The adoption of digital transformation in Saudi Arabia becoming a priority among the businesses, it is more important than ever to select the right ERP solution. As a small business or a major company, the proper ERP system in Saudi Arabia can simplify the work, improve decisions, and make it possible to scale in the long term. In the current market where there are numerous alternatives of ERP deployment, it is important to learn the major differences between them in order to make an informed decision.
In this blog, we will have a closer look at the three chief kinds of ERP systems, Cloud, On-Premise and Hybrid. They all have their own features, advantages and disadvantages. You may have been seeking the best ERP system in Saudi Arabia or you just need to have a look at what is available, this guide will help you consider the best ERP deployment approach for your firm.
Choosing the Right ERP Deployment Model for Your Business Needs
Understanding ERP Systems
Enterprise Resource Planning (ERP) systems are very powerful tools which consolidate all the core processes of a business into a single platform. The systems usually have modules in finance, human resource, supply chain management, sales, customer relationship management (CRM) and so on.
ERP solutions allow businesses to centralize their businesses data and automate mundane tasks, thus, being more efficient, reducing errors and creating a better strategic plan. Nevertheless, the manner of deployment of an ERP system, such as on cloud, on-premise, or hybrid can influence its performance to your business significantly.
Cloud ERP
Cloud ERP is housed on the vendor’s server and may be accessed online. This ERP architecture has grown in popularity in recent years due to its flexibility and inexpensive beginning expenses. Cloud-based ERP can be a cost-effective system because it does not require small and mid-sized businesses to invest money in costly equipment.
The other great benefit of the Cloud ERP is scalability. It is easy to add more users, modules or features to your business without major infrastructure upgrades as your business expands. The vendor takes care of updating them, so you will always have the latest features and security patches.
Internet connectivity is however essential when it comes to accessing cloud based ERP systems. The model may not be convenient to businesses that have unreliable or limited internet connection. Also, not all companies feel secure about their data security and compliance, based on the location of data.
On-Premise ERP
On-premise ERP system refers to the on-premise ERP model where the software is installed and operated on local servers and hardware of the company. This model provides full control over the system and is suitable in the case of businesses that have very stringent data security or regulatory restrictions.
On-premise system provides the flexibility to an organization to customize the ERP to their specific requirements such as custom integration with third party tools or workflows. This extensive degree of customization can prove to be a significant benefit to those companies whose processes are intricate or have specific industry needs.
But the cost of implementing an on-premise ERP system is high in terms of both the hardware and software. Your internal IT department will also be in charge of the system maintenance, system upgrades, and problem troubleshooting. This may be an additional expense to the cost of ownership and may need continued IT expertise.
Hybrid ERP
A hybrid ERP system combines cloud and on-premise capabilities. It provides the advantages of both worlds where businesses can keep some of their systems on their premises and relocate others to the cloud. This solution gives flexibility to those companies which desire to enjoy the benefits of cloud, but not to relinquish the full control of their data.
An example would be that a firm could have its financial and HR applications in the cloud and its manufacturing or logistics applications on-premise because they require compliance or are technically more difficult. Hybrid ERP systems are a good option to companies that are in the process of going digital and want to take their time to go digital.
With that being said, hybrid ERP systems are more difficult to handle, particularly when it comes to managing cloud and on-premise systems. Maintaining a steady flow of data and consistency between platforms might need further planning and support that is technical in nature.
Choosing the Right ERP System for Your Business
There is no universal solution in case of ERP. The correct decision will depend on the size of your business, industry, budget, IT capacity and long term objectives. Cloud ERP can be most suitable in the case of fast-growing startups, and larger companies with high compliance standards can be more inclined to on-premise or hybrid solutions.
Whichever model you would choose, you must identify a quality provider who understands your business needs. An example is Quickdice ERP, which gives customizable solutions that work across many industries in the Saudi market. Their team will assist you in making the right decision on the deployment option that best fits your goals, to achieve a successful implementation of ERP.
Conclusion
The selection of an ERP model can make a difference in the way your business runs and develops, so it is essential to choose wisely between cloud, on-premise and hybrid. All the deployment types have distinct benefits, and the most suitable one is specific to industry, objectives, and IT infrastructure. Before you decide, it is important to have a critical consideration of your current and future needs.
Quickdice ERP can provide a customized solution to a wide range of business needs of companies that want a stable and flexible ERP solution in Saudi Arabia. Quickdice ERP is competent in its features, smooth in its integration, and customizable in its modules, so your business stands out in the competitive market.
