If you have a growing business, you’ll soon find that the way you’ve managed it to that point no longer works. For SMEs, cloud ERP solutions can be a blessing and significantly improve their operations. There are at least six reasons why this is so.
Take a look at the six biggest benefits a cloud ERP solution can bring to your business.
1. Lowers Operational Costs
If you are using an in-house ERP system, that’s a step in the right direction, but it’s not always the cheapest. Usually, you have to deal with installing new hardware and need people that know how to work on it and maintain it. If we add licences, you can see how much this can impact your budget.
Cloud ERP solutions are often available on a monthly subscription. This means you can use them when you need them and not think of the ERP 24/7. In addition, cloud-based enterprise resource planning solutions can be customized per your specific needs, so if there is something you don’t need, you can leave it out and not pay for it.
Finally, when it comes to costs, a cloud-based ERP is already made and ready for your use, while building a new solution takes a good deal of time and money and those are not things in great supply.
2. Greater Scalability
Cloud technology has a number of benefits, but one in particular stands out and that’s the ability to scale it to your own needs. Of course, the same applies to cloud ERP. Let’s say, for instance, that you bought a licence but in the meantime your business has grown in a way that the current ERP cannot keep up. No problem, you just scale your licence per your needs and get a bigger one.
3. Better Accessibility
If there’s an Internet connection around you, you can access the cloud. For your business, using a cloud ERP software can offer several benefits, including:
- Allowing your employees to access and use the ERP when travelling
- The ability to go global. If you use an in-house ERP, you need several system if you want to go global. A cloud ERP will work across the globe.
- Offers more flexibility for your employees. Today, more and more companies give their employees an option to work from home. If you have staff that takes a long commute just to get to work, they will be more than happy to use a cloud ERP that allows them to work from home.
4. Enhanced Security
One of the biggest reasons why some businesses didn’t adopt the cloud from the start is the perceived lack of security when compared to storing their data as they used to, or on-premises. This really had less to do with security and more with not wanting to abandon already established practices.
Today, reputable ERP cloud vendors use the tools and have the resources that you don’t have access to and that can significantly improve your security. Simply put, if you want to ensure that your sensitive data is safe, partnering with a cloud vendor is a much safer option than using an in-house system.
5. Stronger Support
With on-premise hosting, you often get only the basics and need to buy additional packages, including support. This can be a hassle when you need to upgrade your software. What’s different with cloud ERP is that vendors include support as part of the deal and will provide it 24/7 in most cases.
6. Improved Performance
All that you really need in order to use a cloud ERP is a good Internet connection. This means you don’t need to worry about infrastructure or that the ERP system will hog all your resources, which is not the case with an in-house ERP. Naturally, this frees up those resources for you to use them on other business processes.
Enterprise resource planning in itself provides many benefits to a small business, but a cloud ERP is the next step. These six points were just some of the many benefits to using such a solution.
Are you using a cloud-based ERP? Do you know of any other advantages besides these? Let us know in the comments below. Also, if you like software that makes your life easier, you should give our Purchase Order Plus a free try. POP lets you easily create, approve and send purchase orders on any device, including your mobile phone or tablet.