IT departments have often found traditional ERP systems massive, expensive, and time-consuming installations that necessitate significant hardware or infrastructure expenditures. In this fast-paced 21st century, businesses are constantly looking to decrease their expenditure and increase their revenue. And they may be able to decrease support expenses and get a rapid return on their investment by moving ERP to the cloud.
The ascendancy of ERP software in the cloud can be attributed to its faster time to value, higher innovation, and better scalability and cost-effectiveness. Cloud-based ERP software is now an end-to-end solution with many of the same features and capabilities as their on-premises equivalents. Cloud solutions also make it simple to integrate other important technologies like mobility, analytics, collaboration, and social tools.
Are you a business owner and Oracle customer debating whether a SaaS solution like Oracle ERP Cloud is suitable for your company – or whether you should stick with Oracle E-Business Suite? This article will help you decide just that. We'll delve into the differences of both, so you're better equipped to make an informed decision.
Oracle ERP Cloud is a Software-as-a-Service that is known for its capacity to expand and scale with your business. As multiple modules may be installed on the same platform using a SaaS service, it eliminates the need for a lengthy installation procedure. It's a go-to ERP solution for organizations that seek large business cloud providers because of their outstanding execution of automated business operations across multiple modules. The deployment options are more versatile and straightforward, and because the software is hosted in the cloud, data security is paramount.
If you're using a traditional on-premises version of Oracle ERP, you should consider moving to the Oracle ERP Cloud. There are many features and functionalities in Oracle ERP Cloud solutions that are not available in the on-premises version of the software.
Oracle E-Business Suite is a collection of software designed to automate Customer Relationship Management (CRM), Enterprise Resource Planning (ERP), and Supply Chain Management (SCM).
The Oracle E-Business Suite enables customers to run worldwide organizations, make faster decisions, save money, and improve productivity. Oracle EBS reporting includes pre-integrated BI and analytics capabilities and an emphasis on customer-centric application methods.
Oracle EBS's Oracle ERP Cloud features no upfront licensing charges and has cheaper maintenance expenses. Nucleus Research found that starting expenses for on-premises ERP were 2.4 times more than Oracle ERP Cloud over three years when looking at overall company costs (software, hardware, staff, and training).
On-premises ERP packages that have been heavily modified are now considered legacy applications. SaaS solutions that offer operational ERP capabilities are rapidly evolving and are increasingly viable options for midsize and large businesses. Gartner states that: Oracle's on-premises customers will have moved 80% of their on-premises capabilities to Oracle Cloud Applications by 2021.
On-premises Oracle EBS deployments need a large amount of IT effort, most of which is spent installing and configuring the current, complicated IT system. Oracle ERP Cloud helps the business to swiftly and cost-effectively add new capabilities compared to Oracle EBS.
Oracle ERP Cloud is accessible over the internet from any location, any time, and on any mobile device, including your laptop, phone, or tablet. This is especially beneficial when employees want their schedules and work environments to be more flexible.
Oracle Cloud Infrastructure uses partner capabilities to assist you in deploying the best solutions for your company's needs. On the other hand, Oracle EBS was not designed to support a large number of application connectors.
Upgrades and new versions are more expensive and time-consuming in on-premises ERP solutions. The user must purchase and install an upgrade package or pay for specialist services to upgrade the software. Oracle ERP Cloud receives constant, automated software updates, whereas Oracle EBS upgrades take a lot of time and work on the part of the IT staff.
Cloud-based SaaS solutions that are easily scalable and integrate with other SaaS services are available. Oracle ERP Cloud is designed to provide a wide range of application connectors while maintaining a secure architecture. Complex connections and massive data transfer are both supported by Oracle ERP Cloud. In Oracle EBS, this procedure is more complicated, and it necessitates a lot of help from the IT staff to design and create the connections.
Oracle ERP Cloud requires no license fees upfront and minimizes maintenance costs. The licensing and maintenance costs for Oracle EBS are greater.
The Oracle ERP Cloud applications have been completely redesigned to make them more efficient and user-friendly. Cutting-edge web technologies result in a simple, intuitive interface that makes doing most back-office activities faster and easier. Oracle EBS on-premises lacks the new UI and appears to be archaic in comparison.
Today, the deciding factor for some enterprises is that on-premises ERP solutions are gradually getting branded with the “legacy” tag. At the same time, many still struggle to survive with their on-premises simply because a complete transformation isn’t a viable option. With a high degree of customization, their organizational needs continue to be met. However, it may not be a good long-term strategy. The other option to move their technology ecosystem to the cloud and embark upon a new growth journey with a clearly defined roadmap.
With Oracle ERP Cloud’s bundled modules and state-of-the-art accessibility, the enterprise is empowered to better forecast, plan, and manage critical business processes that span different functions. With Oracle’s EBS, you get the best of CRM and ERP capabilities, thereby streamlining and improving the moving parts of the enterprise, such as sales, marketing, and HR. As for which one is the best suited for your enterprise, that really depends on which stage of transformation your enterprise is in – and how much more it can afford while being unaffected by the technology overhaul.
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