The Top Cloud ERP Systems

Cloud ERP (Enterprise Resource Planning) improves business operations by offering a centralized, cloud-based system that integrates various organizational functions. For users searching for an ERP system on our platform, ERP powered by cloud computing allows teams to access a unified software system from anywhere with internet connectivity.

Cloud-based ERP is an excellent choice for most businesses. Our guide and comparison tools can help you find the perfect system.

What is Cloud ERP?

At its core, cloud ERP is an enterprise resource planning software system hosted on a vendor’s cloud platform. By leveraging the power of the internet, businesses can access a wide range of ERP capabilities without the need for extensive on-premises infrastructure.

This approach streamlines information flow and enables real-time data access from anywhere, at any time.

Why Businesses are Embracing Cloud ERP

1. Scalability: It allows businesses to easily scale their operations up or down based on market demands without the constraints of traditional on-premises systems.
2. Cost-Effectiveness: With a subscription-based pricing model, cloud-based ERP eliminates the need for significant upfront investments in hardware and IT infrastructure, making it a more cost-effective solution for businesses of all sizes.
3. Seamless Updates: Cloud ERP vendors handle system updates and maintenance, ensuring that businesses always have access to the latest features and security enhancements without the hassle of manual upgrades.
4. Customization: Many cloud ERP solutions offer customizable modules that cater to specific business needs, enabling organizations to tailor the system to their unique requirements and workflows.

Focusing on What Matters Most

By adopting cloud ERP, businesses can redirect their focus to core activities and strategic initiatives. With the burden of managing complex IT systems lifted, organizations can allocate resources more effectively, foster innovation, and drive growth in an increasingly competitive marketplace.

Our Top Cloud ERP System Recommendations

We have curated a list of top-performing Cloud ERP systems based on years of experience in connecting clients with the best-suited solutions for their business needs.

These systems are known for their scalability and robust features, making them ideal choices for many businesses.

Best Cloud ERP Systems for Manufacturers

Manufacturers and distributors can benefit from specialized cloud ERP options like Epicor Kinetic, Enterprise IQ, and Acumatica that provide tailored software solutions for essential business functions.

Comparing Cloud ERP to Other Deployment Options

Cloud-based solutions have become a popular alternative as businesses move away from traditional on-premises ERP systems. When considering ERP deployment options, it is vital to understand the type of system you’re comparing and purchasing.

On-Premises ERP

On-premises ERP systems are installed and run within a company’s IT infrastructure, requiring significant hardware, software, and personnel investments. While offering complete control, this approach substantially burdens internal IT staff.

Cloud ERP

Cloud ERP software leverages the internet to provide a flexible, scalable, and cost-effective option. Delivered through a Software as a Service (SaaS) model, it allows companies to access the software on a subscription basis, reducing upfront investments. If you are wondering what the difference is between SaaS ERP and Cloud ERP, read our article on the topic here.

Hybrid ERP

Hybrid ERP solutions combine on-premises and cloud-based elements to balance control and cloud benefits and meet specific security, flexibility, and innovation needs.

We have observed that most clients choose cloud-based ERP solutions. At the same time, a smaller percentage of businesses, significantly larger organizations, opt for on-premises ERP systems that cater to their specific needs. Hybrid ERP is considered a more specialized option, although some companies may end up with a hybrid configuration if they have to integrate with legacy or industry-specific software.

Key Benefits of Cloud ERP Solutions

Cloud-based ERP offers a range of compelling advantages that help businesses streamline their processes and achieve greater efficiency.

