ERPs: Finally Moving at the Speed of Business

By Jonathan Ebsworth, global head of Enterprise Solutions & Systems Integration, CSC

Businessman using cell phone outdoorsNow more than ever, the cloud is empowering enterprises by accelerating innovation, delivering business agility and reducing costs. That’s why a cloud infrastructure is a vital part of many application modernization efforts.

Organizations have already moved many customer-facing applications to the cloud. But now they’re discovering that they can gain even greater agility by moving their back-office systems to the cloud, as well.

Enterprise resource planning (ERP) systems are some of the most important systems enterprises have – but they can be the greatest contributor to technology inertia. From service delivery and human resources to marketing and sales, ERP systems run key business management functions. However, they are often large, complex and fragile, and adjusting them to fit your changing business needs can be a slow and expensive process. How can you meet the needs of business change and also gain the process agility you need?

Cloud-hosted ERP offers a faster and more responsive alternative, allowing organizations to accommodate business-driven change more nimbly than they could with traditional ERP systems. The cloud takes the inertia out of the equation so ERPs can move with the business.

For our clients, that increased agility is an even bigger driver than cost.

That’s not to say that cost isn’t important. The traditional infrastructure used to support in-house ERP systems is expensive. Cloud-based infrastructure is at least 30 percent cheaper than the cost of ownership. By moving to cloud-based ERP systems, organizations can shift from a significant capital expense to a less expensive, variable operating expense. What is more, we’re seeing a new breed of ERP solutions emerge where the benefits of cloud infrastructure are enhanced by simpler, more flexible organizational and process models.

When organizations move their ERP systems to the cloud, they can free their in-house IT staff from the burden of ERP-based infrastructure maintenance. Cloud-based ERP services organizations have deep expertise to tap into and can provide systems management services. With this experience at their disposal, enterprises can rely on having consistently stable operations. And their own experts can focus on more strategic initiatives. In this way, moving ERP to the cloud drives innovation and supports the business in responding rapidly to market challenges and opportunities.

Quite simply, cloud-based ERP accelerates business change.

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