
Choosing an Enterprise Resource Planning (ERP) system is a big decision. The right ERP can streamline everything from inventory and finance to sales and HR in one integrated platform. But with the rise of cloud-based Software-as-a-Service (SaaS) offerings, companies must consider ERP vs cloud ERP options when planning how to buy ERP for their needs.
In this guide, we’ll break down what ERP is, the differences between traditional and SaaS ERP systems, the benefits of cloud ERP, types of solutions available, and tips on making the best purchase decision. By the end, you’ll understand the relationship between ERP and SaaS, see examples of famous ERP systems, and be ready to confidently evaluate and buy the ideal ERP for your business.
What is ERP? Understanding Enterprise Resource Planning
ERP stands for “enterprise resource planning,” a category of business management software that integrates all core business areas into a unified system. In practical terms, an ERP system acts as a shared database and application suite for company-wide processes, including procurement, production, inventory management, sales, marketing, finance, human resources, and more. Instead of each department using separate siloed tools, an ERP brings data and workflows together, providing a single source of truth across the organization.
In essence, ERP software is an IT system that centralizes and automates daily operations. For example, when a sale is made, the ERP can automatically update inventory levels, generate an invoice in accounting, and adjust the production schedule, all without manual data re-entry. This integrated design improves efficiency, data accuracy, and cross-department collaboration. Modern ERP solutions often include reporting and analytics features that give decision-makers real-time insights into the business. In short, what we mean by ERP is a comprehensive software platform that runs the critical processes of a company in one place, enhancing productivity and visibility.
Many ERP systems are modular, meaning you can implement the modules or applications you need (e.g., financials, supply chain, CRM) and add more over time. Whether ERP is an IT system you need depends on your business complexity. If you find your teams juggling separate spreadsheets or software for different departments, an ERP can unify these functions. Historically, ERPs were deployed on-premises (on company servers), but today ERP software is also offered in cloud-based models. This is where understanding ERP and SaaS comes in, which we’ll explore next.

ERP vs Cloud ERP: On-Premise vs SaaS Systems
Traditional ERP systems were installed on-premise, meaning on local servers and hardware managed by the company’s IT team. Cloud ERP, by contrast, refers to ERP software delivered as a service over the internet, also known as an ERP system SaaS model. The core functionality of the software is similar (managing enterprise resources), but the deployment and ownership differ significantly. When evaluating ERP vs cloud ERP, it’s essentially comparing self-hosted vs SaaS ERP:
1. On-Premise ERP
You purchase licenses (often at a large upfront cost) and install the software on your own servers. Your IT department is responsible for maintaining the infrastructure, handling upgrades or patches, and ensuring security. You have full control of data on-site, but also full responsibility for keeping the system running. Historically, companies would only upgrade on-prem ERP every few years due to the effort and cost involved.
2. Cloud (SaaS) ERP
You subscribe to the ERP, which is hosted on the vendor’s cloud servers and accessed via the web. The software provider manages the servers, maintenance, and updates for you. Instead of big upfront fees, you pay a monthly or annual subscription per user. The vendor rolls out improvements continuously (no waiting years for a major upgrade). This ERP and SaaS approach offloads the IT burden; you don’t need to buy hardware or dedicate staff to maintain the application. It also means your team can access the ERP anywhere with an internet connection.
To illustrate the differences, here’s a side-by-side comparison of key factors in on-premise ERP vs cloud ERP:
Aspect | On-Premise ERP | Cloud (SaaS) ERP |
Deployment | Installed on the company’s local servers and infrastructure. You manage it in-house. | Hosted on the vendor’s cloud servers; accessed via the internet (web browser). The provider manages the infrastructure. |
Cost Structure | Large upfront license purchase + hardware and IT costs; recurring maintenance fees. | Subscription pricing (monthly/annual per user). Lower upfront cost; operational expense model. |
Maintenance & Updates | Your IT team installs updates/upgrades occasionally (often every few years). You handle bug fixes and system management. | Vendor automatically updates the software regularly (often several times per year). No heavy in-house IT involvement for patches or upgrades. |
Customization | Highly customizable (access to underlying software and databases), but extensive changes can make future upgrades harder. | Configurable settings and extensions; deep code customizations may be limited. However, frequent vendor updates add new features continuously. |
Accessibility | Users typically access on-site or via VPN. Remote access requires a secure network setup. | Users can securely log in from anywhere, office, home, or mobile, since the system is online by design. Great for distributed teams and remote work. |
Security | Security depends on your own IT measures (firewalls, backups, etc.). You control data locally, which can be good for strict compliance needs, but you also need to manage all risks. | Cloud providers invest heavily in security (dedicated 24/7 monitoring teams and up-to-date defenses). Data is encrypted and backed up by the vendor. Certifications (ISO, SOC, etc.) are often in place. |
As the table shows, a cloud ERP (SaaS) solution offers convenience and agility, reduced IT workload, scalable usage, and automatic innovation, while an on-premise ERP offers direct control and potentially more tailoring (at the cost of more responsibility). Importantly, both models deliver the same core ERP capabilities. Today, the trend is strongly toward cloud ERP for businesses of all sizes, unless specific regulations or offline requirements necessitate an on-premise setup. Moving to a SaaS ERP can reduce operational and capital expenses by eliminating the need to maintain your own servers and infrastructure.

