March 19, 2013 in Latest News
By: Christophe Letellier, CEO for Sage ERP X3
When approaching the subject of the Cloud, there is a choice between being strongly positive or enthusiastic. The wave in favour of the Cloud is so strong that views which attempt to even mildly address the need or even the relevance of the Cloud could make you look like a supporter of the past. But this has always been true with new technologies or business models; just look back to the early 2000s.
Cloud technology is not a revolution; it’s an evolution that materialises the maturity of the Internet. By definition the evolution will take time, a long time, when in contrast a revolution could change our world in weeks or months. As customers and suppliers, it has already taken us 15 years to get to where we are today with the Internet. I would bet it will take even longer before everything runs from the Cloud
The Cloud, in my opinion, brings many good things to the software industry. It means solutions can be developed more quickly, agile development becomes standard and seamless upgrades a given. Software vendors are changing and the Cloud is the trigger, but the change is embraced because it creates value for customers.
On a similar note, the Cloud implies a different business model that is based on usage. The ‘per month, per user’ pricing model is the first step that will evolve into fully consumption-based pricing. Once again, it’s good for our customers. The Cloud will also open the ERP world to many more users than today. Because it’s more flexible and web based, we can expect that the Cloud will provide much easier access to an ERP system. C-level executives will, at last, benefit from the mine of data that is created by their ERP system. This is particularly true in mid-sized companies where the CEO is in the operational driving seat and today drives almost blind! Casual users will also be more at ease and will be able to contribute more. This is true for occasional internal users, but also for external users like partners, suppliers or customers. The 25-year-old concept of an extended enterprise now becomes a reality.
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