Many companies are trying to shift from on-site ERP systems towards cloud. The important question to consider is the timing of the shift, given the shift is inevitable. A few systems that do not have a commercial alternative would remain on premise. A good example would be a payment system for a credit card company.
According to predictions by experts, there would be a major chunk of businesses moving to cloud by 2025. Applications that can co exist like the suite providers might win over the market. Development testing is one of the most expensive IT segment. Hence the finance teams can cut the costs and save by moving into cloud. We can cut costs in the form of servers, operating systems and knowledge tools by moving from on premise testing to cloud.The major part in the shift would be played by CFO’s and financial teams.
In the areas of the storage, most of them are already preferring cloud than traditional data servers. The cloud storage providers also claim that their data is more secure in the provider’s servers rather than a company’s personal server. With the cloud being attractive to the financial heads by cutting down costs, we could see a shift in business model. The company’s contributing to this transition will benefit the most. The upcoming startups in this area would be Xero, Outright, Freshbooks, QuickBooks Online Simple Start and Kashoo. They offer their services mainly to small enterprises. Big corporations like Oracle and SAP would be targeting large enterprises.
Reference:
https://blogs.oracle.com/modernfinance/5-finance-technology-predictions-for-2025
This topic is definitely interesting but I would definitely argue that companies have already moved into the cloud for a few years now. It’s becoming a trend in Silicon Valley especially, with all of the software and data mining happening, that companies are now trying to enter this cloud-service market. I like how you pulled this article out of the the Oracle blog, which goes to show how the biggest and baddest players in the tech industry definitely see how important cloud-based services will be in the next few years. Great article!