CIO OPINION
It can consolidate IT systems in an organisation , streamlining data access and analysis .
Security is a significant concern for potential customers , and cloud ERP providers often have robust security measures in place , making it a secure choice for businesses .
Scalability is a vital factor , as cloud ERP solutions are easily adjustable to accommodate changing business needs . The growth of cloud ERP is driven by the ongoing trend of digitisation , the pursuit of high ROI , lower upfront costs , and the increasing need for improved employee productivity and efficiency .
Security , sovereignty , and permissions are crucial considerations in the context of cloud-based ERP systems . Data security depends on several access touchpoints , such as network , hosting infrastructure , container software , and access applications .
Cloud solutions offer robust security measures , including data encryption , compliance certification , physical security , firewall and intrusion prevention systems , regular patching , identity and access management , fine-grained permissions , and audit trails .
Cloud providers also have legal agreements in place to comply with the laws and regulations of the countries in which they operate . Data residency options and contractual commitments to data sovereignty provide users with the flexibility to choose the hosting location for their data .
To navigate the shift to cloud ERP effectively , organisations should start by setting both long-term and short-term business goals , defining objectives , and identifying the associated business cases and problem statements . This approach helps organisations identify their motives and justifiable business cases .
Moving to the cloud should be a transformative initiative , encompassing process reengineering and organisational change management , in addition to technology adoption and change . It is crucial to identify business problems and evaluate costs related to security , scalability , growth , future projects , and performance .
Managing risk is a vital aspect of any transition . Key risk factors include deployment strategy , data residency and availability , consumption and customisation , and the overall compatibility of the new system with the current state .
Effective change management is essential for a successful cloud ERP transition , driven by leadership commitment , clear communication of objectives , and the identification of champions . A resilient change management and control process can help build contingencies and create rollback plans for unexpected issues , offering the flexibility needed to accommodate changes in approach .
Partnering with experts , such as cloud service providers or certified consultants , is crucial for successful cloud implementations and ongoing support . Cloud technology is complex and ever-
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