There are several digital solutions to consider when it comes to optimizing your business performance. ERP software, for example, allows you to centralize your entire information system, increase productivity, and facilitate decision-making. What’s more, ERP solutions offer even more benefits in the Cloud. Lemon Learning specialize in the design of digital devices, so we created an article highlighting the importance of Cloud ERP in the digital transition of businesses.
Understanding Cloud ERP
ERP or integrated management software package is software that brings together different modules dedicated to the administration of a business. Also called Enterprise Resource Planning, it helps companies better meet their management needs. ERP made its appearance in the professional world in the early 1990s and was adopted by many companies, particularly those in industry. Today, it is widespread around the world and used in all sectors. ERP software is considered one of the main pillars of business digital transformation.
There are several types of ERP software, but ERP Cloud has become the most successful. Fully outsourced, it is administered by a service provider, responsible for correcting bugs, modifying system functionalities, and installing updates. They also take care of the regular maintenance of the integrated management software package.
Benefits of ERP Cloud for Businesses
Cloud ERP has become the most popular IT solution for companies looking to simplify most of their management tasks. It stands out from on-premise ERP and SaaS because of multiple advantages we’re about to cover.
Accessibility and mobility
When you use a Cloud ERP, you have the ability to access your applications and data from any location. All you need is an internet connection. With a Cloud ERP, you gain flexibility and the ability to work from your home, or on a construction site, while retaining the access you require.
Improved data security
Cloud service providers typically have teams of security experts. These are responsible for constantly monitoring threats and implementing advanced measures to protect their clients’ resources. The risk of data loss is therefore considerably reduced.
Reduced costs and efficient resource management
When you choose Cloud ERP, you only pay for what you use. Service providers generally offer a flexible, consumption-driven pricing model allowing you then pay according to the number of users, processing power, storage capacity, etc. you use.
Continuous updates and innovations
In order to address known security vulnerabilities, Cloud providers regularly update their infrastructures. Your Cloud ERP software is therefore constantly updated with the latest patches. This helps reduce the risk of exploiting security vulnerabilities.
Challenges and considerations
However, Cloud ERP implementation is also subject to limitations.
Connectivity problem and internet addiction
Without an internet connection, it is impossible to use ERP software offline. If your internet installation fails, your activities come grinding to a halt.
Compliance and regulatory issues
Cloud service providers that specifically target businesses are subject to government regulations and very strict security standards. Certifications such as FEDRAMP or ISO 27001 impose high requirements on them in terms of data confidentiality and security.
Resistance to change and necessary training
Cloud ERP is a solution that changes the way we work, so not all employees are receptive to the changes it entails. It therefore takes time for employees to adapt and integrate the ERP software into their professional habits. The deployment of this management tool also requires significant training, which can result in more costs.
Use cases and practical applications
ERP software is used worldwide by major companies including Mercedes-Benz, Coca-Cola Beverages Africa (CCBA), L’Oréal, Mercuri Presse, and Hexagon Metrology SAS. ERP allows them to automate time-consuming management tasks and improve performance. Using an ERP Cloud tool, Coca-Cola Beverages Africa managed to reduce its IT costs from 2.85% to 1.4% of net turnover. It also managed to update its financial operations, strengthen HR skills, and improve customer engagement. In other industries, Cloud ERP is used by large companies for the following purposes:
- commercial management (sales cycle, CRM)
- Human Resource Management
- invoice management
- supply and purchasing management
- accounting management
But it’s not just big players adopting ERP solutions, small and medium-sized businesses find just as much benefit. Today, many of them implement management software packages integrated into their operations.
Choose an ERP Cloud Provider
Take several factors into account when selecting your Cloud ERP. First, check the level of security on offer. Some service providers offer more guarantees in this area, by surrounding themselves with specialized professionals. Choose a supplier that complies with government regulations, then analyze the quality of customer support. Does the publisher of your Cloud ERP software offer services tailored to your needs? What is the response time in the event of a technical breakdown?
For an optimal experience, we recommend selecting an ERP solutions publisher who understands your needs and is able to offer you a personalized tool. Before making your final choice, conduct plenty of research, and don’t hesitate to compare offers from several service providers. Lemon Learning takes your expectations into account and offers tailor-made Cloud ERP onboarding, training and support. We are a team of informed professionals, specializing in the design of digital solutions for over 10 years.
Cloud ERP is a revolutionary solution that allows businesses to optimize their efficiency. It helps strengthen data security, limit management costs, and make work more flexible. Used by small, medium and large businesses, Cloud ERP software also presents some major challenges including internet dependence. With the rapid evolution of digital and numerous challenges facing the professional market, Cloud ERP has and will increasingly become an essential solution in the coming years. Be sure to analyze your needs and integrate ERP into the management of your business.