The global IT industry is looking up, according to a recent Gartner report. The research firm believes worldwide budgets will total $3.7 trillion, up 2.1 percent from last year. In 2015, this figure will reach $3.8 trillion. Enterprise resource planning solutions are expected to follow this trend and increase their market share in the near future, growing roughly 7 percent and 7.3 percent in 2014 and 2015, respectively.
In an interview with InformationWeek, John Lovelock, Gartner research vice president, detailed how traditional enterprise software spending increases generally result in expansion in other categories. However, on-premise deployments - especially regarding ERP - are becoming less popular as cloud-based options emerge.
That is not to say that traditional ERP implementations will go away completely, because these suites still deliver plenty of advantages compared to their cloud counterparts.
"Hosting gives organizations more control over version changes than multi-tenancy, and there's also more customization possible in a hosted offering that's not [available] in the cloud," Lovelock told the news source. "Security is also raised in industries where they prefer to know where their data and servers are located."
As more organizations transition to a digital business landscape, current ERP products will struggle to keep up. Lovelock explained that agile ERP suites are needed to integrate IT modules quicker to react to changing market environments. Products such as Microsoft Dynamics GP are stepping up to the challenge in this regard.
Maximize your ERP investments from day one
One of the biggest challenges with ERP solutions in general is achieving a successful deployment from the start. Although these tools are important for daily functions, they are complicated to manage, leading to customizations that make them even more overbearing for end-users. If these systems cannot deliver on their intended benefits, organizations are likely to replace the suite entirely, leading to even more time, money and energy spent selecting a new platform.
This is why businesses planning to adopt ERP software should contact a IT managed services provider like Pinnacle, an Advanced Imaging Solutions company. We analyze a firm's operational workloads, IT infrastructure and market-related needs to find the best product for its demands. Our team of professionals will make sure your ERP solutions deliver maximum results from day one of the partnership, handling any challenges that take place before, during and after launch.
To learn more about our ERP Team and solutions, click here