There is high demand for cloud ERP solutions across the world. The demand for the cloud-based (Enterprise Resource Planning) ERP solutions is gaining momentum among industries, enterprises, companies and startups.
The global cloud ERP market is expected to grow at 8.30 percent CAGR in next five years, according to Global Cloud ERP Market: Trends, Opportunities, and Forecasts (2016-2021) report. There is a huge demand for the cloud-based business applications, those not only cost effective but also easy to handle without having dedicated tech professionals. The growth rate was 6.38 percent during 2011-2015. The demand for ERP software is likely to touch $84.1 billion by 2020, according to alliedmarketresearch.com.
The trend in the ERP market indicates that SMEs have been rapidly adopting technologies and moving to clouds for faster and effective operations.
The demand for the business applications has been high in India, according to Gartner Inc, the spending for ERP software will touch to $2.39 billion in 2017 from $2.04 billion in 2016. As per the research firm, the demand for the ERP system in India will grow by around 17 percent.
Earlier, companies used to adopt the ERP application for operations such as CRM and HR operations. Of late, the scenario has been changed; companies have been adopting the complete ERP suite with all the modules for the entire operations including finance and accounting.
ERP application is very useful for companies in handling front-office operations as well as back-office operations. Moreover, it will help in providing services and managing customers as well as meeting compliance needs of the organization. Companies in all the verticals including healthcare, educational institutions, business process outsourcing, travel, etc. are moving to cloud ERP solutions.
Could ERP software will be hosted in the data center of a third-party company, and the companies using this application will be paying for the software as a service. It would be advantageous for the companies as it will cut down the hardware and software purchase cost. And, another big advantage of the cloud computing model is that it will reduce the dependency of the technical team. By adopting cloud ERP solutions, companies can focus entirely on the operations, sales, and productivity.
The demand for the cloud-based ERP application is expected to grow in many folds by next decade as enterprises - large enterprises, medium enterprises & small enterprises have been started adopting technology for their operations.