1. Cost Savings: One of the most significant benefits of cloud-based ERP software is the immediate cost savings. Upfront expenses are dramatically reduced, as there is no need to purchase expensive hardware or maintain an extensive IT infrastructure. The subscription-based model translates into predictable monthly costs, making budgeting and financial planning more manageable.
2. Enhanced Accessibility: Cloud ERP greatly enhances accessibility, allowing users to access real-time data from anywhere with an internet connection. This improved accessibility enables employees to collaborate more efficiently, regardless of location. Remote work becomes more viable and productive, as team members can access the same up-to-date information and work together seamlessly.
3. Scalability: As businesses grow and evolve, their needs change. Cloud ERP solutions offer unparalleled scalability, enabling companies to easily adjust their usage based on growth or changing requirements without experiencing significant delays or disruptions. They can also integrate with other systems, making them flexible for adapting and growing alongside the company.
4. Robust Data Security and Compliance: Data security and compliance are critical business concerns. Cloud ERP providers invest heavily in advanced security measures to safeguard sensitive data and ensure compliance with the latest industry regulations and standards. By entrusting data security to experts, businesses can have peace of mind knowing that state-of-the-art security protocols protect their information.
5. Disaster Recovery: Unforeseen events such as natural disasters, power outages, or cyber-attacks can devastate businesses. Cloud solutions often include robust disaster recovery capabilities, providing businesses with continuity and peace of mind. By regularly backing up data in multiple secure locations, cloud ERP software reduces the risk of data loss. It ensures that businesses can quickly recover and resume operations in the face of adversity.
6. Automatic Updates: Cloud ERP vendors handle system updates and maintenance, ensuring that businesses can always access the latest features, performance improvements, and security enhancements. This eliminates the need for companies to manage updates internally, saving time and reducing the risk of compatibility issues or system downtime.

These benefits collectively contribute to a more streamlined and efficient operation, enabling better decision-making and overall performance for businesses that leverage cloud solutions. 

Core Components of Cloud ERP

Cloud ERP systems integrate and streamline essential business functions across various departments. These systems include a range of modules designed to support critical processes:

Materials Management

• Inventory Management: Track stock levels, set reorder points, and manage inventory costs
• Procurement: Streamline purchasing processes, manage supplier relationships, and control spending
• Warehouse Management: Optimize warehouse operations, including picking, packing, and shipping

Sales & Order Management

• Order Processing: Efficiently manage orders from entry to fulfillment
• Sales Forecasting: Predict future sales based on historical data and market trends
• Pricing and Discounts: Manage complex pricing structures and promotional discounts

Financial Management

• General Ledger: Maintain a complete record of financial transactions
• Accounts Receivable/Payable: Manage customer invoices and supplier payments
• Budgeting and Forecasting: Plan and monitor financial performance

Production Management

• Production Planning: Schedule and optimize production based on demand and capacity
• Shop Floor Control: Monitor and control production processes in real-time
• Quality Management: Ensure product quality through inspections and audits

Supply Chain Management

• Logistics and Distribution: Plan and execute the movement of goods from suppliers to customers
• Demand Planning: Forecast customer demand to optimize inventory and production
• Supplier Collaboration: Foster strong relationships with suppliers to ensure timely delivery and quality

Customer Relationship Management

• Lead and Opportunity Management: Track and nurture sales leads and opportunities.
• Customer Interaction Tracking: Record and analyze customer interactions across various channels
• Sales Pipeline Analysis: Monitor the sales pipeline to identify trends and improve sales performance

Services & Support

• Implementation Services: Expert guidance and support during the ERP implementation process
• Training and Education: Comprehensive training programs to ensure user proficiency
• Technical Support: Responsive technical assistance to address any issues or questions
• System Maintenance: Regular system updates and maintenance to optimize performance and security

These modules work together to provide a comprehensive, real-time view of business operations, enabling informed decision-making and improved efficiency. 

The Services & Support component ensures that ERP buyers and users receive the necessary assistance to implement and utilize the system successfully.

Industry-Specific Cloud ERP

Systems tailored for specific industries offer businesses a strategic advantage by addressing unique sector requirements. Some of the industries that benefit from specialized ERP solutions include:

• Food & Beverage
• Distribution
• Automotive
• Pharmaceuticals
• Medical Devices
• Apparel
• Metal
• Aerospace
• Oil and Gas
• Agriculture

Industry-specific ERP systems provide several key benefits:

1. Built-in Functionality: These ERPs come with pre-configured modules and features that cater to industry-specific needs, reducing the need for extensive customization.
2. Regulatory Compliance: Specialized ERPs help businesses comply with industry-specific regulations by providing built-in control mechanisms and reporting features.
3. Faster Implementation: With pre-configured industry-specific settings, the implementation time for these ERP systems is significantly reduced, allowing businesses to start using the system more quickly.
4. Knowledgeable Support: ERP vendors with industry expertise can provide targeted support, offering guidance and solutions that address sector-specific challenges.

