure, and maintain software. Onsite solutions not only involve higher costs but also more time and effort, requiring businesses to hire a full time IT staff to maintain the system.

By contrast, all aspects of cloud ERP implementation, maintenance, software updating is the responsibility of the cloud hosting provider, eliminating both cost and effort. There is no need to install and integrate hardware to support the software nor is there any need to hire additional staff to support the application. For these reasons, ERP cloud hosting is especially advantageous to smaller businesses, those on tight budgets, and companies with limited IT resources.

2. Faster ROI on IT Spend

Most ERP cloud hosting solutions can be integrated relatively quickly, helping ensure your business receives a faster return on its IT investment. Implementation can take just a few weeks in contrast to the months or even years to needed finalize an on-premise option. The accelerated pace of cloud-hosted ERP integration also equates to a reduced total cost of ownership (TCO) over the entire span of the investment.

3. Automatic Software Upgrades

With on-premise ERP solutions, you are required to wait for the new releases to gain the latest features, upgrades, and newest security patches. Every time it is necessary to change to a new software version, the process is costly, complex, and disruptive, forcing your organization to review whether or not the updates are worth the hassle. However, if you decide not to upgrade, you may be ceding the advantage to competitors who choose to use newer productivity enhancing tools.

With ERP cloud hosting, the provider automatically adds new features and upgrades to the software in an unobtrusive way. In this way, employees can also feel assured that they have access to the latest technology available to do their best work.

4. Reduce Your Dependence on Internal IT Resources

Cloud hosting usually requires fewer technical resources than on-premise applications, as the provider handles all aspects of software, hardware, and network administration. If you have an IT department in your company, using cloud ERP means they can focus on other tasks that are more related to business; however, if you do not have an internal IT staff, there is no need to employ a full time team.

5. Flexibility and Scalability

Cloud-based ERP hosting solutions are scalable and flexible in the way they can be adapted to fit constantly changing business requirements. You can add or remove users on demand to suit your growing business needs with the single consequence of a change to your monthly subscription fee. This is often highly beneficial to seasonal or cyclical businesses that need to make constant adaptations to user bases to meet unique requirements.

Given the many advantages of ERP cloud hosting, businesses across various industry segments are starting to take notice. Perhaps it’s time you do so too.


by GoIWx

3 thoughts on “5 Benefits of ERP Cloud Hosting”

  1. Nice top 5 list of ERP benefits. Cloud based ERP are definitely way more flexible than the traditional old school methods, and seem to be getting better and better with time. Cloud infrastructure has opened up many doors and ERP is benefiting from the technology, and helping businesses save money in the process.

    Flexibility and freedom are key with the new ERP cloud abilities.

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