Hybrid Cloud ERP Software: What to Move Offsite - ERP Cloud Blog
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Ken Jacobsen, The TM Group

Hybrid Cloud ERP Software: What to Move Offsite

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Cloud ERP software can be mixed with on-premise business applications for a hybrid approach to IT strategy.

Cloud ERP software can be mixed with on-premise business applications for a hybrid approach to IT strategy.

Businesses exploring the possibility of cloud ERP business software don't have jump to in with both feet right away. Many organizations try different cloud based solutions like CRM and tax software before moving their entire IT systems to the cloud. In fact, it seems most companies start with a hybrid of both cloud and on-premise solutions first before going completely online.

The Wall Street Journal shared the results of MarketsandMarkets research that predicted the hybrid cloud market will see a compound annual growth of 27 percent between 2014 and 2019. Companies choose to combine internal legacy systems with cloud services in growing numbers. As organizations employ hybrid solutions, the question becomes which business functions to host through internal IT and which are best deployed via cloud.

Keep sensitive data at home
Making a decision to take advantage of the flexible, scalable and cost-efficient performance of the cloud should come from careful research of the business. Managers need to analyze the functionality of current software and determine where improvements could be made.

During this audit of company systems, decision makers could determine some information is too sensitive for offsite storage. A concern for security often stops cloud migration plans dead in their tracks. Data Science Central said many industries with sensitive information overcome their fears through hybrid cloud options. Businesses can put routine data processes online, while keeping key customer and financial intelligence internal.

If a business wants to try cloud ERP services, they could start with backoffice jobs that don't involve sensitive details. That way, organizations can see how offsite application performs while minimizing security risks.

During periods of high demand
Sometimes, legacy systems are unable to keep up with the demand of certain events like the holiday rush or tax season. When a company finds itself with singular periods of data overload, ZDNet recommended using cloud services to handle the excess instead of building off of internal infrastructure.

If organizations do create internal solutions for certain seasons, the assets could spend most of their time unused. Therefore, the cloud may be not only more cost-efficient than hosting these systems in-house. Additionally, when businesses use online ERP add-on solutions such as those for taxes, company bookkeepers get a chance to communicate what they like and don't like about the system. This type of feedback is crucial when it comes time to purchase a permanent cloud-deployed solution.

Explore possibilities during implementation
A simple way to explore cloud-deployed ERP services is to ask a software consultant what infrastructure, software and data processes would be best served by online deployment. An ERP consultant should recognize which current processes would benefit most from the cloud's mobile, flexible and scalable capabilities.

ERP selection teams need to locate a software provider willing to work with the business. If the ERP partner can visit your office and get a direct look at operations, then they can see how current IT assets are utilized and get a better idea of where virtualized software solutions might be the answer.

A business should communicate what current data processes it is happy with and where it believes a cloud-deployed ERP solution would be the most help. An ERP consultant should listen to needs and offer a solution that works with legacy systems while providing the benefits of modern computing tools. By working with an ERP partner that offers both on-premise and cloud-based solutions, an organization can move specific business features to the cloud and facilitate ERP integration with an existing internal data center.

by The TM Group

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