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Legacy ERP systems are just not cutting ice anymore. From process and document duplication to standalone, disjointed applications that are disconnected from the ERP — the list of cons is long. Suffice to say that on-premises ERPs just can’t match the pace of a world that’s increasingly becoming data driven and digital.

The future for on-premises ERP

According to Aberdeen market intelligence, cloud ERP adoption intent is at its tipping point in view of how out-of-date ERP solutions — at least five years old — are reducing profits by dragging down business growth and innovation.

As of 2017, 59% of businesses said they would consider a cloud-based ERP model in their next implementation—a 14% year-over-year increase, surpassing interest in on-premises solutions for the first time. Conversely, interest in on-premises models is in free-fall, dropping nearly 30% from 2009 to modern day.Cloud ERPs are the new normal.

Being on the Cloud

Statistics state four out of ten organizations have already moved to cloud ERP solutions in their need to be faster, smarter and more streamlined. The migration has helped them unblock barriers to greater functionality, corporate agility, data security, reduced IT dependence and significantly lowered cost of ownership.

Research also shows cloud ERP is accelerating digital transformation initiatives, doubling the likelihood that they have integrated e-commerce and mobile device capabilities and increasing business analytics and intelligence activations by 50 percent, compared to on-premises users.

Today, it’s no longer about just moving to the cloud. Instead, it’s about channeling the capabilities of a completely cloud-based set of business solutions to drive performance and profitability. In integration with other potent productivity tools, cloud-based ERP solutions like Microsoft Dynamics 365 unify business operations across finance, manufacturing, inventory, and transportation management with an intuitive user interface to run innovative modern global enterprises.

In Microsoft’s own words, ‘Dynamics 365 solution, a top product in its class, provides the kind of agility, functionality, and cost effectiveness that you can only find in a cloud-based platform.’

Welcome to a new paradigm in the ERP industry.


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