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May 28, 2012

ERPs in the cloud !!

By Suren

Cloud computing is the talk of the town with everything from social media websites where you have you have your entire life’s details laid down,  to a  simple comment you leave on the some website in some corner of the world wide web.

Given the popularity that cloud computing is gaining, you could ask why haven’t those large ERP vendors yet to break into this as you would have expected them to?

Well some of the basic challenges that would crop up would be:
  • Transitioning from onsite revenue streams to in-house ones. Business models need to be revamped at the source to make this transition smooth, and with more than million clients it’s not an easy task.
  • Confused  clients when it comes to clear vision laid out by a vendor in terms of support and maintenance on how the infrastructure would be setup.
  • Difficulty for the vendors in being able to pin point which existing systems will be brought in house, due to integrational aspects and 3rd party’s existing cloudless computing solutions in the overall landscape.
  • Another challenge is to be able to distinguish between cloud services for core applications and those on the peripheries. This will always be a point of discussion to consider.  
  • Being able to align the cloud and SaaS applications together on a common platform  in a client organization is always a time consuming and painstaking task.
These are just some of the basic challenges that come to mind when considering a shif to a cloud service from the regular on-site service setup, from a vendors perspective. However, the large ERP vendors have already taken irreversible steps in this direction, but it’s likely that the these changes will take time to stabilize and yield tangible results.

Just some points to ponder. Have a nice day !!

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