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Types of ERP solutions:
Let’s look at the three ways that ERP software is deployed.
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Cloud solutions
These solutions are accessed via the Internet and are paid for on a subscription basis. The software itself is not owned or licensed by the end user but is provided as a service – which is why cloud solutions are also known as Software-as-a-Service (SaaS). Cloud technology is a game-changer in the ERP industry. It suits many organisations because it offers enterprise-level software at an affordable monthly price and the flexibility to easily scale up and down.[/one_half]
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On-premise solutions
This means the software is installed on a server physically located at the customer’s business premises. Most licenses are sold on a perpetual basis and are treated as a capital expense.
Hosted solutions
This is where the software is installed on a server hosted by a third party. It could be installed on a dedicated piece of hardware or on a piece of hardware shared by multiple tenants. Sometimes with this deployment method the software is delivered to the end user on a subscription basis.[/one_half]