Cloud ERP’s have been around for over a decade and have significantly redefined the industry. That being said, there is still a lot of confusion about when and why businesses should choose a cloud ERP over a more traditional option.

Outlined below are the benefits a cloud enterprise resource program can offer any business, from small-to-medium enterprises (SME’s) to larger corporations, and why they have become so popular.

Cloud ERP: More budget for larger projects

This is undoubtedly the biggest reason why cloud computing has become so popular in the last several years. When using a traditional ERP system you must continuously manage the server and hardware the system operates on. Maintaining this equipment can be difficult and expensive, especially for smaller businesses that may not have any or little internal IT staff. Also, servers will need replacing often to ensure they are compliant with the latest software 15 years from now, which adds more expense.

When you choose a cloud ERP solution, you are no longer responsible for buying or maintaining the servers the system runs on. This becomes the responsibility of your chosen supplier. You may also be able to pay for the cloud solution in instalments, making it easier to budget and potentially, it will allow you to hire more employees. Your ERP becomes an operating expense rather than a capital one.

Tools that required large budgets and IT expertise become accessible

Due to the amount of competition in the ERP market, it has forced suppliers to invest in the latest technologies. In previous years, AI, machine learning and IOT were something out of ‘back to the future’ for many businesses, especially smaller ones. But alas, this is no longer something of the movies but technologies that are being used every day.

If you are using a Cloud ERP, these features will be a part of your system with a small amount of work on your part. The supplier such as Holded will handle the software development and hardware enhancements needed to support the changes.

Cloud collaboration and improved mobility

Simply put, traditional ERP systems can only be accessed on software within your office walls, this can make it difficult to keep up with the times and it will most likely restrict collaboration. I don’t know if you’ve heard, but today’s workforce want flexibility. They expect to be able to work from anywhere, anytime, anyplace. But when your ERP system is solely based within your office, this can be difficult to allow employees flexible working, and it will make it difficult for employees to be able to login from home to check sales numbers, employees will have to wait until they’re in the office.

When using a cloud ERP, collaboration among teams, even ones that are geographically dispersed becomes much easier. All your employees need to access key business information is an internet enabled device. Plus, your staff are not losing time commuting to the office and you don’t have to wonder if the information you are seeing is the most up-to-date.

In part two of this article, we will be discussing IT headaches, productivity boosters and how cloud ERP’s can make your business more agile.

Ready for a cloud ERP? Find out how Holded can help you choose the best plan that suits your company’s needs.