By choosing an industry-specific cloud ERP, businesses can leverage a system designed to meet their unique needs, streamline operations, and drive growth within their sector.

Cloud ERP and Advanced Technologies

The integration of advanced technologies, such as artificial intelligence (AI) and machine learning (ML), into cloud-based Enterprise Resource Planning (ERP) systems has transformed business operations and data analysis. These integrations significantly improve efficiency and decision-making processes.

AI and Machine Learning in ERP

1. Automated Data Analysis: AI algorithms quickly process vast amounts of data, providing real-time insights into various business aspects, such as purchasing patterns, inventory management, and customer behavior.
2. Predictive Forecasting: ML models analyze historical data to predict future trends, enabling businesses to make informed decisions about demand planning, resource allocation, and financial forecasting.
3. Intelligent Decision-Making: AI-powered ERP systems can provide recommendations and insights based on data analysis, assisting managers in making data-driven decisions that optimize operations and drive growth.
4. Predictive Maintenance: By analyzing data from sensors and other sources, ML models can predict equipment failures before they occur, reducing downtime and maintenance costs.

Adapting to Next-Gen Technologies

Cloud ERP software is designed to adapt to and integrate with next-generation technologies, ensuring businesses remain at the forefront of technological advancements.

Data Security and Compliance in Cloud ERP Software

Data security and compliance are top priorities for cloud ERP systems. They ensure that sensitive information is protected and relevant regulations and standards are met.

Robust Security Measures

1. Encryption: Data is encrypted both in transit and at rest, making it virtually impossible for unauthorized parties to access sensitive information.
2. Access Controls: Role-based access controls ensure that users can only access the data and functions necessary for their job responsibilities.
3. Multi-Factor Authentication: Cloud ERP systems often require users to provide multiple forms of identification, such as passwords and biometric data, to access the system.
4. Granular Permissions: Administrators can set specific permissions for each user, granting access to only the necessary modules and features.

Compliance and Certifications

1. Industry-Specific Regulations: Cloud ERP providers ensure their systems comply with industry-specific regulations, such as HIPAA for healthcare and GDPR for data privacy.
2. Security Certifications: Leading cloud vendors often hold certifications such as ISO 27001 and SOC 2, which validate their security practices and controls.
3. Automatic Updates: Cloud ERP systems are automatically updated to maintain compliance with the latest security patches and regulatory requirements.

By prioritizing data security and compliance, cloud-based ERP systems protect businesses from data breaches, legal liabilities, and reputational damage while helping them to operate confidently in an increasingly regulated environment.

Understanding Cloud ERP Pricing

Time to explore the various pricing models available and how they can impact your budget. Cloud ERP pricing is often more flexible than traditional on-premises systems, allowing companies to pay for what they use and scale as needed. However, the pricing structure can vary between providers, which helps to understand the differences.

Subscription-Based Pricing (SaaS)

The most common pricing model for cloud ERP is subscription-based or software as a Service (SaaS). With SaaS ERP, companies pay a recurring fee to access the software, usually monthly or annually. The fee may be based on:

1. Number of users
2. Modules or features
3. Transaction volume

Providers often offer different subscription tiers with varying levels of functionality and support.

Pay-As-You-Go Pricing

Another model gaining traction is pay-as-you-go pricing, where companies are charged based on their actual usage of the ERP system. This can include factors such as:

1. Number of transactions
2. Data storage
3. API calls

This model can benefit organizations with fluctuating usage patterns or those looking to minimize upfront costs.

Hybrid Pricing Models

Some providers offer hybrid models that combine elements of subscription-based and pay-as-you-go pricing. For example, a company might pay a base subscription fee for core features and incur additional charges for usage beyond certain thresholds or for specific add-on modules.

