How Does Cloud ERP Benefit Small and Medium Businesses?
Businesses and enterprises always look for ways to increase their efficiency and reduce expenditures. One way small and medium enterprises (SME’s) are doing so is by adopting Enterprise Resource Planning (or ERP’s) to automate their businesses. Using an ERP allows business owners to keep track of several processes - such as accounting, inventory, and manufacturing – in one go. Unlike using spreadsheets, ERP’s prevent duplication of data and helps streamline all business processes.
The popularity of ERP on cloud in Dubai has risen over the years due to the host of advantages it offers. Businesses do not need to set up an IT infrastructure at their premises, cutting any expenses that come with it. Since it is hosted on the ERP vendor’s servers, all data can be accessed online anytime.
Here are four proven advantages of SME’s adopting cloud ERP’s:
Lower Costs
Maintaining an IT team and data storage can be quite an expenditure. This also includes additional costs that pop up, such as system upgrades and updated licenses. When SME’s adopt a cloud-based ERP, all these costs are automatically slashed, since there is no requirement of additional office space or IT experts.
Reliable and Secure
Unlike what business can do on their own, cloud vendors offer a higher level of security to protect data. Since their security requirements are high, these providers always keep their systems updated. And in case there is a system downtime (or any similar malfunction), the ERP providers’ team at hand will resolve the issue as soon as possible.
Flexibility and Mobility
In cases where the business environment is unpredictable and requires a sudden upgrade or increase in work-force, business owners can respond to the dynamic needs of their clients quickly, giving them the edge to beat the competition. Since ERP is administered offsite - and businesses generally pay on a resource or usage-based model - it is much easier to scale or increase the users by simply increasing the resources of the ERP provider.
Increase in Productivity
Compared to In-house ERP, Cloud ERP is accessible even outside office hours. Businesses are able to meet their goals because employees have unlimited access to their ERP software. Since the files and/or data are updated to the cloud in real-time, ERP allows real-time collaboration, thereby increasing productivity and accessibility.
It is only a matter of time that in the near future, we may see Cloud ERP become a norm for most small and medium Businesses.