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Everything You Need To Know About Cloud-Based ERP

Cloud Based ERP

As businesses incorporate their systems together and grow, having essential software integrated into the cloud is becoming more popular. That’s where cloud-based ERP shines and could be a valuable component to a company.

Cloud-based systems are composed of resources, services, and applications that could be accessed through the internet instead of local data servers. In case you didn’t know, ERP refers to Enterprise Resource Planning, a management system involving different services helping a company like marketing, data interpretation, accounting, supply chain, manufacturing, and so much more.

Hosting such systems in the cloud could enhance business functionality, reporting, and automatic analytics, and operational efficiency.

It will help if you learn some basic concepts connected with cloud ERP. 

  • Subscription Licensing

The business pays a fixed subscription charge at certain time intervals (monthly or yearly) to use the software. That charge typically involves all software upgrades and maintenance and might be charged per organization or per use.

  • End-to-end security

An encrypted and secure connection between the cloud-based ERP vendor and the customers

  • Hosted ERP

A hosting provider or company handles the deployment of ERP software and connected infrastructure. Take note that hosted deployment models are often used when companies plan to outsource their IT operations.

That type of setup offers some cloud perks, but it’s not a real “as a service” model.

  • On-premises ERP

ERP software is installed locally, on the organization’s servers and computers, and managed by contracted or internal IT staff. The software and the supporting infrastructure are handled, kept, and maintained in-house.

  • Cloud-based ERP

ERP planning software, which is hosted offside, on the enterprise resource planning vendor’s services and offered as a service, accessed via a web browser.

  • Deployment Strategy 

Remember that ERP software could be deployed on private or on-premises hosted servers or bought in a service model. As a result, Cloud ERP functionality could be typically delivered faster, although businesses need to take the time for planning, customization, data migration, staff training, and configuration. 

  1. Digital transformation 
  2. Amazon increases the need for innovative technologies
  3. Flexibility demanded by a lack of disruption cycle
  4. ERP vendors provide more bespoke cloud solutions
  5. Cloud ERP enables constant upgrades
  6. More ERP buyers will shift to the cloud  

What are the different components of Cloud ERP software?

Keep in mind that every cloud-based ERP software offers core accounting and financial functionality. From there, the types of applications or modules a business prefers to execute will depend on its specific business and industry needs.

Accessible cloud ERP modules are as follows:

  • Material requirements planning
  • Project management
  • Supply chain management
  • Procurement
  • Order management
  • Inventory management
  • Customer relationship management
  • Human capital management
  • Distribution management
  • Accounting and financials 
Cloud ERP modules

What are the advantages and disadvantages of a cloud-based ERP system?

You will find numerous advantages to a cloud-based ERP system, especially if it’s implemented properly. Here are some of them:

  • Updates – Simplifying SaaS via a third-party vendor allows a company to avoid any updates to software or applications on their hand. That could help check one thing off in a lengthy list of tasks and concentrate on training for such new updates to stay updated with their service.
  • Security – The major advantage of having such systems accessible through the cloud is because they won’t be accessed on local data servers. Having the two could help keep specific info in various places, making various security sense in case of a potential cyberattack.
  • 24/7 access – Having access to the application on the cloud will indicate it doesn’t need to be connected to local data servers. Hence, work could be performed 24/7.
  • Lower IT support cost – A reduction of IT staff will help a huge amount of money. The service is handled through a third-party vendor, lowering the need for an IT team within that department.

Other benefits of having an ERP system include enhanced product quality, get one platform or accessibility, automated ERP analytics, and so much more.

On the other hand, here are some disadvantages of cloud-based ERP system:

  • Employee agreeance
  • Compliance problems
  • Customization choices
  • Training sessions
  • Less control 
  • Continuous cost 

How Cloud Computing is used in Cloud-based ERP system

Cloud computing is a chance to totally change how your business and its staff work. Saving the company from capital expenses that last longer on the balance sheet instead of the server room might be the most cited advantage. 

With cloud computing, you can change applications and users up and down to meet the business’s varying demands. You could trial systems without a huge capital investment and roll out new systems to groups. That will help lower risk and distribute training expenses.

What are different types of cloud ERP software? 

You finally learned what ERP software means and its pros and cons. The next step is to learn the various ways cloud ERPs could be deployed and how they will impact your organization. You will find two core variations of cloud ERPs: on-premises and SaaS.

  • On-Premises

Private cloud models using traditional on-premises ERP infrastructure are a very typical option for enterprises. This type of ERPs is both secure and robust, with data stored on servers owned and managed by the organization. 

The advantage of this type is you can host it on your own or use the infrastructure to host the whole ERP solution on a private cloud. Did you know that on-premises are the most personalized? It provides a different range of functionality, as it incorporates most enterprise tools and modules.

