There comes a time during the discussion about implementing a new advanced planning system when the question gets asked, “What hardware do we need to run it on?” This is typically when the supply chain team decides to stretch their legs to get a coffee as that’s a decision for IT and Finance…

But no, this decision belongs to all parties as there are different ways to implement computer software: on premise or in the cloud.  This is a collaborative decision as it impacts all services, here is how:

  • As there is no time to lose, initial implementation, roll outs, enhancements, new requirements and upgrades should be carried out as quickly as possible without disturbing the business.  In this situation, an implementation in the cloud is obvious as it allows the customers to focus on their core business.
  • Also, while many companies agree on most of the positive impacts of the cloud on their business, they sometimes fear security issues.  The fact is that cloud security certifications are very high, and companies often do not realize that they are in fact much safer than that of their own infrastructure.   Let me give you a concrete example; last summer, the “Petya” virus paralyzed many companies around the world. One of our customers was highly affected by this virus; all their computer applications shut down except one, their DSCP software because it was in the cloud.
  • On the financial standpoint, cloud costs may seem higher than on premise at first, but when making a comparison it is important to ensure you are comparing like for like. When customers compare all of the costs they incur, the cloud may be more cost effective as they will enjoy the benefits of the economies of scale in delivering the service to the customer.

We are in a world that is changing very fast. Big will not beat small anymore; it will be the fast beating the slow, and cloud implementations lead companies in that direction.

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