Should distributors move to the cloud in 2022?
Should distributors move to the cloud in 2022?
Many distributors are faced with the decision of whether or not to migrate to the cloud.
They are considering if the disruption of moving their ERP and other tools will be worth the benefits or rewards. As we review the past few years, it is easy to see compelling reasons why a cloud move is considered profitable and beneficial.
The following are some of these reasons:
1. The pandemic — The Covid-19 pandemic has greatly changed how we do business, companies that had made the smart step of moving to the cloud before the pandemic had an advantage over those that had not. Having systems like email, ERP, and customer relationship management (CRM) in the cloud would give room to employees to work remotely in as much as there is internet access.
2. Data safety & security — It is gauged that at least 1,000 new variants of ransomware were detected daily, and some nations were subjected to a dramatic increase in attacks. The USA has recorded an increase of at least 125% in ransomware attacks, while the UK had a surge of 225% compared to the past years.
Your decision to move from on-premises to the cloud permits you to take advantage of the multi-billion dollars the major hosting companies spend on digital currencies.
3. Growth & costs — As the company grows, a cloud-based system grows. Your company is responsible for purchasing and sustaining the hardware needed to store your data.
As the business continues to grow, the necessity for additional hardware and a dedicated IT team of professionals to manage and maintain the increase. This enables distributors to save up to 30% or even more on the total cost of ownership by transiting to the cloud. By the way, growth with innovations such as artificial intelligence (AI) is more flexible and less expensive in the cloud.
4. Access to updates on the most current version — One very important advantage of switching to a cloud-based multi-tenant system is that you always have the latest version with the newest capabilities. Attempting to bring down an on-premises system to upgrade to the next version brings about unnecessary risks to a distributor’s business.
In conclusion, if you are faced with the question of either moving to the cloud or not, the benefits that come with moving to the cloud is very compelling.
The ability for workers to work from anywhere, the security of data from ransomware attacks, the avenue to grow and only pay for what you use are all priceless benefits and worth considering.
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AMG Logistics is a Lagos-based TRACE certified logistics company. Our services include Freight Forwarding, Customs Clearance, Trucking, Distribution, and Warehousing within Nigeria.
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