Be afraid, be very afraid: 5 reasons to fear the ERP frankencloud

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Be afraid, be very afraid: 5 reasons to fear the ERP frankencloud

Cloud apps have taken the business world by storm. Gone is the fear of moving to the cloud, instead it’s where do I sign and how soon can we get started and for good reason. Cloud apps are mobile, agile, social, and do amazing things to improve both customer and employee experiences.

BUT PAY ATTENTION NOW.  There is still something very big to fear.  As you consider moving your business apps to the cloud, you need to think about which cloud, how many clouds and the impact. Because if you’re not strategic in picking cloud platforms that can support your entire business, app by app you could be building a monster – an ERP frankencloud.

5 biggest reasons to fear the ERP frankencloud:

1. Monstrously inefficient. Multiple apps living in multiple clouds means multiple log-ins, different UIs, with users entering the same data in lots of different databases and numerous customer records to maintain. Or customer information is impossible to access unless it’s within your domain. It also means all kinds of reporting engines that are disconnected, hard to learn and become time sucking, non-problem solving black holes of data. All of this quickly equates to inefficiencies for users, management, and impacts the success of your business.

2. Scary decision making. Bad data breeds bad business decisions. And ERP frankenclouds deliver bad data.  They give you only a slice from each app – so it’s nearly impossible to get “whole pictures” on the health of your business. You can try those 3rd party BI tools to pull disparate data into one place but those end up being time and money suckers that often can’t deliver what you want, when you need it.

3. Hideous integrations. When you run different business apps in different clouds, it’s like taking a wobbly bike, to a late train, to a dirty bus just to get your destination. Workflows that span different departments require complex programming handoffs between systems. Got a business process change? Have fun trying to implement that change across every app in the system. Again, you will find yourself spending more time and money trying to create joined up processes across these different technologies or manually managing each one!

4. Silo fever.  When you have cloud apps that don’t sync, teams work don’t work together. When teams don’t work together, they can’t share information. Finance can’t see what’s in the sales pipeline. Support can’t see if the customer has paid a bill. No one in billing can see if a customer has received their products.  How can you best serve your customers when your company is working in a wonderland of silos?

5. Security sabotage. Over 80% of cloud apps aren’t enterprise-ready, which means they don’t meet enterprise standards for security, auditability, and business continuity against an objective formula adapted from the Cloud Security Alliance. In some cases, they lack basic audit logging capabilities, in others, they don’t support multi-factor authentication, and others don’t separate tenant data in the cloud, which can lead to data exposure or even data loss.

fear the frankencloud infographic

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