As technology continues to evolve, companies may find themselves at a crossroads between what they have been using and newer technologies to consider adding. It doesn’t always need to be a choice between one or the other; often there are ways to integrate original technology with new options for the best of both worlds. This has been seen more and more frequently within ERP systems and the on-going debate between using an on-premises system versus the cloud.
Some companies don’t debate: They choose both. It may be because each type fills a specific need within the company. Or, this hybrid ERP approach may come about purely by accident. No matter how it might happen at your company, there are benefits to having a hybrid ERP. Between cloud and on-premises, you can have the best of both worlds.
The New Popularity of Hybrid Solutions
As the cloud becomes more and more popular due to its low cost and ease of implementation, the hybrid IT infrastructure emerges as the newest trend. While the hybrid ERP approach is popular, however, it is not without its challenges. Organizations must be able to identify how much of their applications can move to the cloud based on where the cloud is a good fit. Aligning needs to solutions involves understanding the value proposition of both cloud and on-premises.
For instance, the cloud emerges over on-premises software when it comes to enabling digital transformation efforts, internet of things (IoT) applications, embedded analytics, and machine learning. Cloud-based services perform better when analyzing large volumes of data and can then make recommendations based on machine learning to local system users. Cloud connections also ensure capabilities such as data aggregation, financial reporting, intelligence, backup, and disaster recovery, just to name a few.
If the cloud has all these added capabilities over on-premises solutions, why would a company choose to integrate? Says one expert, “We wanted to build a platform that allowed us to leverage not only the financial systems, but also have the capability to plug in SaaS (software as a service) providers, because that allows us to speed up our ability to deliver new value back into the business.” With a hybrid ERP approach, a company can get new products and services faster and respond to their product development group. This nimbleness to produce new products and services and get them to market had been lacking in their on-premises ERP. By leveraging SaaS in certain aspects of the company, they can now use their on-premises ERP as the center hub for all data, while the cloud ERP services connect the big data for reporting analysis and data mediation—the best of both worlds.
Other companies choose to supplement their in-house ERP with cloud-based ERP applications because they need improved ERP abilities but do not want to add to or change their in-house legacy system. There are also companies who, while they enjoy the agility of the cloud, need to keep certain portions of their data on-premises for legal or compliance reasons. Because the cloud is not an all-or-nothing proposition, IT managers are able to keep designated data and processes housed in their on-premises ERP while letting a cloud provider do some of the other heavy lifting. Cloud solutions may also be more cost-effective, making them the perfect add-on option for companies who need to get the most agility possible on a limited budget.
Let PositiveVision Lead the Way
While some companies end up in a hybrid ERP approach purely by accident because someone outside of IT purchased a cloud solution to fill a need faster than the on-premises solution could achieve, it’s always best to plan ahead to ensure the systems work well together. Using a consulting team such as PositiveVision, the Chicago IT consultants of choice for many organizations since 2002, ensures that your business objectives are kept top of mind and your company ends up with the perfect IT solutions, including SYSPRO, the ERP for manufacturing and distribution companies. Cloud-based SYSPRO can automate and integrate business processes such as customer orders, scheduling operations, inventory records, and financial data in the cloud. With help from PositiveVision experts, SYSPRO can integrate easily into any on-premises ERP systems to create the perfect hybrid ERP solution for your organization’s needs.
If you’re ready to take the next step in ERP integration and create a hybrid ERP solution for your business, let PositiveVision help you build the connections you need.