PA IT transformation expert, Anders Rom, has had a byline published in Version2 discussing cloud enterprise resource planning (ERP). Anders explains how cloud ERP is based on renting an ERP system from a supplier and only paying for what you use in terms of data quantity, modules and number of users.
He says that the ERP system has transformed from being a large investment to becoming an operating cost. According to Anders, companies must consider carefully whether cloud ERP is the right solution for them based on considerations such as if the company is a global one, if the company needs new functionalities and server capacity, and if the company is facing a large restructuring of the existing ERP system. Some may think that working with cloud ERP exposes the company to data theft and other threats, but these concerns are overrated.
Anders explains: “In most cases, Microsoft and Amazon, to name a few, will safeguard your assets better than what your own company is able to – even though they may be exposed to increasingly aggressive attacks.”
According to Anders, cloud ERP solutions are still in their early days, and it is not yet a well-proven technology.
“In order to succeed with cloud ERP, the preparatory work must be in place, and one must be very careful when choosing their ERP supplier – considering their experience, references and capability,” says Anders.
Anders Rom is an IT transformation expert at PA Consulting Group