Implementation and Support Costs

In addition to the core pricing, consider the costs associated with implementing and supporting a cloud ERP system, such as:

1. Implementation fees
2. Customization and integration
3. Training and support

These factors can significantly impact the total cost of ownership (TCO) over time.

To make an informed decision, request detailed quotes from multiple cloud ERP vendors and carefully evaluate the costs associated with each pricing model. This will help you determine the best fit for your organization’s needs and budget.

Related: Read our in-depth ERP pricing guide.

Cloud ERP Implementation and Maintenance

Successful Cloud ERP implementation and maintenance require careful planning and dedicated support. Key strategies include:

• Project planning: Define objectives, select modules, and align with vendor methodologies
• Data migration: Cleanse and archive data, use proven tools and protocols
• Training and change management: Develop materials and schedule hands-on sessions
• Testing: Conduct system, integration, and user acceptance testing and rectify issues

For a more detailed guide, see our phased implementation plan and implementation checklist

Ongoing support and maintenance are crucial for optimal performance:

• Help desk and technical support: ²⁴⁄₇ assistance for critical issues and specialized support
• Updates and upgrades: Regular reviews and implementation aligned with the vendor’s release cycle
• Monitoring and optimization: Review analytics and reports and adjust based on metrics and user feedback

By following these strategies, organizations can ensure a smooth transition to Cloud ERP and maintain its efficiency over time.

Choosing the Right Cloud ERP System

Selecting the right cloud-based ERP system is important for aligning the software with your company’s operational needs and goals. This process should involve assessing a vendor’s delivery capability and examining the software through demos.

If you need help finding and comparing a top cloud ERP solution, our ERP selection service can guide you. We’ll help you identify key features and functionalities that match your requirements and provide recommendations.

When evaluating a vendor, consider their:

• Market presence and stability
• Industry experience serving similar businesses
• Technical expertise in data security, system integration, and compliance

Getting ERP Demos and Price Quotes

Before deciding, see the cloud ERP system in action. Request demos from shortlisted ERP vendors to experience firsthand the software’s user interface and features. This will help you determine if the system is user-friendly and fits your processes.

Get custom price quotes from vendors based on your specific needs, such as the number of users, modules, and any customizations or integrations required. This will help you understand the total cost of ownership and compare costs between vendors.

Contact us if you need further assistance selecting the right cloud-based ERP system. We’re ready to help you navigate the selection process and choose a system that drives your business growth and success.

Frequently Asked Questions

This section addresses common inquiries about cloud-based ERP solutions to provide a clearer understanding.

What are the advantages of using a cloud-based ERP system over traditional ERP?

Companies favor cloud-based ERP systems for their cost-effectiveness, ease of access, and reduced need for in-house IT infrastructure and staff. They also provide real-time data insights and facilitate seamless updates and maintenance.

How does cloud ERP provide scalability and flexibility to businesses?

Cloud ERP systems allow businesses to adjust resources and features according to their current needs. They support rapid scaling up or down without significant capital expenditures or downtime, enabling businesses to respond effectively to market changes.

What are the key considerations when selecting a cloud ERP provider?

Selecting a cloud ERP vendor requires careful evaluation of the provider’s reliability, data security measures, compliance standards, service support, and software functionality and integration with existing business systems.

How does cloud ERP implementation differ from on-premises ERP deployment?

Cloud ERP implementation typically involves less upfront capital investment and can be deployed faster than on-premises ERP. Since the vendor manages it, it reduces the burden on a company’s IT staff, and remote access facilitates easier cross-regional deployments.

What security measures are critical for cloud ERP platforms?

Cloud ERP implementation typically involves less upfront capital investment and can be deployed faster than on-premises ERP. Since the vendor manages it, it reduces the burden on a company’s IT staff, and remote access facilitates easier cross-regional deployments.

How do cost structures differ between cloud ERP and on-premise ERP solutions?

Cost structures for cloud ERP software typically involve subscription-based pricing, which includes regular updates and support. In contrast, on-premises ERP generally requires a significant initial investment. It also requires investment in hardware, software licenses, and ongoing maintenance and upgrade costs.