The ongoing migration to cloud-based technology provision, software-as-a-service (SaaS) and the service-oriented approach (SOA) is a cross-industry phenomenon. The public cloud alone is set to soar to $331.2bn in 2022, according to Gartner, while supply chain management (SCM) is one of the biggest spending areas in cloud-hosted SaaS applications. It’s a transformation driven in part by the problems that legacy IT present. SCM, just like so many other fields, struggle with problems including high maintenance costs which is often due to difficulties in finding support staff.
A lack of scalability is also a problem alongside low responsiveness. Finally, SCM is highly reliant on information sharing and data consistency but legacy software systems commonly offers conflicting data and presents hurdles to data flows.
Aside from resolving many of the problems presented by legacy systems, cloud SCM also offers a range of unique benefits. Some of the biggest benefits of cloud based supply chain management include:
These benefits are not theoretical. A recent survey performed by IDG on behalf of Oracle found that respondents suggested faster implementations is the biggest advantage of cloud SCM (61% of respondents) while cost savings came a close second at 60% of respondents, and improved customer service a close third at 59%.
Any switch in technology involves a degree of friction, and companies with supply chain workloads have shown concern about cloud adoption in a few areas:
Indeed, thoughtfully planned cloud migration is key to avoiding the biggest disruptive risks associated with a switch to cloud based supply chain management.
As much as your SCM workload may currently operate smoothly on legacy platforms, it is worth considering the benefits of moving to the cloud. Your competitors will without a doubt be looking into the benefits of SCM on SaaS platforms. At ELEKS we have are continuously assisting companies with supply chain functions in finding the best ways to manage these critical workloads, including highly agile DevOps to speed up time to market.
Simply get in touch to discuss how our approach to cloud SCM can deliver exeptional results for your business.
The breadth of knowledge and understanding that ELEKS has within its walls allows us to leverage that expertise to make superior deliverables for our customers. When you work with ELEKS, you are working with the top 1% of the aptitude and engineering excellence of the whole country.