What is ERP Hosting? Definition, Benefits, & More

What is ERP Hosting? 

At the heart of your organization’s operations is the enterprise resource planning system. You might be looking to upgrade your outdated system or perhaps looking to establish a more cost-effective model. Traditionally the only option was to install an on-premise ERP solution, requiring up-front investment, resource allocation, and dedicated space. Business owners can now move data storage and operational equipment to the cloud, reducing costs and introducing greater flexibility to the organization.  Investing in ERP hosting involves partnering with an off-site, third-party provider to gain access to equipment, software, and IT expertise. Your organization’s ERP software runs on remote servers, and users access data and applications via remote desktops and web browsers. Using hosted ERP solutions provides greater bandwidth, storage options, and security through low monthly subscriptions. Learn more about ERP hosting with this article, and before deciding on Amazon’s AWS or Microsoft Azure, give Summit Hosting a call to see how we can provide the same excellent cloud services with a personal touch the “big names” could only dream of!  

What are the Benefits of ERP Hosting?

Enterprise resource planning traditionally lived in on-premise data centers. However, with the increased demand for business flexibility, tighter cost-cutting measures, and more secure platforms, on-premise solutions are becoming less practical. Instead, leaders are turning to hosted solutions and discovering a host of benefits that bring organizations into the 21st century. These benefits include:

• Reduced upfront & operational costs – Hosted ERP removes the need for businesses to invest in enterprise-grade data center equipment reducing upfront expenditures. Without on-premise equipment, operating costs decrease as businesses no longer power servers, need inflated IT teams, or pay for upgrades. 
• Flexibility – Hosting solutions allow organizations to focus on business by enabling expedited ERP system setup without the need for specialized knowledge. Plus, many hosting providers provide customizability and scalability to suit unique business needs. 
• Accessibility – Cloud-based hosted ERPs allow team members to access business data and tools from anywhere, providing more support for remote employees. Plus, sales teams working in the field can access CRMs from mobile devices in real time so they can stay ahead of the game! 
• Disaster prevention & recovery – Summit Hosting performs nightly backups and provides robust disaster recovery support. And you can rest easy knowing that both cyber and physical security is rock solid, with redundancy built-in to ensure you have 99% uptime. 

Types of ERP Hosting

Finding the right ERP solution takes special consideration, including how employees access critical files and apps. While many business leaders are familiar with the traditional, on-premise ERP software package, there are now more options than ever to choose from. Not every solution will fit your unique business needs, so here are several options and their pros and cons. 

On-Premise ERP Hosting

On-premise enterprise resource planning involves locally installed, private data centers which house servers, software applications, and security components needed to power modern business. This type of ERP hosting demands that IT professionals remain on the payroll and that companies allocate plenty of funds in the budget for maintenance and upgrades.  Pros:

• Enables the highest level of control and security
• Does not rely on internet connections; instead, business occurs over local networks
• Equipment investments are still business assets

Cons:

• Requires high initial investments
• Takes time to establish ERP systems and configure for business use
• Not ideal for medium or small businesses
• May need specialized teams to install and maintain the system  

On-premise ERP hosting is an excellent option for organizations that require systems that handle robust workflows, resource-heavy software applications, or massive workforces. These organizations have the budget to maintain proprietary systems, especially when function and security are of peak importance. 

Cloud ERP Hosting

Cloud ERP solutions, or web-based ERP solutions, are platforms managed, operated, and supplied by a third-party provider. Unlike open-source, public cloud options, cloud-based ERP hosting functions over networks with extra layers of security to ensure applications and data remain secure.  Pros:

• Smaller upfront investment with a monthly subscription fee instead
• Connect to company files and applications through web browsers over internet connections
• Customize platform with integrations for human resources, inventory management, and CRM communications
• On-demand bandwidth flexibility

Cons:

• SaaS providers have complete control over equipment and software
• Often seen as less secure compared with on-premise solutions
• Monthly subscription costs can balloon to unaffordable heights

While cloud-based ERP applications can be an easy way to optimize your team, it can be time-consuming migrating everything to the cloud. Likewise, you must relinquish control over hardware selections and trust that security is top-notch before signing any contracts. 

Cloud-based ERP solutions don’t have to be scary. At Summit Hosting, we believe in providing secure platforms capable of handling enterprise software, like QuickBooks or Act. Enjoy remote access, 24/7 customer support, and virtual desktop infrastructure from an industry leader. Give us a call today to see how we can help support your ERP hosting needs! 

Hybrid ERP Hosting

Many business leaders who are looking for software solutions might see cloud computing as tantalizing, yet are weary about giving up control. There’s a fix for that — hybrid ERP hosting services. These services combine the best of both worlds by offloading less critical apps and files to the cloud while keeping mission-critical and private data in on-premise data centers. Pros: 

• Reduces costs by eliminating some on-premise resource requirements
• Helps support remote employees without migrating everything to the cloud
• Take advantage of on-demand scaling of cloud-based systems
• Retain more control over security, equipment, and software choices

Cons:

• May still require extensive on-premise IT staff
• May get stuck paying for on-premise equipment and monthly subscription fees
• On-premise equipment is harder to scale

Hybrid ERP solutions are perfect for businesses undergoing a digital transformation, organizations looking to downsize on-premise equipment, or companies modernizing their workforces. The ability to choose storage and operating locations further provides flexibility to businesses where a non-hybrid approach might not.

Take the fear out of security and bandwidth concerns by partnering with Summit Hosting. Our dedicated servers are more than capable of handling enterprise-level software solutions, such as Sage, while delivering 99% uptime. Our security teams employ a multitude of features and redundancies to ensure your business remains active, creating the perfect cloud or hybrid-cloud platform. Try us for free, or give us a call to get started with your ERP hosting transition.   

Take Your Hosting to the Cloud with Summit Hosting

Enterprise resource planning is critical software your teams rely on for everything from supply chain management to customer support. Although businesses traditionally used on-premise ERP platforms to power operations, many are turning to cloud-based and hybrid-cloud options to cut costs while still having access to an ever-increasing demand for resources. Be sure to weigh each option’s pros and cons before making a decision.  When you’re ready to make your decision, give Summit Hosting a call. Our flexible solutions can help your business create an ERP system that supports your team while keeping costs under budget. Plus, our security options from multi-factor authentication, virtual private networks, and dedicated servers mean you can keep even the most sensitive data out of unauthorized hands. Summit Hosting, we’re always on; always secure. Try us free today to learn more!