Cloud ERP implementation answers need for speed and agility

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As demand accelerates for greater speed, flexibility and efficiency in collecting, managing and analyzing corporatewide data, ERP migration to the cloud is paying dividends.

Cloud ERP implementation- After years of running an Infor M3 ERP system on premises, FFF Enterprises Inc. decided to implement SAP S/4HANA ERP in the cloud and now has a three-year track record to talk about.

A pharmaceutical distribution company based in Temecula, Calif., FFF Enterprises opted for the cloud ERP implementation in 2017 partly to free up its IT team to focus on innovation and support​, according to vice president and CIO Jonathan Hahn. “We really wanted to adopt cloud just so that it provides us with other benefits [as well], such as our ability to be faster and more agile,” he said. “Faster time to market, on-demand responsiveness to changing business needs and requirements, and scalability. Another important thing is resiliency as well as fault tolerance, high availability and security.”

Initially, the company selected Virtustream to host its S/4HANA system. But after experiencing some server-related issues, FFF Enterprises moved its SAP workloads to Google Cloud in 2019. The move, Hahn noted, helped his company overcome the challenges of SAP hosting infrastructure outages and downtime.

Cloud ERP comes in 3 flavors

Cloud ERP software runs on a provider’s cloud computing platform, rather than on premises in a company’s own data center. Here’s a look at the various types of cloud ERP implementation options:

  • Multi-tenant software as a service (SaaS). A single instance of the software and its supporting information serves multiple customers. Each customer shares the software application as well as a single database, but each tenant’s data and ERP system is isolated and remains invisible to other tenants. Multi-tenant architecture enables the exchange of services, databases, resources and applications, so it can cost less than a single-tenant structure.
  • Single-tenant SaaS. Each user has a dedicated server and supporting infrastructure. Single-tenant products can’t be shared among customers. A customer’s data and ERP system are cordoned off from other customers’ systems. Users can customize the software according to their requirements. Each type of SaaS ERP is usually hosted on a third-party public cloud, such as AWS, Google Cloud and Microsoft Azure.

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Article Credit: TechTarget