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- Less required resources
The main draw to cloud-based ERP solutions is that you don’t have any additional capital outlay for networking hardware. Since you are buying subscription from your SaaS provider, you don’t have to buy new servers to house the application or databases, nor do you have to hire people to install, troubleshoot and manage hardware and software associated with your ERP solution. That is all covered in your licensing costs.
- Enhanced security
At one point in time, people thought that housing sensitive data in the cloud went against best practices when it came to security. Then they started to see how ERP cloud vendors could actually provide a more secure environment in most cases. They hire the right people to manage the tools and appliances that keep data safe. They are responsible for testing for vulnerabilities and patching systems with exposed weaknesses.
While you still have to take a hand in making sure that your data is safe, reputable cloud ERP vendors act as your partner when it comes to security measures.
One of the benefits that early cloud adopters quickly realized is that with a cloud subscription, it is easy to scale services to meet your needs. If your business experiences tremendous growth, you can easily increase your license size. The reverse is true as well; if your company is seasonal or has to downsize then you have the option of reducing your license size to meet your current needs.
- Greater availability
The very nature of SaaS offerings is that you can access the application from anywhere. This means that if you can provide access to your staff if you have a remote office, a remote workforce or just someone who has to use the ERP system while at home or while away at a conference.
Since your ERP vendor maintains ownership of the software and hardware, they often provide round-the-clock support for their customers. Unlike on-premise hosting, which sometimes requires customers to purchase support packages, cloud vendors generally offer this as part of their service; and that includes software upgrades.
Choosing the right ERP solution for your business takes some serious thought. For some, on-site solutions is the only way to go. If they have the money for the resources that ERP software requires, this decision makes sense in many cases. However for those companies who don’t want to spend money on these resources and don’t want to have to manage the application, opting for a cloud-based vendor makes perfect sense.
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