Implications of ERP as Service

Abstract

Abstract. In this paper we present implications for using and delivering Enterprise Resource Planning as services (ERP-as-a-service). The objective is to construct a framework of opportunities and challenges for users and suppliers of ERP-as-a-service. The framework is based on a combination of literature study and field study and includes approximately 80 implications. New implications, not found in literature, were identified in the field study. Examples of new implications include: more focus on IT-value; simplified phasing of implementation and improved supplier brand. For future research it is suggested that the framework is tested in a larger setting and that implications are prioritized for certain industries and types of business models.

Evolution of ERP Systems in the Cloud: A Study on System Updates

“…These resources can include networks, servers, data storage, applications (e.g., ERP), and others [11]. The most common type of cloud-based ERP delivery models, is the software as a service (SaaS) model [12,13]. SaaS eliminates the need to physically install and run the server-side applications on the customer's own premises, and eliminates the need for back-end hardware and data centers required to run the system [14], which in turn simplifies the application's maintenance and support operations.…”

Cloud ERP Adoption Opportunities and Concerns: The Role of Organizational Size

“…An indicative example is the 2012 survey conducted by Gartner and Financial Executives Research Foundation, where 53 percent of the surveyed CFOs seemed to believe that over 50 percent of their company's transactions will be delivered through the cloud over the next four years, as compared to the respective 12 percent which is currently the case [15]. Major software providers such as Microsoft, Oracle and IBM have noticed this trend and are now offering hosted versions of their products while other more established vendors such as SAP along with newly emerged SaaS providers offer innovative cloud-based offerings [16,17] ǿn the field of IT there are no one-size-fits-all solutions, as every company makes its decisions on what IT systems to use based on certain criteria, such as available resources to invest, specific functional requirements that the system should serve, existent IT infrastructure, Total Cost of Ownership (TCO), return on investment and delivery options for the company [18]. This axiom also applies to the case of cloud ERPs, as we see that the existing literature indicates that their adoption is not homogenous across SMEs and large corporations and there is a discussion about the organizational size of the adopters [18].…”

“…Major software providers such as Microsoft, Oracle and IBM have noticed this trend and are now offering hosted versions of their products while other more established vendors such as SAP along with newly emerged SaaS providers offer innovative cloud-based offerings [16,17] ǿn the field of IT there are no one-size-fits-all solutions, as every company makes its decisions on what IT systems to use based on certain criteria, such as available resources to invest, specific functional requirements that the system should serve, existent IT infrastructure, Total Cost of Ownership (TCO), return on investment and delivery options for the company [18]. This axiom also applies to the case of cloud ERPs, as we see that the existing literature indicates that their adoption is not homogenous across SMEs and large corporations and there is a discussion about the organizational size of the adopters [18]. Gartner [19] and McKinsey [20] argue that cloud ERPs comprise a viable solution only for SMEs and Arnesen [1] strengthens this assumption arguing that the majority of the current cloud ERP adopters are SMEs.…”

“…This uncertainty is further nurtured by the fact that most researchers [1,5,18,21] who have discussed the issue of cloud ERP adoption, have merely focused on dealing with opportunities and concerns of its use in general, without analyzing them based on the different characteristics that the influential factor of organizational size can shape. There are also a number of authors [14,[22][23][24][25] who discuss cloud ERP adoption only from the standpoint of SMEs, analyzing factors which affect their decision making of whether to move their ERP to the cloud or not.…”

Configuration as a Service in Multi-Tenant Enterprise Resource Planning System

“…However, different ERP vendor may provide different names for the same module or different integrated modules [30]. In typical ERP system, the various modules are integrated across an enterprise through a single database [30], [31].…”