Cloud-based ERP system is the best bet for SMEs to achieve business success

Cloud-based ERP system is the best bet for SMEs to achieve business success In changing business scenario organizations have to walk with the pace. When digital transformation brings new horizons in business opportunities it makes compulsory for one and all in the industry to take advantage of the evolving technology support.

Enterprise Resource Planning (ERP) solutions have become a must-have-solution for every industry. Today everyone, from large to medium and small scale industries, depend ERP for all business operations. This is because an ERP system allows companies organize and operate their business in a systematic and automate method.

As the time elapsed, technology also started moving in a fast pace. In the pace, ERP got evolved from on-premises to Cloud-based systems. Since cloud computing has become popular there have been many attempts to formulate a complete definition that captures all of its characteristics.

Compared to traditional ERP systems cloud-based ERP system could offer numerous revolutionary advantages which can tremendously improve the value creating capabilities of organizations. The most significant advantages are: much lower cost, faster time to market, and great opportunities for creating new sources of value

Software as a Service model Cloud-based ERP systems which delivers the SaaS (Software as a Service) model is gaining much acceptance among the businesses due to earlier mentioned reasons.

SaaS model ERP systems target the end user or business. It concerns the delivery of an application to multiple customers via an underlying database and object code.

A Cloud-based ERP system is hosted in a remote sever and accessed via a common browser over an Internet connection, allowing access that has little dependency on client configuration.

One of the main advantages of a cloud-based ERP is that it eliminates the requirement to physically install and run the server-side applications on the customer own premises. Also there is no need for any back-end hardware and data centers required to operate the system. This it saves a lot of money for SMEs and this resource can be diverted in other areas which will help to develop their business operations.

This makes it possible for small organizations to take advantage of ERP systems, as they require neither the substantial resources nor the skills needed for successful on-premises implementation.

Take advantage of technology changes Overall the ERP market has been undergoing a rapid technology shift, due to the advent of cloud computing technology. Though most cloud-based ERPs are provided to customers as software as a service (SaaS), a number of ERP platforms as a service (PaaS) also exist For large companies which have branches and plants located in many overseas countries that undertakes mass production must opt for the ERP platforms as a service.

Like we mentioned earlier, small and medium-sized businesses are the major beneficiaries of Cloud-based ERP system. Today, companies are moving from best-of-breed to a best-for-business approach, implying that they prefer extensions to their existing ERP for applications like planning and optimization, business intelligence and knowledge management. This has resulted in emergence of ERP systems could-based ERP packages.

The requirements of each company differ in terms of standard industry practices and unique practices. It is therefore to have an expert opinion before we decided about what and which types of ERP you must go for. You may write to us for any expert opinion on this subject.