Enterprise resource planning (ERP) systems are used by organizations across many industries for managing their core business processes such as sales, purchasing, accounting, risk management and procurement to name a few. However, over the last few years, the traditional ERP system implementations have changed noticeably since the emergence of cloud-based ERP systems.
Let’s have a quick look at the reasons as to how Oracle ERP Cloud is changing the landscape of traditional ERP implementation:
Implementing traditional ERP systems require large upfront investments to purchase software, hardware, servers and additional facilities necessary to run these systems. Additionally, if your existing IT staff lacks the necessary skills to integrate, operate, maintain and customize the ERP System, your company possibly will require investing more money to hire new personnel for conducting training to maintain the ERP.
However, the initial cost for implementing Oracle ERP Cloud is much lower because you only need to purchase the Oracle ERP Cloud subscription service and do not need to invest in procuring additional data warehousing licenses.
Installing traditional or on-premise ERP system requires companies to maintain infrastructure. However, Oracle ERP Cloud implementation help you focus on business core competencies instead of IT infrastructure since everything is available on the cloud server. And, people who will work on Cloud ERP will have their own credential and their own system.
Unlike traditional ERP that necessitates customers to use separate systems from multiple vendors, Oracle ERP Cloud implementation uses an integrated set of business applications designed for easy customer acquisition and deployment. Essentially, Oracle ERP Cloud solutions eliminates the need of using disparate systems, which eventually helps reduce the complexity associated with traditional ERP implementations.
4.Modernize Business Processes
Traditional ERP systems – and even some cloud ERP systems – may say they come integrated with an enterprise social network. However, considering that social network is a third-party system, you will still need to work on the completing the integration, which includes identifying the objects you would want to be enabled for the social network. However, Oracle ERP Cloud comes integrated with Oracle Social Network. This means with Oracle ERP Cloud systems, social capabilities come embedded in business processes, so you can immediately track and refer back to conversations.
In today’s ever-so-busy world, speed is a critical element for successful business growth. Thus, considering that implementing traditional ERP solutions take 12 months compared to Oracle ERP Cloud that take around 3-6 months of average time for deployment, clearly the latter has advantage over the traditional ERP.
A few other considerations that make Oracle ERP Cloud implementation better compared to traditional ERP implementations: