The Cloud ERP Imperative: Modernizing Your Business for a Changing World

August 31, 2022
2 Minute Read

Unprecedented shifts in the global economy and the world of work have dramatically accelerated the pace of change, forcing companies to rethink the way they operate and create value for their customers, shareholders and employees. This requires transforming core business processes and technology, and embracing a digital-first, cloud-centered ecosystem—with cloud ERP as its foundation.

“The pace of change in business today is evolving so quickly, yet most ERP systems are in place for 10 or 15 years.” says Kathy Pazely, RGP VP, Business Technology. “Successful companies are implementing an agile approach to keep their ERP systems in sync with rapidly evolving business strategies and operating models.”

Why Cloud ERP?

Moving to a cloud ERP and adopting digital-first, data-driven processes enable your organization to more nimbly respond to rapidly changing business needs, driving significant improvements in revenue, operational efficiency, customer satisfaction, and other benefits.

  • Lower cost of entry and total cost of ownership
  • Faster deployments, with easier configuration and updates
  • Closer integration across core business systems and processes
  • Real-time access to data from disparate sources
  • Unified reporting and data visualization capabilities
  • Scalability and flexibility to support agility, growth and resilience
  • Better support for hybrid workforce and virtual collaboration

It is clear the shift is on, away from archaic legacy systems to modern, modular, and intelligent ERP systems.

IDC MarketScape

In spite of the promised benefits and strong momentum propelling digital-first, cloud-enabled operating models, many organizations—including 50% of the clients we surveyed—have yet to embark on their journey to a cloud ERP.

What’s Getting in the Way?

Some migration initiatives have been back-burnered because of the COVID-19 pandemic, while others face organizational resistance due to concerns about data ownership and security or the risk of project failure.

According to multiple studies, at least half of change initiatives fail. And even with significant financial investment and good intentions, only 25% of all enterprises have seen concrete outcomes from transformation investments such as cloud ERP (McKinsey).

Why? Often, it’s too much focus on the technology itself and not enough on the people, processes and data that are required for a successful implementation.

Common Pain Points

  • Lack of strategic alignment
  • Resistance to change and failure of adoption
  • Lack of data quality and governance
  • Complex risk environment
  • Need for resources and expertise
  • Disjointed processes and conflicting requirements

Delivering Expert Project Execution & Return on Change™

Overcoming common obstacles to change and executing a successful cloud ERP transformation requires rigorous planning and project management, proactive change management, and scrupulous attention to data integrity. And the stakes could not be higher. As the CFO of a prominent technology nonprofit organization put it, “These kinds of transformations or upgrades are once- or twice-in-a-career opportunities.”

Whether you’re planning for a full-scale transformation or just need extra subject matter expertise or support, RGP’s team of cross-functional experts is here to help. Over more than 20 years, we’ve supported our clients with hundreds of system implementations and upgrades as well as technology optimization and software selection. We’ve built a successful track record and developed proven frameworks and best practices for delivering the expected benefits of technology implementation.

If you’re considering or planning for a move to cloud ERP, get expert guidance for a smooth, successful migration. Visit our Cloud ERP Resource Hub or download our comprehensive guide, which covers best practices, from strategy to go-live and beyond.

Download Cloud ERP Guide
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