Enterprise Resource Planning (better known as ERP) might not be the sexiest-sounding software around but it’s the backbone of the economy. ERP systems can handle everything: from payroll, sales, accounts, inventory, manufacturing resources…the lot.
When businesses grow, they usually do so at a pace that is dramatically faster than their IT system can handle. Even now, there’s enough history to show us that despite using expensive, dedicated services housed on site, there will come a time where they need to be overhauled and upgraded at great expense and complexity. Is it any wonder that so many organisations, from start-ups to enterprise and verticals are moving their ERP operations into the Cloud?
Here are 5 reasons why your organisation should too:
1. Getting ahead of competitors who are anchored down by legacy systems
‘Monolithic’ is a common term used when describing in-house business management systems, once installed they’re hard to get rid of. Over time different applications will appear on different networks and sites, and the people who initially created them will move on, leaving an employee base tethered to something that is hard to modernise, secure, or fix when things go wrong.
In large organisations this failure-flow tends to get repeated over and over again, leaving a fragmented IT environment full of old applications and systems that work differently in multiple locations. Unscrambling that puzzle is incredibly difficult, expensive and time consuming for even the best IT professionals.
Embracing the Cloud, however, frees up funds and empowers workers who can utilise the same, up-to-date, unified platform, allowing them to get on with moving forward without being hindered by the complexity and frustrations of legacy systems.
2. Making your company mobile
With the workforce becoming increasingly mobile, most employees now own at least one mobile device (whether personal or company-supplied). This allows them to work on the go by logging into a Cloud-based ERP which is tremendously efficient compared to getting legacy systems to work online. Employers can now also have access to the company’s centralised system at any time. This way forward improves business efficiency for modern companies who have a mobile workforce. There is a seamless transition of working at the office or working off site that does not affect workflow or productivity.
David Taylor, director of BusinessHub (an implementation expert who implements Cloud ERP solution, MYOB Advanced), has said that the key benefit for his user base was the ease of installation and ability to access information remotely from the B.Y.O.D technology environment.
The productivity gain from a Cloud based ERP system outweighs the pitfalls that commonly arise from legacy systems. To future proof your company would require the ease and ability to modernise your IT system as the business develops and scales.
With security alerts on the rise, companies large and small treat it as a serious area of concern, but also one that can easily be overlooked when working with ERP systems.
Who has access to your legacy ERP systems? Are all the developers who have ever worked on them accounted for? How many passwords provide access to important areas and does anyone know who’s in control of all of them? How many people know how to get through your firewall and do you trust them? Who operates your firewall? Is it continually kept up to date by large operators like Amazon and Microsoft? Is it a box that has sat untouched in a server room for ages?
With a single Cloud solution, you know who is accessing what and when. One security update protects everyone instantly without lengthy rollouts and audits. Access can be locked-down in an instant. With providers like MYOB providing six-monthly network penetration tests, you can have faith that specialists are constantly maintaining and updating security levels so that you don’t have to.
Taylor also noted that they are less concerned about security being compromised with MYOB. There is a regular penetration testing and password management process in place. Being security focused is a key component of the MYOB offering.
4. Scalability, movement and growth
Business transformation happens every day. What if your business outgrows its physical offices (or needs to downsize for that matter). The sheer scale of migrating an IT system and onboarding it into new premises is a daunting task for the best of IT managers.
The downtime and inefficiencies brought on by the move cannot be recouped. What happens to the time lost if your employees can’t access the ERP systems? What is the cost to businesses when this happens?
Most businesses can’t afford downtime, a few hours would be enough to damage a mid-market company. With the ERP system in the Cloud, even the largest enterprise workers can work from home if required. A Cloud-based system does not place it’s reliance on large, expensive, power-hungry server rooms and diminishing Capex bills.
MYOB’s Opex model offerings drive value added services to their customers, catering to their individual needs.
5. Innovation opportunities
With more of your employees able to communicate with other employees in the Cloud, in an instant, the walled-silos of legacy ERP systems is removed. It makes little difference whether they are teams in the same locality or an expansion into offshore environments, or a regional office with workers that speak a different language.
Cloud ERP removes all kinds of barriers and allows for greater communication and collaboration. It also offers a platform that can roll-out new and innovative applications instantly and without excessive planning and implementation.
With mobility in the workplace being the norm and the pace of change constantly increasing, the longer organisations procrastinate to make the shift, the more disadvantaged they will be. Ultimately, every company will end up requiring at least some level of Cloud ERP to increase business efficiency.
MYOB Advanced can help take a modern business to the Cloud and make the transition an easy one. Click here to find out more.