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Successfully Cloud-Enabling Enterprise Resource Planning

  • March 2016
  • -
  • Frost & Sullivan
  • -
  • 24 pages

Summary

Table of Contents

Agility, Features, OPEX Pricing Model Propel Demand for Cloud ERP Systems

Cloud ERP has emerged as an agile, dynamic, flexible, cost effective, and swift-to-implement alternative to traditional legacy on-premise ERP software. Cloud ERP systems are still maturing, however, and as a result they have not been fully embraced by the market. But the signs clearly point to more cloud ERP development, adoption, and growth going forward.

Introduction
Enterprise resource planning (ERP) applications have become critical business tools by connecting, enabling, automating, integrating, and pinpointing opportunities (and problems) inside core enterprise functions and processes. As a result, they promise to improve productivity, quality, agility, and decision-making. ERP software typically covers accounting, cost, financial, order, procurement, project, and purchase management, manufacturing, and distribution and warehousing. HR is often included in ERP solutions, but has sufficiently distinct opportunities and challenges to warrant separate Frost & Sullivan research.
But the ability of ERP to deliver on expectations has often been marred by high costs, complex installations (of up to a year or more), errors, usability issues, and inflexibility once installed. Perhaps it’s not unlike companies’ experiences with on-premise CRM systems ten to fifteen years ago.

Today, cloud ERP has emerged as an alternative to on-premise ERP software by managing a host of such issues. New cloud solutions can go live in as little as three months; but as with cloud CRM a decade ago, cloud ERP systems are still maturing, and as a result they have not been fully embraced by the market. But the signs clearly point to more cloud ERP development, adoption, and growth going forward.

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