Cloud ERP – The Future Backbone of The IT Industry

“Cloud ERP” – this term has been surfing regularly in IT corridors for a few years. But only a handful of people really understand its real meaning and value. This document is written to let you know the basics of both technologies, as well as their HYBRID.

Cloud computing is not a new term for the IT industry. Many mid-sized businesses and large organizations are adapting this technology to improve their business capabilities. Cloud computing can easily transform the complex web of enterprise technologies into a simple network, if applied effectively. The strength of this technology lies in its flexible nature and easy sharing capability. Cloud computing, as the name suggests, can support various applications running on different local third-party computers.

Enterprise Resource Planning (ERP)

Much like cloud computing, Enterprise Resource Planning (ERP) integrates various aspects and functionalities of the organization into a single system to meet all the requirements of the organization. Therefore, intelligent synchronization of the two technologies can help organizations focus on their core competencies and improve the work efficiency of all lines of business without incurring heavy expenses.

The Cloud-ERP relationship

Today, organizations are working together to get the most out of available resources (especially IT resources), and this step helps take advantage of economies of scale. ERP with cloud computing creates a secure and reliable platform for running IT services. The intelligent use of cloud ERP helps the organization to reduce the cost of energy, maintenance, configuration and time factor, thus improving the balance (an ideal option for SMBs).

Industry experts believe that a hybrid between cloud computing and ERP will allow businesses to completely transform in terms of using and paying for information technology. For example, cloud-based ERP applications will eliminate the obligation for organizations to purchase the necessary IT hardware, thereby reducing the overall cost of operation. However, critics point out that problems with ERP software installations would simply move to the cloud, rather than remove them altogether.

The future of the cloud – ERP

With an optimistic approach, companies are trying to develop ERP software for cloud computing environments with new attributes that were not possible with old technology. Today, various companies treat cloud ERP software with an optimistic approach. Large organizations SAP, Oracle and Microsoft are experimenting with the relationship between ERP and Cloud Computing to achieve maximum results and to move the ship in the desired direction.

Until then, we can assume that cloud ERP is only preferable for start-ups and new segments within an existing organization.

Source by Manoj Bohra

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