If you have not implemented or upgraded a software package for several years, or have never implemented an Enterprise Resource Planning (ERP) system – you may be wondering if the move to hosted and cloud based systems has changed anything about the ERP project implementation process or timeline.
The short answer is No! From your point of view, it may surprise you that not much has changed. The basic steps and requirements for a successful project are the same.
When customers want to know what type of project implementation will take a longer time and cost more, the primary answer will be an on premise implementation because:
- You or your provider have to purchase, setup and install the hardware,
- You may need to make building updates to support the size, electrical and heat requirements for the hardware, and
- You (or your provider) will need to plan for system backup, disaster recovery and security requirements
Cloud or hosted implementations take these steps out of the project because the provider already has the hardware, building designed to support the hardware, and the backup, security and disaster recovery systems in place.
But, these remote implementations are not necessarily faster. Any project implementation cost and timeline will primarily be determined by:
- the number of users
- the number of modules or functions to implement
- whether/how the software needs to be customized to fit your business process
If you’d like more information about the difference between a cloud based and a hosted ERP implementation take a look at this article. And, when you are ready to talk about whether a cloud based implementation is right for your business, let us know.
This article was originally posted in April 2015 and has been updated for accuracy and relevancy.