5 Benefit of Having Cloud-Based ERP for SMBs
By Pranjali Manore
Today, every Small and Medium-Sized Business has deployed a cloud-based ERP system. It also shares the reasons for the shift to Cloud ERP from Traditional ERPs. Deploying an ERP software helps these businesses to aggregate and organize the data spread across various departments in the business organization. Speaking about traditional ERP software, it is present within the company’s self-managed infrastructure with a constant need for updating and servicing.
Cloud-based
ERP is different from conventional ERP:
Cloud-based ERP is dependent on the
Cloud for helping the companies share their information across different
departments. The systems depict a shared database that supports various
functions being used by different business units. Moreover, it allows the
employees to access the same information to match their own requirements in
various departments.
Benefits
of Cloud ERP:
Nowadays, you could see various cloud
ERP vendors provide innovative and sophisticated alternatives compared to
on-premise ERP implementations. There are several benefits that SMBs get when
going for cloud ERP solutions. Such benefits are useful for SMBs as they do not
have enough resources to implement an on-premises ERP solution.
1) Inexpensive cost:
Generally, a cloud ERP solution has a
lower cost as compared to an on-premises solution. In the case of security
concerns, the business can be stress-free. One more benefit of using this
software is that it reduces IT costs. Lowered costs can save a lot to the SMBs
as it helps the SMBs overcome the unwanted cost of their under-utilized
staff.
2) Lesser time:
Experts believe that the predicted
time taken to implement a Cloud ERP is nearly 1/4th of the time taken to set up
an on-premise ERP. Cloud ERP usually takes less time to set up because a Cloud
ERP is already set up with predefined modules integrated into it. The
businesses have to pay the subscription amount and begin using it.
Furthermore, installation of a Cloud
ERP is much easier as compared to traditional ERP software. Cloud ERP faces
less downtime during the upgrade process. The vendors entirely manage cloud ERP
systems, and software setup eliminates any intervention in the businesses, or
even if any disruptions are taking place in business operations.
3)
Increase efficiency:
It is difficult for businesses to
have an on-premises setup as the ERP always needs continuous maintenance and
operation with the highest efficiency. Whereas on the other hand, with a
Cloud-based ERP solution, the only requirement that remains is a steady
connection that helps the businesses have maximum proficiency with no hindrance
and interruption.
4)
Stores data securely:
When small businesses go for a
Cloud-based ERP system, it provides several layers of encryption for enhancing
the security levels of business-critical data; therefore, make sure the
information is securely stored. It enables the management to administer
individual access to this data.
5)
Integrate necessary information:
With Cloud-based ERP, it is simpler
for organizations to integrate all the necessary information and be an
effective method to enhance business operations. Also, Cloud ERP connection
helps the employee fetch and update the required data and can be of great help
for the employees working from remote locations to find and share the
information they want.
Conclusion:
As per the current scenario, the
market trend depicts that the SMBs rely heavily on cloud computing to store and
maintain their crucial business information. Cloud-based ERP systems are going
to offer several benefits to these organizations. It will also help them to
stay ahead of the competition.
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