Have you ever wondered why it is essential to modernize ERPs? Notice the amount of data that you interact with on a daily basis. Now imagine the vast amounts of data that a business relies upon. Times are changing, and processes are increasingly data-driven. Unfortunately, traditional ERPs are not enough to keep up with the surge of data operations and analysis. The introduction of Cloud services has simplified the complexities of the traditional ERP and has made revolutionary leaps in performance optimization.
Traditionally, ERPs were run in local servers located in separate rooms under carefully controlled conditions.
Fans ran non-stop to keep the server cool under heavy load conditions, and IT professionals hoped and prayed that they wouldn’t have to face a day of server failure.
IT departments worth their salt always had a backup server running in tandem to prepare themselves from the server failure nightmare. But what of the ones that didn’t? No backups meant that the entire engine goes down and all the data along with it, indeed a Defcon One moment.
Another issue with the old ERP methods with local servers and infrastructure was tied into system updates. When the system needed updating, the entire office had to wait until all the updates were completed before logging back in and finishing whatever they were working on. The waiting can be annoying when the team is busy and critical tasks need to be completed on a strict timeline. This slowdown also extends to new software installed as the software must be installed network-wide, and IT professionals had to roll out the installation to each computer. Sometimes, IT techs had to install the software on individual computers manually. This entire process takes up a tremendous amount of time and effort. Security was also a risk as IT professionals were constantly scanning for viruses and attacks on the system. To sum up the old experience with ERP’s, things were working well, but there was always worry that something would slow things down.
Cloud services started showing up around 20 years ago, and the rollout was relatively small as cloud storage spaces were not adequate for ERP use. However, as the years have gone by, technological advances have made cloud technology a viable option for enterprises to use. As a result, what started as an extra storage space for users 20 years ago has now evolved into a complete ERP solution in today’s enterprise environment.
Cloud computing services have entered the fray with ERP systems to handle most size companies and data load. The recent addition of fiber data lines has amplified internet speeds to stratospheric levels, with ping times nearly non-existent. This fact, coupled with the multitude of cloud service providers, has opened the doors to cloud-based enterprise resource planning solutions.
Cloud services companies offer excellent security for data use and integration, with some companies such as Google Cloud offering automatic encryption of all data stored on their cloud servers. This fact alone takes some of the onus off of the IT department as they can breathe a little easier knowing that the data is safe in the Cloud.
Storage In the Cloud
The great thing about using a cloud-based ERP is that it’s scalable to your data load. For example, the company has a hectic quarter coming up. It can quickly scale the storage up to meet its temporary demand. The options are endless and instead of being stuck on a hard cap for data on a contract basis, you can scale up or down as the business sees fit.
The Cloud is always ON
Access to cloud applications and data are available almost instantly, and it can be accessed from any device that’s logged into the Cloud. Remote access for team members on the move, whether it’s a faraway hotel or from home, is a tangible reality with quick access to pertinent data. Cloud’s benefits also extend to updates and software installations as both can be rolled out in the background with no disruption to the team workload. In addition, data migration to the Cloud from on-site servers runs extremely fast and is a simple process overall.
ERP Cloud Maintenance
The great thing about using the Cloud ERP as a service is that the vendor does all maintenance. They handle data hosting, maintain the hardware to run the ERP services, and run data integration with APIs. The cloud vendor also handles ERP software maintenance, which takes the load off of the IT department.
Downtimes Are a Rarity In The Cloud
Because of the Cloud architecture and always-on capability, it’s rare for the Cloud to go down for any reason. However, when the Cloud does go down in rare times, the enterprise can use an on-site ERP with local servers as a backup just in case.
Companies that are still using the old methods of ERP are shortchanging their operational capabilities. The constant fear of having something go wrong is always there, and the risk for possible failure or slowdown is too great to ignore. Besides that, the added workload to the IT department in maintaining the old-style ERP management takes their focus away from other issues that need addressing, such as network security and maintaining system uptime. The Cloud renders most of these issues almost obsolete with the advantages that it brings to the table. Data security and integrity are non-issues when using the Cloud, and access to the Cloud is always on and ready to go. Software updates and installations run in the background to achieve maximum uptime and minimal stress. Cloud storage can be scaled up or down as the business merits it. As a result, the IT department is freed up to focus on more significant issues like strengthening overall network security. As you can see, upgrading to a cloud-based ERP system is a sound business strategy to implement.