Cloud ERP

Cloud ERP is a deployment model where the software runs on the vendor's servers and is used over the internet, usually on a subscription basis.

Cloud ERP: Not to be confused with

Cloud ERP is NOT the same as web access to a locally installed system. What matters is who operates the servers, updates and backups: with cloud ERP the vendor does, with on-premise ERP the company itself or its IT partner does.

The internationally recognised NIST definition of cloud computing lists traits such as network access, shared resources and usage-based billing (Source 1). For a cloud ERP this means the company rents software instead of buying licences, the vendor rolls out updates centrally, and data centres are typically operated by the vendor or a partner it commissions.

For Swiss companies, the data location often matters, particularly for personal data under the revised Data Protection Act. In the systems overview, the “deployment” field can be filtered by cloud and on-premise for each system.

Related terms

• On-Premise ERP
• ERP

Sources for Cloud ERP

1. National Institute of Standards and Technology (NIST), "The NIST Definition of Cloud Computing", SP 800-145 ↗