Moving to a cloud Enterprise Resource Planning (ERP) system is a big change for any business, and the number one question most business owners ask is, how much will it cost? It is totally normal and justified to be concerned about cost blowouts when it comes to upgrading or changing systems.
In the past, updating your on-site infrastructure was an expensive exercise, including hardware, network equipment, software licenses and technicians to install everything and get it up and running. In addition to the cash costs, there’s staff downtime to consider while new systems were implemented and tested. Factoring in maintenance and installation costs of an on-site system, expenses quickly add up. In the rapidly changing world of technology, systems can become obsolete fast, also daily use has a physical impact on equipment. Quite often, with depreciation, your on-site set-up has lost most of the money you initially invested in it.
If your main concern is the cost of moving to cloud-based ERP, think again. The upfront outlay required to implement a cloud ERP system is significantly lower than the cost to implement an on-site system. Overheads such as infrastructure, hardware and installation costs are all dramatically reduced for companies using cloud-based ERP systems.
Cloud-based ERPs are known as software-as-a-service (SaaS) which include subscription fees and work in a similar way to tv streaming services. Rather than outlaying a large amount on a software license, smaller fees are made regularly. Your business could cut up to 50 per cent from your current software costs and upgrades in the long term.
Implementing a cloud-based ERP such as MOYB Advanced has many financial advantages. Your ERP system changes from a capital cost into an ongoing operating cost, preventing the need for large-scale capital upfront.
While a cloud ERP may include initial setup costs and training, you can achieve economies of scale much faster compared to on-site infrastructure. Cost-effectiveness is one of the major reasons businesses are choosing to move to a cloud ERP, rather than stick with an on-site system.
Have you ever used ERP software with hundreds of features that you paid for, but never used? With a cloud ERP, such as MYOB Advanced the system is fully customisable, meeting your current business requirements while being flexible enough to support future demands.
In addition to the cost benefits of moving to a cloud ERP, there are many other viable reasons to make the move to the cloud. If you are interested in talking through the advantages of moving to a cloud-based financial management system please contact us to find out more.