Cloud ERP software is being touted as the next best thing since the invention of the internet. No matter what website or trade publication you turn to, there are articles extolling the virtues of moving your software and data to the cloud.
It would be a great disservice to manufacturers to ignore their questions about cloud ERP. Here are the top three questions manufacturers often ask when considering cloud ERP software.
- What Happens to My Data?
Manufacturers who handle proprietary or sensitive data often object to the idea of storing their data on shared cloud servers. They may ask, “What happens to my data?” or “Who gets to view the data?” The idea that someone outside their organization may be able to tap into valuable data sends them running back to their site-based software securely contained in the data center at their facility.
Another objection is that if ERP software moves to the cloud, anyone in the organization may have access to company data. There may be concerns that access to companywide data can lead to confidential information about sales to be leaked outside of the company, or other confidential data shared inappropriately.
The reality is that cloud data is stored securely and cannot be shared beyond the approved users. And, for the most part, cloud ERP software offers the ability to control user access so sensitive data can be kept from all but a handful of authorized users.
- Why Are Monthly Payments Necessary?
Another objection to cloud ERP software is the payment structure that many companies use: monthly billing.
However, most offer annual billing at considerable savings to the user.
If you add up the cost of site-based software, including data center management, hardware investment, personnel to run and manage the system, and more, it isn’t exactly a bargain compared to cloud computing. While it may seem like monthly payments are expensive, when you add up the ease with which you can access, store, and use cloud computing, and the money saved compared to investing in the hardware and personnel needed to run and maintain site-based software, it may appear in quite a different light.
- Can I Run My Favorite Legacy Software, Too?
Although we can’t say for sure that your favorite legacy product works with cloud ERP, we can say that there’s nothing stopping you from using both cloud ERP software and your favorite legacy programs. Just know that the two may not integrate easily, or you may need some custom programming to move data from a legacy app into a reporting system that can work with both the ERP and legacy data.
Making the Switch to Cloud ERP
As more companies continue to migrate to cloud ERP software, they’re seeing the benefits. Such benefits to manufacturers include:
- Improved security
- Enhanced backups and data storage
- Easier data access and use
- Cost savings
- Flexibility to add additional components
If you’re still hesitant to make the switch to cloud ERP, speak with some of your colleagues who have already transitioned from site-based to cloud software. We’re also happy to share with you some of our observations over the years of how cloud computing has helped many manufacturers remain competitive, save time, and improve efficiency.
Emerald TC provides software and consulting for manufacturing companies. We can help you choose the right accounting software, ERP system, payroll, or other software for your needs. Contact us or call 678-456-6919 for more information.