  • Hosted or SaaS

Software as a Service (SaaS) is the most typical model for cloud ERP. Organizations have enough choices that span across different industry requirements, functionality, and budgets with industry-leading solutions. You do not own the software in that deployment, but your data is stored in a public cloud where users share an instance of the available software, along with a small monthly charge for every user.

Microsoft Dynamics 365 Cloud ERP system features and benefits over the traditional ERP system

Microsoft Dynamics 365 is a modular, cloud-based ERP system that features advanced CRM capabilities. The platform is composed of rebranded versions of Microsoft Dynamics CRM and Microsoft Dynamics AX. Check out every Microsoft ERP Products here.

You see, the platform helps organizations make smarter decisions according to data-driven recommendations and insights. Businesses can run more effectively by optimizing and automating manual activities with smart workflows. Also. Real-time visibility helps the organization make better decisions.

The platform’s CRM features offer clients the freedom to unify relationship data through LinkedIn Sales Navigator, customize customer experiences at scale, and coach sales employees with analytic dashboards and onboarding. 

Compared to the traditional ERP system, Microsoft Dynamics 365 Cloud ERP system takes a modern ERP functionality approach with real-time data. It does that by integrating AI, mixed—reality, and machine learning tools for a business.

The solution provides:

  • Mixed-reality remote support
  • Holographic guides
  • Product visualizations
  • Virtual sales agents
  • Automated fraud protection
  • Predictive guidance for sales 
  • Real-time information on resources

What are the benefits of using MS Dynamics 365 Cloud ERP in your business?

You will find a plethora of CRM products available in the market today. Hence, how do you determine if Dynamics 365 is the best move over other products? What are the benefits it can offer to your business?

  • Enhanced productivity

Your staff can easily access just about any type of data they need through Dynamics 365. Real-time ERP inventory management and updates allow them to work more effectively and cut downtime looking for data. Staff could make better, smarter decisions and will have the insights and tools they need.

  • Scalability

Dynamics 365 could scale up and down immediately on your existing team size, workload, and budget. Like other Microsoft products, Dynamics 365 is based on a simple-to-adjust monthly subscription.

  • Personalized

Dynamic 365 offers a set of built-in workflow tools and modules you can utilize to automate the tasks across project service, field service, customer service, marketing, and sales.

  • Lowered sales cycle

Take note that Dynamics 365 offers your sales team access to a huge amount of insightful customer information? Your team can make quick responses and offer data without wasting too much time.

  • Simple to use and deploy

You can utilize Microsoft Dynamics 365 in a hybrid cloud or a normal cloud setting. The good thing about it is that it’s easier to handle and deploy no matter what way you need based on your infrastructure and budget.

  • Incorporates with other MS products 

Dynamics 365 incorporates easily along with other MS products. That includes the Office 365 suite. Such integrations enable organizations to opt from Dynamics 365 to Outlook to communicate to SharePoint for documentation and Power BI for data analytics. You can also check out this post for the entire list of benefits that Microsoft Dynamics ERP brings.

Pricing Structure of MS Dynamics 365 Cloud ERP 

The Microsoft Dynamics ERP pricing per use is presented based on the licensing and pricing structure presented officially by the company. All the prices presented here are according to the current Dynamics 365 licensing guide. Keep in mind that the prices highlighted in the chart are estimated as the monthly license cost for every user subscription for an Attach User and the Full User License.

Business AreaFirst Dynamic ERP AppSubsequent Qualifying Dynamics ERP App
Dynamic ERP—Finance
Finance$180 per user/month$30 per user/month
Business Central Essential $70 per user/month
Business Central Premium $100 per user/month
Dynamics ERP—Operations
Supply Chain Management$180 per user/month$30 per user/month
Project Service Automation$120 per user/month$30 per user/month
Business Central Essentials $70 per user/month
Business Central Premium $100 per user/month
Guides$65 per user/month
Dynamics ERP—Commerce 
Commerce$180 per user/month$30 per user/month
Fraud Protection $1,000 per user/month
Custom Insights From $1,500 per tenant/monthFrom $1,000 per tenant/month
Dynamics ERP—Human Resource 
Human Resource$120 per user/month$30 per user/month
Guide $65 per user/month
Forms Pro$100 per user/month

Here is the guide for complete details of Microsoft Dynamics ERP pricing details.

