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How to determine if ERP cloud computing is right for your company

I'm considering moving my ERP system to a cloud computing environment. What should manufacturers think about before trying ERP in the cloud?

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Companies that have significant regulatory requirements, workforce dynamics or are looking for capital expenditure (CAPEX) savings should consider cloud computing environments. However, companies that have very staid IT environments and whose software requires significant customization should stay with on-premise software.

Those going to cloud should think about the benefits of cloud computing as well as cloud computing risks, including what contingencies will be required if the systems go offline in the cloud (though this should occur less than most on- premise systems), how easily existing processes can be configured in the cloud-based system and what to do if and when the time comes to switch vendors.

 

This was first published in September 2009

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