With CRM and ERP, a business can be up and running with the software quickly which less need for in-house IT staff or high levels of technical skills, and things like security and upgrades are looked after by the vendor.
This is because the difference between cloud and on-premise is that cloud-computing makes your software an operational expense rather than a capital spend.
Some
businesses prefer a capital spend and to ‘own’ the software. Others prefer an operational cost, as with the cloud.
Many mainstream business software vendors are working to transfer their traditional on-premise applications in to the cloud. From a technical point of view, it is not as straightforward as it may first appear. What companies might not be well-suited for this type of software?
Companies which might not be well-suited for this type of software are those companies from small to middle-sized companies.
Large firms in fast paced evolving industries are also not suited for ERP and CRM cloud-based software.
Employees must learn how to perform a new set of work activities.
This requires new organizational learning and provides training for them.
Companies that are unable to accept the changes and also provides training for their employees will be not be suggested to use this type of software.
For the vast majority of businesses, modern commercial cloud applications provide exceptionally high levels of security, including data protection and back-up, and are usually more secure than the majority of on-premise applications. Q2: What are the advantages and disadvantages of using cloud-based enterprise applications?
Advantages of using cloud-based enterprise applications:
Removing the hardware and all the complications attached with it for example the cost of maintaining the hardware, the risk of hardware failure, and the cost of hiring personnel