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Cloud ERP gaining in popularity

25/11/2015 by


Despite many of the perceived problems with the cloud, new figures reveal that cloud enterprise resource planning (ERP) solutions are seeing a rising amount of adoption. With companies needing to remain as competitive as possible in the modern and turbulent market, utilising cloud technology has answered the need for efficient and high-performing tools at a lower cost than traditional software.

In the latest poll conducted by Hitachi Solutions Europe, it was discovered that just over one-third of companies have moved at least part of their ERP systems into the cloud, with some firms having moved all operations away from traditional on-site premises tools. Questioning 315 senior finance professionals, Hitachi’s survey sought to understand the current views and perceptions surrounding cloud ERP as opposed to traditional systems.

The findings showed that 69% of the survey respondents had not moved their ERP solutions to the cloud at the time of the poll; however, almost half of those asked said they would consider making such a move in the future. Of those considering moving some or all of their ERP tools to the cloud, the majority revealed they would be looking at initiating the change within the next two years.

Hitachi also broke down the results to put a spotlight on large organisations with more than 500 employees. It was discovered that although cloud ERP has been something smaller companies have often utilised as a result of the lower costs, bigger firms are also now interested in this area; in fact, of the large companies questioned, nearly one-third have moved some or all of their tools into the virtual environment.

There are both benefits and risks of moving to the cloud, with those who have moved their ERP solutions suggesting that having easier access to information is very advantageous; in addition, increased ERP performance and lower operating costs are also influencing factors. 80% of those asked said their cloud ERP experience had been good or excellent. Conversely, there are some concerns, which largely regard privacy and security; however, the dependency on third parties and the need for constant connectivity were also mentioned.

Finally, Hitachi asked what finance professionals would do differently if they were to repeat their cloud ERP migration. The most popular responses were that they would look more seriously into third-party provision and make a more informed choice with regard to the providers.

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Montash is headquartered in Old Street, London, in the heart of the technology hub. Montash has completed assignments in over 30 countries and has appointed technical professionals from board level to senior and mid management in permanent and contract roles.


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