Enterprise Resource Planning (ERP): The ERP manages and integrates all the diverse business activities to provide a seamless access to information across all organisational systems. The system stores data and information in an accessible format while connecting to external systems.
The main challenges facing ERP is the integration of the newly acquired business models into the information software in the shortest time possible. Resource planning systems differ depending on the enterprise wide scope. The failure of the ERP systems within an organization can lead to bankruptcy. Application of customization in the implementation of ERP software is difficult especially when the organization is dealing with a whole set of new modules. Expert asserts that cloud computing is applied as a hybrid to customization, a view that experts, concur with. Cloud computing allows vendors and distributors to relay ERP software online.
Cloud Computing: The advent of the cloud computing has sparked interest from various business stakeholders, especially organizations. The interest is a product of the shift from heavy IT infrastructure to more efficient and less demanding technology that is internally managed and paid in per-use terms. Cloud computing borrows terms and concepts from other computing disciplines such as grid and utility computing.
This shows that the paradigm has been in existence since the advent of the computing discipline only that it occurred in different forms. The first attempt to apply cloud computing in business operations was conducted in 1999 when Marc Andreesen established the Loud Cloud Company which was destined to design the web’s next power-play.
The power-play was characterized by infinitely scalable sites that could assume an assembly line and custom-design. Cloud computing possesses unique characteristics that distinguishes it from other modes of computing. Experts posit that the characteristics can be categorized as essential and non-essential. Some of the essential characteristics include on-demand self-service, broad network access, resource and pooling, rapid elasticity, measured service, and massive scale of availability of computing and storage capabilities.