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How Can Moving to the Cloud Benefit International Organizations

Wednesday, June 26, 2024

International organizations are increasingly moving their business applications to various online platforms, with a particular interest in Microsoft Dynamics 365 as their international ERP solution. However, they often debate which deployment model to choose—cloud, on-premise, or hybrid—since each business case is unique and requires thorough assessment. Key considerations include data security, system integrations, and cost.

Differences Between On-Premise and Cloud ERP
The fundamental difference between on-premises and cloud-based ERP lies in software deployment and access. On-premises ERP software is installed on an organization’s own or leased computers and servers. In contrast, cloud-based ERP is hosted on servers owned or leased by the vendor and accessed via a web browser. Cloud ERP systems are typically SaaS (Software as a Service) offerings, providing both the software and the underlying infrastructure.

Cost-Efficient Deployment
Cloud ERP significantly reduces deployment and maintenance costs by eliminating the need for expensive servers, hardware, and related electricity and management expenses. Without the necessity for dedicated IT staff to manage infrastructure, IT resources can focus on strategic projects that add value to the organization. Subscription-based pricing allows for predictable costs and reduces the total cost of ownership (TCO).

Always the Latest and Greatest
With Cloud ERP, organizations benefit from automatic updates, ensuring they always have the latest version of their ERP solution. Microsoft Dynamics 365, for instance, receives biannual updates every spring and fall, keeping the platform innovative and up-to-date.

Scalable and Agile
Cloud ERP systems offer a common data model and a flexible, extensible platform. Users can easily create new processes and modify existing ones without IT assistance. The system’s scalability allows for quick expansion by adding additional users and applications as needed. Performance capabilities can be increased during busy periods, and costs are incurred only for the resources used.

Cloud ERP ensures continuous, uninterrupted access to the system through secure web browser connections on smartphones, tablets, or computers, enabling remote work from anywhere in the world. Accurate data improves customer service, and managed servers guarantee stability and system availability. Reliable internet access and redundant connections are crucial to prevent potential connection failures.

Safe and Secure
Operating from the cloud means working from a single, unified source of information. Microsoft Dynamics 365 ensures that while the standard solution is common to all users, data is stored separately, and each organization only accesses its data. Microsoft is responsible for ERP data security, provided correct user access controls are in place. Employees should have access only to data relevant to their roles, and ongoing training and monitoring of data and password security are essential.

Migrating Your Data
Thorough preparation is essential for a successful cloud migration. Consideration must be given to data usage and formatting requirements for cloud workflows. Prioritizing data migration steps is critical to avoid synchronization issues, and decisions must be made about the method of data transfer—whether via physical shipment, network transfer, or a hybrid approach. Once transferred, data must be verified to ensure accuracy.

Actionable Insights
Cloud ERP systems provide easy access to actionable business intelligence, leveraging big data, advanced analytics, and IoT to drive intelligent actions. These systems use AI and machine learning for full automation, allowing real-time data access for collaboration, quick decision-making, and strategic adjustments without the need for an advanced team of data analysts.

Choosing the Right Model
Selecting the most suitable deployment model depends on various factors. Organizations may choose to migrate entirely to the cloud or adopt a hybrid approach that combines on-premise and cloud deployment. Pipol understands that international organizations have unique requirements for data and functionality. With extensive experience and expertise, Pipol ensures the right solution for each business. To learn more, get in touch today.

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