If you have been paying attention to this blog lately or our site, you may have noticed we’ve been putting a lot of education out there on why organizations need to avoid building an ERP FrankenCloud monster. To put it simply, an ERP frankencloud is where apps run on separate databases with different interfaces and security models that can wreak havoc across your business.
The funny part (or not so funny) is that we’ve seen similar monsters in the old-school on-premises ERP space – just of a different breed. That was where companies picked different applications on different hardware, database and OS environments causing big-time integration problems and headaches. What’s scary is that those same mistakes are now being made in the cloud era. It just doesn’t make sense. Take a look at these next two charts.
There’s no difference between these two charts, is there? It’s exactly why we’re warning businesses about the ERP frankencloud.
Dr. Frankenstein finds a single cloud
If you haven’t guessed already, the message is: Multiple Clouds, Bad: Single Cloud, Good.
Companies need to be strategic in picking cloud platforms that can support their entire business – from front office to back office with apps that share reporting tools, databases and a single UI and log-in. When you go with a single cloud platform it eliminates the need for costly 3rd-party tools that synchronize data between clouds. When you only have one cloud to manage, apps like Accounting, HR, CRM and Supply Chain co-exist side by side in a shared environment, eliminating odd-style integrations and workarounds. And because information is stored in one place, you don’t have to worry about integrations breaking, business process updates are deployed seamlessly, and you can more quickly and accurately check on the status and health of the company.
To break it down – companies prefer a single cloud
- One system for everything – Allows for a single source of pertinent records for sales, operations, finance, and other business critical data
- Ecosystem of apps – You can have related apps (e.g. accounting and CRM) talking to each other and sharing information
- Single record to update – Update a contact, a vendor, a product or an account – and that single update is immediately available to everyone who needs to see it
- One reporting engine – Get shared reporting & analytics that span your entire business
- One user interface, one log-in, one unified system – No more toggling between screens and systems to access and manage your systems
What this all equates to is improved operational efficiency, increase business agility and controlled costs. That’s the ultimate goal, right?
Consider yourself educated on the dangers of the ERP FrankenCloud and educated on the safety and soundness of the single cloud ERP solution.