Cloud-Based ERP

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What is Cloud-Based ERP?

Cloud-based ERP is an enterprise resource planning system that uses a network of remote servers (referred to as “the cloud”), instead of on-premise servers, to store company data and run its enterprise system. Implementing cloud-based ERP software does not require the purchase of hardware, and the system is hosted off-site by a vendor.

How is data stored in the cloud?

Data used by a company’s ERP system is hosted on off-premise servers and delivered through the internet. However, how data is stored differs. There are three types of data storage:

  • Public – servers owned and maintained by a third-party that stores data of multiple organizations in a single location
  • Private – an autonomous storage environment controlled only by the data owner’s organization
  • Hybrid – a combination of public and private
How do you keep data secure?

Cloud-based ERP systems typically utilize a multilayer approach to security. Additionally, security updates can be distributed routinely due to the cloud’s remote nature. Some best practices for keeping data secure in a cloud-based ERP system are:

  • Segment responsibilities
  • Secure the system
  • Have a security plan
  • Update regularly
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Leah CostelloNovember 2, 2018