Converging on the Cloud

May 4, 2010
By djohnson
Microsoft Convergence

At Microsoft Convergence last week, there was a lot of talk about ERP and the Cloud. Just See the report provided by Rick Whiting in Channel Web or the report done by Brian Sommer on ZDnet. At this point, if you don’t believe that the cloud is a force to be reckoned with, it’s because:

Scenario 1) You have not been reading anything outside of the comics.
Scenario 2) You think that the reports are more hype than reality.

Disproving scenario 1 is easy because even if you read only the comics you will have run across a cloud cartoon.

But proving that the cloud is more reality than hype is a bit more difficult. NetSuite helps prove the case by announcing real-world customers who have switched from on-premise to cloud ERP. Unfortunately, customer turnover at NetSuite is high, which means that many NetSuite customers are leaving for other solutions – many of which are probably on-premise, some of which are with other cloud providers.

Analysts describe cloud ERP as something that is “definately going to be with us in the future.” Great, but when is the future? Some vendors (NetSuite, Acumatica) would argue we are already there, others (Oracle) would argue it’s quite far away.

With some markets (distributed workers, businesses without IT, de-centalized companies), the cloud benefits of access from anywhere, outsourced management, and rapid scaling are already a reality. With other markets (centralized businesses with lousy internet access), the cloud benefits are far, far in the future.

ERP Cloud – hype or reality

The hype or reality is up to you and your business. If you can gain the cloud benefits, then get out board, there are vendors waiting to serve you.

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