Are you a bit puzzled where to host your enterprise resource planning system – cloud or in-house? Don’t worry; it’s a question many of us are pondering over. With cloud you don’t know where serious business data is getting stored; who is guarding them; or who else has access without your knowledge. We will try to find out answers to these questions; but before that let’s – for once again – see the compelling facts about the Cloud.
Lower costs Cloud computing saves cost in more than one ways – the operational costs, like energy cost, personnel cost and other fixed costs. In case you decide to run your own data center, you’ll need to bear those costs. But do we always utilize data center facility at its full capacity? We might not; capacity utilization fluctuates along with flow of business in any enterprise. So, with on premise ERP facility you could end up draining money during underutilized productive hours on fixed, as well as, variable costs.
So, your profitability gets the hit. The cloud based solutions commoditize the data center facility for hosting your ERP systems; so that you can pay as you use. Besides, this commoditization also promotes better utilization of energy. Zero capital investment On-premise data center for hosting your ERP solution requires a lot of capital investment right at the beginning. You shell out dollars even before knowing how the whole decision would impact your business.
With cloud computing you can simply bypass the upfront capital expenses; just pay as you use. Regularly updated ERP solution for your business you might always prefer the most updated ERP solutions for new functionality and the efficient workflow. However, on premise ERP hosting could be a costly affair. Cloud service providers professionally manage data centers and regularly stay updated with the latest versions. It’s a part of their business and a way to stay competitive.
Resilience in the time of disaster Suppose you have on premise facility to host you ERP systems and there a fleet of efficient people looking after the system. What happens when something disrupts the operation for a time period? What will you do? You have mobile work force and offices in other locations. Will they stop working because something has happened at one location? Definitely no; besides, it takes time to recover ever after a small calamity.
Regulations related to data centers They are a plenty of regulations and you might get tangled into unnecessary compliances. After all, managing data center is not your core business. Instead you can get the service from already complied service providers. And if they are in Cloud then nothing is better.
Now, just think about the question we started with. Is the Cloud safe enough? Can you trust them with your data? Could they ensure none will access your data without your permission? Well, theoretically and practically you are safe. They are dependable in every sense. It’s an all new technology that breaks you free from useless tangles of data center management. And let’s you do your own business.