Today, many life science organizations face a common dilemma: keeping up with the rapidly-changing world of information technology. With the proliferation of mobile devices, cloud-based applications, and cloud services, life science professionals are constantly forced to update their knowledge of new IT trends.
For many, the struggle to keep up with this constant change is overwhelming. Cloud ERP can offer life science organizations the opportunity to streamline this process by providing a central, cloud-based system that they can use to manage day-to-day business operations. The purpose of this post is to describe how cloud-based solutions are superior to on-premise ones and what this means to life science companies.
Cloud vs. On-Premise
The world is constantly moving towards a cloud-based future, and Enterprise Resource Planning (ERP) solutions are no different in this regard. While many companies still use on-site options for legacy reasons, they are increasingly turning to the cloud for its many advantages. This can be seen in the life sciences industry, where life sciences enterprise services are becoming increasingly important due to the increasing number of startups in this field.
However, these smaller companies cannot afford the large technical departments required to maintain their on-site infrastructure, making moving to the cloud appealing.
How Does Cloud ERP Work?
Cloud ERP software is a type of software that works on the cloud. It is available to users through the internet and allows them to manage their business operations remotely. It is essentially a software-as-a-service (SaaS) application that processes and maintains business information. It has all the functions of a traditional ERP system, such as human resources, accounting, financials, and payroll, but it runs on the cloud.
The fundamental advantage is that it allows all employees access to tools they need at their fingertips without any hardware or software installations at their physical location. In essence, it can be accessed anywhere, by anyone, and at any time, making it a desirable solution for all kinds of businesses, including life sciences companies.
How Does On-Premise ERP Work?
As the name suggests, On-Premise ERP software is software that is installed on a company’s premises. It is usually used for the day-to-day operations of a company, with data being stored on the company’s servers. This software is not compatible with cloud ERP software and is often less secure and reliable than cloud offerings (depending on a wide range of factors).
On-site solutions have been around for decades, and now there are thousands of vendors in this market with different design patterns and features. Nevertheless, on-premise ERP software is used by medium and large-sized businesses rather than smaller ones due to the expense and technical aspects of having it running via company servers.
How Can Cloud ERP Benefit Your Life Science Company?
Cloud computing offers several advantages over the usual methods, and when it comes to life science applications, these advantages are multiplied.
Securely Store Sensitive Data In Large Quantities
Cloud ERP has made it possible for small and medium enterprises to securely store and process large volumes of information. Nonetheless, Keeping sensitive information stored securely and protected is the key to any business. Therefore, the ability of the cloud to store almost limitless amounts of data in a highly secure environment makes it a very attractive option.
Boost Drug Development Efficiency Without Sacrificing Efficacy Or Safety
Cloud ERP allows medical device companies to process orders, design drug prototypes, and create marketing materials in a fraction of time. In the near future, the cloud ERP will be integrated with artificial intelligence-enabled predictive analytics, which will enable drug developers to make informed decisions about how they should proceed with their research and development projects. In action to this, cloud-based ERP solutions can speed help by:
- Improving the efficiency of purchase requests
- Collaborating more closely with partners and vendors
- Resource utilization optimization
- You can direct your human capital according to your needs
Enhances Agility And Scalability
Cloud computing is an excellent resource for businesses because it enables them to scale up and down as demand grows or shrinks. Because life sciences can often have fluctuating budgets, any solution they use must be flexible enough to work with them rather than against them.
With this flexibility comes agility, allowing smaller companies to compete with the larger ones without expending too many resources.
Reduces Capital Expenditures And Operating Costs
Even with the price of storage decreasing, maintaining on-site infrastructure is exceptionally costly. When you factor in the global shortage of chips and semiconductors, the salaries for a technical department, and the need to upgrade systems to meet regulatory standards constantly, the costs can begin to increase exponentially.
On the other hand, cloud-based options require minimal hardware and software investments and little IT support.
Maintain Strict Compliance With Shifting Regulations
In addition to being incredibly safe, cloud-hosted data helps companies meet various regulations and compliance requirements by providing solutions that allow them to stay within the law and limit access on an as-needed basis.
• Business processes are more transparent and controlled: For some jurisdictions, this transparency extends from the procurement of raw materials to the sale of goods to customers, and cloud solutions can provide this as part of their service.
• A more secure and controlled data environment: Data breaches are a genuine threat in today’s world, and this can pose a severe threat to the intellectual property of a business, to possible litigation surrounding customer data. By providing access controls, a company can limit who can see and share sensitive data.
• An increase in quality control and traceability: Most companies in this field need to prove the providence of their materials, and a cloud ERP makes this job much more straightforward.
How To Select The Best ERP Solutions For Life Sciences?
When it comes to upgrading your life sciences company’s ERP to a cloud-based system, there are six essential factors you should consider:
- Ease of scaling
- Regulatory compliance
- The ability to assign electronic signatures
- Access to real-time information
- Cost-effectiveness and quality management
- Support for customization
Life science organizations will see considerable benefits in using cloud ERP. The cloud makes it easy to scale up and down, making it easier to meet changing demand. It is easier to deploy new software quickly. Cloud ERP systems can be updated in hours or days instead of weeks or months. Whether your business size or industry, cloud ERP can provide you with a better way to get things done.