Small and medium-sized businesses now have better access than they have had before to enterprise resource planning software. With programs like Dynamics NAV now available through cloud computing, industry professional Joel Strangeland told CIO.com that organizations can see cost savings and more efficiency where they were not previously able to. Tracking business resources and helping inventory management run more smoothly is now more accessible than ever before for smaller manufacturers.
"In the midmarket, one of the big hurdles to greater ERP adoption has been the infrastructure," he said. "These businesses don't always have the funds or the technical ability to build their own data center, to have the infrastructure that can support a full-scale ERP solution."
This will all change with cloud computing, he said. Per-user, per-transaction pricing models can make ERP more affordable for businesses of any size. This can spur cost savings to reinvest into business to spur growth. In the past, companies couldn't predict what kind for volume they would see, which led to misguided purchases. Now, they can make sure money is going to a greater use and they are not buying too much or too little inventory.
Manufacturing Business Technology said traditional ERP required a huge investment for organizations which was often not plausible. With cloud solutions now available, companies should be able to utilize the software to become more productive and efficient while saving money up front and over time.
"By leveraging the capabilities offered in an on demand tier-one ERP system, SMBs are able to perform and compete at a much higher level than ever before," the website said. "The flexibility of this option alone means companies can quickly and easily adapt to ever-changing business needs and resource demands."
Learn how to define your ERP strategy by downloading the white paper entitled "ERP in Manufacturing: Defining the ERP Strategy" from the DMS website today.