How A Cloud-Based ERP System Can Benefit Your Manufacturing Company

December 2, 2020 | News

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What is a cloud-based ERP system?

Cloud-based ERP (Enterprise Resource Planning) software is ERP Software-as-a-Service (SaaS) that is accessible from any device that has an Internet connection.

Cloud-based ERP software generally has significantly lower up-front costs than traditional ERP software on-premise. This is because there is no need to purchase enterprise-grade servers or other hardware and software necessary to begin using on-premise ERP software.

What Are Some Advantages of a Cloud-Based ERP System Over an On-Premises ERP System?

Lower costs

On-premise ERP solutions require significant up-front investments in hardware and software such as enterprise-grade servers and operating systems in order to start using the ERP software.

Further, there are significant ongoing costs to maintain the hardware and software such as having to dedicate valuable IT department time to keep the software up to date and secure. With a cloud-based ERP solution, there is no need to purchase and maintain any hardware or software. Avoid costly server upgrades with a cloud-based ERP system.


On-premise ERP solutions oftentimes cannot be accessed from outside the company network. Cloud-based ERP solutions are much more accessible, on the other hand, and can be accessed from any device with an Internet connection from anywhere in the world.

Real-time data

Cloud-based ERP software, because it can be accessed from anywhere on the globe with an Internet-connected device, enables company employees and contractors to always have access to real-time vital company data. On-premise ERP, being limited to access from inside the company network only, might not allow access to company real-time data.


With cloud-based ERP solutions, the vendor of the ERP software is solely responsible for ensuring that the software is up-to-date and all security fixes are being applied. With on-premises ERP solutions, it is the responsibility of the company IT department to continuously install updates and apply security fixes.


With on-premise ERP solutions, should a company ever decide to relocate, all of the hardware needed to operate the ERP software will need to be migrated to the new location and set up again by the company IT department. With cloud-based ERP solutions, there is no hardware to migrate making your company much more adaptable.

How Can a Cloud-Based ERP System Benefit Your Manufacturing company?

By implementing and using a cloud-based ERP solution, your manufacturing company can:

Greatly increase its efficiency and productivity

Cloud-based ERP solutions take all of the data produced by the various departments of your manufacturing company and compile it into actionable information. This allows your company to perform better forecasting and make better decisions, increasing efficiency and productivity.

Reduce operational costs

By automating time-consuming processes, such as manually entering data into a spreadsheet, cloud-based ERP solutions can reduce or eliminate administrative and other operational costs. Cloud-based ERP solutions increase the visibility of the data produced by the various departments of your manufacturing company so that any department can know the current inventory and production rates in real-time.

Improve quality control

Cloud-based ERP solutions limit the impact human error can cause with quality control. Since ERP software takes all of the data produced by your manufacturing company and compiles it into actionable information, management can more quickly and more easily identify and solve quality control issues.

Scale appropriately to meet current demands

Manufacturing companies need to scale production up or down to match current demands, demands that are dependent on the current season. With cloud-based ERP solutions, actionable information is generated so that your company can know when to adjust inventory levels and modify production processes.

Why should you trust Pinnacle to implement and maintain your cloud-based ERP system?

Pinnacle has been in business for over 25 years and has successfully implemented business software solutions for over 1,000 clients. These software solutions range from simple accounting solutions to solutions that are responsible for managing an entire business.

Pinnacle understands that not all companies benefit from the same software solution. Accordingly, Pinnacle takes the time to understand the specific problems each of its clients face and develops software solutions specific to each client, making sure the client gets the most out of its software solution.

Pinnacle is an Acumatica Gold Partner and is fully-accredited to implement Acumatica Cloud ERP Solutions to ensure your manufacturing company operates at its highest potential. Contact Pinnacle today to find out how a cloud-based ERP system can improve your company.

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