Cloud ERP Software v/s Traditional ERP Software
When implementing an enterprise resource planning (ERP) software, you are likely to come across cloud-based and traditional on-premise options. Your choice will be critical to the success and efficiency of an ERP software to your small or mid-size business. In some cases, a cloud ERP software will be the better and sensible choice for a business that is would like to save money in the long run, especially if it intends to expand geographically. Here are some of the things you must know about cloud ERP and traditional ERP software:
1. Pricing and deployment
Cloud-based ERP is hosted on a vendor's servers and accessed via the internet, and on-premise ERP is locally installed in your office computers and servers. Cloud software is typically offered with fixed monthly fees, and traditional software usually requires a large upfront payment for the software, implementation, and licenses.
With Cloud ERP, you can avoid upfront costs, reduce IT support, and eliminate the need to pay for software application licenses. With fixed monthly rates, you can dedicate your funds to other business needs and investments. There is no need to buy and install new hardware and servers, too.
2. Flexibility
Traditional ERP software tends to be limited in terms of scalability and features. Cloud ERP can easily be scaled up or down to match the growing or decreasing needs of a business. The size of the cloud service is adjustable to the computing and storage needs of a business, too. And because the cloud is accessible online, you can easily access your data from anywhere. That way, when you expand your business geographically, you can save time and money by not implementing new software and hardware at your new branches.
3. Device mobility
Cloud ERP software offers more flexibility for data sharing and access. Some vendors offer the convenience of letting you switch between your mobile devices and desktop computers. At the same time, you can be confident that your data is always secure and backed up.
