Cloud-based enterprise resource planning (ERP) technology brings a new era of efficiency, flexibility and cost-savings to companies. This trend is fueled by growth in Software-as-a-Service (SaaS), which allows companies to use software directly from the cloud. Companies rush to implement these cloud-based ERP services to provide better solutions for inventory management, resource allocation, purchasing, shipping, and production.

It is important to understand exactly why cloud-based ERP is seen as the key to an agile and cost-effective ERP solution so find five ways cloud-based ERP can supercharge your business outlined below.

1. Scale Your Business Quickly and Easily

Since your ERP vendors exist in the cloud, you can scale your ERP system as your business grows. Companies can expand to new facilities and manufacturing sites with cloud-based ERP solutions, offering the flexibility needed in a fast-paced market. 

Add new users to an existing subscription plan, or simply tweak your current cloud-based package to meet your production needs at another site. The cloud goes where your business goes, helping you implement a new service without the typical delays seen with traditional ERP systems. It also means faster time-to-market delivery on products, while ensuring product and service quality remains high.

2. Lower Costs From Beginning to End

One of the main benefits of utilizing cloud-based ERP is the substantial cost savings involved. You do not need extra computer equipment, servers or purchased software licenses. Cloud-based ERP helps you save big on infrastructure and maintenance costs.

On top of that, cloud-based ERP systems help store your data in the cloud, ensuring you avoid costly system failures. Your data is consistently backed up and often stored across multiple servers, adding an element of security when your business is at stake.

3. Speedy Implementation

ERP is often a complex and challenging process to implement properly; however, cloud-based ERP systems help solve many issues that plague traditional ERP systems. Today, cloud-based ERP systems handled by an experienced vendor like Klear Systems allow a company to avoid lengthy setups and installation challenges.

Many primary tasks and capabilities are already pre-configured to offer the most efficient solution possible. Vendors are often familiar with ERP obstacles, and they know which cloud-based format will work best for your company. This helps you ramp up production in days or week instead of months, leading to quick implementation and a return on investment (ROI) to appreciate.

4. Ease of Use Is a Huge Plus

Cloud-based ERP systems focus on improving usability and offering an intuitive interface design. Research shows that up to three quarters of all ERP implementation failures come from user adoption issues. SaaS providers try to differentiate their services by ensuring companies can adopt cloud-based ERP and train employees to use the systems.

In addition, cloud-based ERP offers advanced analytics powered by the cloud, allowing executives and managers access to real-time data. Cloud-based ERP systems also allow global access, including via mobile devices. This is a key advantage for businesses that depend on a vast supply chain or employees working from many geographic locations.

5. Stay on Top of Innovation With Automatic Upgrades

Your business can finally focus on profit generation instead of ERP system updates, since your cloud vendor will be responsible for keeping your ERP system up-to-date with the latest patches and upgrades.

Cloud-based ERP also provides access to an experienced vendor familiar with the latest ERP technological advances. This is especially important when companies must respond to yearly or even quarterly technology changes. By outsourcing ERP to the cloud, companies can stay informed of the latest innovations and solutions.

Although it will be some time before traditional ERP phases out, we predict that by 2016, traditional ERP investment will fall substantially because cloud-based ERP systems are poised for explosive growth! 

Contact us today to examine
the benefits and see how cloud ERP
can supercharge your business in the future!

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Kimberly Tucker

Written by Kimberly Tucker