A comparison of other ERP solutions in the market with Dynamics 365 Cloud ERP 

NetSuiteSAP BusinessOneMicrosoft Dynamics 365
Business Type Growing mid-sized businesses and big enterprisesSmall and medium-sized companiesBusiness Central for small and mid-sized businesses Enterprise Edition for bigger companies 
Integration Can integrate with different third-party solutionsCan integrate with SAP-certified solutionsAppSource offers access to approved third-party and Microsoft solutions
Ease of UseThe dashboard enables users to pick and view vital data based on rolesComprehensive capabilities may be smaller than smaller enterprises needUtilizes built-in tools and incorporates with other Microsoft business applications
AnalyticsSuite Analytics for real-time tracking, automatic calculations, and reportsSAP Analytics component for automatic calculations, tracking, and real-time reports; Excel tool for analysis; Advanced analytics need another licenseWorks along with MS Power BI and enables embedded dashboards for tracking and reporting 
PersonalizationPick and add applicable fields in the database and customize forms, performance indicators, and recordsPick and add applicable fields within the database and change codeCustomize fields, forms, views, and workflows; Synchronize and incorporate along with other MS business applications
System UpdatesPhased releases automatically installed within the cloudPlanned and deployed by the businessPlanned release waves installed within the cloud
Hosting Cloud-basedOn-premises and cloud-basedCloud-based
PricingSubscription-based on $999 for a base licenseUser licenses module from $56 every month; Starter pack starts from $1,680Per module from $50 to $1,500 every month 
FunctionalityAnalytics, reporting, inventory management, and accounting across all enterprises of different sizesAnalytics, reporting, purchasing, warehouse management, inventory, and accountingHuman resource management, logistics, customer relationship management, financial planning, and reporting 

EPCGroup approach for implementing cloud ERP implementation

When we talk about efficient ERP implementation, you will find different things to consider. Fortunately, with some forethought and planning, any ERP implementation could be an effective one.

Here is EPCGroup’s best way to ensure such projects are positioned for success from the beginning:

  1. Gather the best implementation team 
  2. Assess the methodology of your implementation team
  3. Obtain buy-in from key stakeholders and executive management
  4. Bring it all together 

EPCGroup has been delivering IT solutions to the industry for the past 24 years. We have more than 70+ in-house experts for ERP Consulting. We also hold Microsoft Gold partner Certification and have expertise for all the Microsoft services like Power BI, Microsoft Dynamics 365, Office 365, and Azure.

EPC Group Microsoft Gold Partners

12 Best Cloud-Based ERP Solutions

Are you looking for the best cloud-based ERP solutions this year? Here is the list:

  1. Microsoft Dynamics 365

Of course, this list is not complete without Dynamics 365. It adapts to industry specifications and adds genuine value to business by extending its use.

  • Munis ERP

This is created to encompass a broad spectrum of public sector needs. It manages all your core functions that involve citizen services, human resources, financials, and revenues. It has some vital features that made it great.

  • SAP S/4 HANA

It is designed to drive immediate value across all lines of business processes. It offers you real-time insights and data through embedded reporting and analytics. SAP provides a bespoke user experience with SAP Fiori for any device.

  • Oracle ERP Cloud

This is a modern solution for FP&A, procurement, compliance, governance, risk management, revenue recognition, tax reporting, and project planning. It offers the integration, security, analytics, and functionality tools you need to run the business.

  • ECount ERP

This is a cloud-based ERP system that allows you to handle your sales, purchasing, and accounting from one platform. It’s a fully cloud-based system that is accessible for users anywhere they may be.

  • Ignition

This is a collection of tools utilized to make inventory systems, SCADA, and point of sale applications. It provides features like server or client architecture, fast to install and use, web-deployed client applications, and so much more.

  • Jeeves ERP

It is created in Sweden that incorporates different manufacturing styles to deal with planning, execution, decision-making, and measuring. It provides features like user-defined portals, integration with QlikView, search, form design, and tab views.

  • Kinaxis RapidResponse

This is a supply chain management solution that helps big companies with planning and provides companies the supply chain analytics and planning capabilities they need to deal with various interconnected supply chain planning procedures.

  • Orion ERP

It offers strong functionalities through smooth interaction between different modules. It also helps users drive growth and keep competitive gain in the face of worldwide competition at the same time.

  1. NetSuite ERP

This is engineered to scale with organizations as they grow and to simplify mission-critical processes. This system helps in advanced billing, supply chain management, and financials, among others. It offers organizations the resources and tools they need to increase grown and drive advancement.

  1. Brightpearl

It’s a platform created to handle inventory, fulfillment, suppliers, customers, and accounting across the omnichannel business. This can be paired with real-time reports on customers, channels, profitability across products, cash flow, and inventory.

  1. SAP Business One

This ERP makes it simpler and reasonable to deal with all your vital business processes. It’s powered by SAP HANA, helping you drive smart decision-making across the organization with reasonable analytics fueled by a marketing-leading platform.


It can be extremely overwhelming for an organization to pick the best ERP with many vendors in the market. However, there’s no one-size-fits-all partner, as organizations are complicated entities and have distinct people dynamics.

A business-driven approach, where an organization looks at creating its process and structural capabilities with an established change management program, is highly suggested. A good ERP partner with an established project setup and execution approach could help the company unlock the value from their ERP programs.

Errin OConnor

Errin OConnor

With over 25 years of experience in Information Technology and Management Consulting, Errin O’Connor has led hundreds of large-scale enterprise implementations from Business Intelligence, Power BI, Office 365, SharePoint, Exchange, IT Security, Azure and Hybrid Cloud efforts for over 165 Fortune 500 companies.

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