Cloud ERP systems and AI: Keys to business success

Cloud ERP (enterprise resource planning systems) revolutionizes how companies manage their operations. According to a Forrester study, sponsored by Microsoft, SAP, and Intel, enterprises are adopting cloud ERP to improve operational efficiency, and customer experience and drive growth. 

In this article, we look at how cloud ERP, combined with artificial intelligence (AI) and robust security practices, facilitates digital transformation and overcomes organizational and technical challenges.

Digital transformation and the goals companies are seeking to achieve

Digital transformation is essential for growth and competitiveness in today’s digital economy. Companies invest in innovation to improve operational efficiency, and customer experience to drive growth. 

Forrester’s study reveals that the top digital transformation and innovation goals include:

• Expanding the use of artificial intelligence

AI is playing a crucial role in the digital transformation of enterprises. According to the study, 68% of IT leaders are interested in automation capabilities and 63% in machine learning. These technologies enable enterprises to automate processes, gain advanced analytics, and improve decision-making.

• Adoption of cloud platforms

The study highlights that an average of 44% of major enterprise systems are already running in the cloud, intending to increase this percentage to 62%. 

Migrating to the cloud is vital to improve security, efficiency, and scalability. For this reason, companies are looking to their strategic partners, such as Wezen, to offer expansive capabilities. These include: improving organizational security and providing AI support and capabilities.

• Implementing more robust security practices

Security is a priority for companies that want to protect their data and meet their digital transformation goals. Sixty-one percent of respondents are investing in data security to protect cloud infrastructure and data sets crucial to AI applications. 

Strong security not only protects against cyber threats but also facilitates the adoption of advanced technologies such as AI and cloud.

What are the challenges faced by companies at the organizational and technical levels?

Despite the benefits, companies face several challenges on their path to digital transformation.

• Lack of integration between solutions

One of the biggest technical challenges is the lack of integration between different solutions and systems. This can cause operational inefficiencies and difficulties in data management.

• Delays in cloud migration

Many companies experience delays in migrating to the cloud due to the complexity of legacy systems and the lack of a clear migration strategy. These delays can limit a company’s ability to take advantage of the benefits of the cloud.

• Economic and security challenges

Economic conditions, such as inflation and interest rates, as well as security gaps, are significant organizational challenges. Lack of financial resources can limit a company’s ability to invest in new and advanced technologies.

Why a cloud ERP shortens the path to a successful digital transformation

Cloud ERP systems are an effective solution to overcome these challenges and achieve the objectives of digital transformation. But there are fundamental aspects that make this the best option, among them, we can mention:

• Process automation

Cloud ERP, such as SAP, enables process automation, which improves operational efficiency and reduces human error. This frees up time and resources for companies to focus on strategic activities.

• Improved technical performance

Implementing a cloud-based ERP, such as SAP, improves technical performance by providing real-time access to business data. This facilitates faster and better-informed decision-making, which is crucial for business success in a dynamic digital environment.

• Increased cybersecurity

Cloud ERPs offer advanced cybersecurity features that protect critical business data from cyber threats. These features include data encryption, multi-factor authentication, and continuous security monitoring, ensuring that information is secure and complies with privacy regulations.

SAP, a leading example of an ERP in the cloud

When it comes to implementing a cloud-based ERP that helps achieve digital transformation goals, SAP is ideal. It’s integrated solutions that enable companies to:

• automate processes, 
• improve performance and 
• increase security. 

Thus, by adopting SAP, companies can overcome technical and organizational challenges, achieving greater efficiency and growth.

Cloud ERP systems are essential for companies looking to succeed in the digital age. By combining cloud capabilities with artificial intelligence and advanced security practices. 

For the best results, a strategic partner like Wezen is ideal. This way, companies get the most out of this platform in an agile and efficient way.  Write to us.

Sources:

• Forrester Consulting. (2024). The Digital Transformation and Innovation Landscape: How a cloud-based Enterprise Resource Planning (ERP) solution can help achieve business and IT goals. Microsoft, SAP, Intel.