If you already have an on-premise ERP, you might consider a hybrid ERP approach, keeping certain functions in-house while integrating cloud modules for new capabilities. However, many newer companies skip on-premise altogether and adopt a full cloud ERP from the start.
Benefits of Cloud ERP
Choosing a cloud-based ERP (SaaS) has become popular for good reason. Let’s highlight some of the key benefits of cloud ERP for your business:
1. Lower Upfront Cost & Faster ROI
With SaaS ERP, you avoid huge upfront license fees and hardware investments. You typically pay a subscription per user, which is more budget-friendly for many firms. This lowers the barrier to entry. Additionally, cloud ERP deployments tend to be faster (no physical servers to set up), meaning you start seeing value sooner. Studies even show that companies implementing ERP can reduce overall operational costs by about 23% and administrative costs by 22% on average, a testament to the efficiency gains ERP brings.
2. Reduced IT Burden & Automatic Updates
Because the vendor manages the infrastructure, your team spends far less time on maintenance. There’s no need to constantly apply patches or worry about server downtime; those are handled by the provider. The ERP software is kept up-to-date with the latest features and best practices automatically. You’ll always be on the current version, benefiting from improvements (like new reporting tools or AI features) without going through a painful upgrade project. This allows your IT staff (if you have any) to focus on strategic tasks rather than system upkeep.
3. Scalability and Flexibility
Cloud ERPs let you scale on demand. If your business grows and you need to add 20 new users or open a new location, you can typically scale up by adjusting your subscription; no new servers or complex reinstallation required. Similarly, if you need more modules or functionality, you can often enable them immediately. This flexibility is ideal for growing companies or seasonal businesses. The system can adapt with you, and you pay only for what you use.
4. Accessibility & Collaboration
A SaaS ERP is accessible 24/7 from anywhere with internet. This greatly supports remote work and multi-site collaboration. Salespeople can update orders from the field on a tablet; managers can review dashboards from home or on a business trip. Everyone is connected to the same real-time data. For example, an inventory manager in the warehouse and a sales manager in the field both see current stock levels and order status in the ERP at the same time, enabling quicker decisions. The result is higher productivity and responsiveness across your team.
5. Security & Reliability
Reputable cloud ERP providers offer enterprise-grade security and uptime that many small businesses could not afford on their own. They have robust data centers with redundancy, backup protocols, and professional security teams monitoring threats around the clock. Data is regularly backed up and often spread across multiple geographies for disaster recovery. In many cases, a cloud solution can reduce risk compared to an under-resourced on-premise setup, provided the vendor has proper certifications. Of course, it’s important to choose a trustworthy provider and follow best practices (like strong user passwords and access controls), but generally, your data is very safe in a modern cloud ERP.
6. Faster Access to Innovation
Cloud ERP systems tend to integrate new technologies more rapidly. Vendors can push out enhancements like AI-powered analytics, machine learning forecasts, or mobile app improvements to all subscribers at once. This means even a small company using a SaaS ERP can leverage cutting-edge features (e.g., AI-assisted financial close, or chatbot customer service integrations) that might have been costly or slow to adopt on a self-hosted system. In a fast-moving tech environment, cloud ERP ensures you’re not left behind with outdated software.
In summary, the cloud model offers significant advantages in cost, convenience, and capabilities. That said, on-premise ERPs can still make sense if you require absolute control or offline availability, it depends on your situation. For most, though, the benefits of cloud ERP make it an appealing choice, especially for small and mid-sized businesses aiming to minimize IT hassles.
Tip: If you have an existing on-prem ERP and aren’t ready to fully replace it, you can often integrate cloud modules or third-party apps to extend its life, a strategy to gradually enjoy cloud benefits without a big bang switch.

Types of ERP Systems
ERP systems are not one-size-fits-all. There are many kinds of ERP solutions designed for different needs. When shopping for ERP, it helps to understand the various ERP system types available in the market. Key ways to categorize ERPs include:
1. By Deployment Model
The three common types are on-premises, cloud, and hybrid ERP. On-premises ERP is installed locally under your control; cloud ERP is provided as SaaS (discussed above); hybrid ERP combines both (for example, a company might keep core finance on-prem but use cloud modules for CRM or analytics). Knowing which deployment model you prefer is a fundamental step in narrowing your options.
2. By Industry or Niche
Some ERPs are general-purpose, while others are built for specific industries. For example, there are specialized ERPs for manufacturing, healthcare, construction, retail, etc. An industry-specific ERP comes with built-in processes and features for that sector (for instance, a real estate ERP might have property management and lease tracking capabilities).
These targeted systems can minimize the need for customization since they offer tailored features for the business type, meaning companies don’t have to integrate many external tools or heavily modify the software to fit their needs. If your industry has unique requirements (like lot tracking in food manufacturing or project billing in construction), you might lean toward a vertical ERP solution. On the other hand, many popular ERPs (SAP, Oracle, Microsoft Dynamics) serve a wide range of industries through configurable modules.
3. By Company Size (SMB vs Enterprise)
ERP vendors often tailor products to different-sized organizations. “Tier 1” ERPs (like SAP S/4HANA or Oracle Fusion) are aimed at large enterprises with thousands of users and very complex processes. They have extensive features, but also higher complexity and cost. SMB (small and mid-size business) ERP solutions (like SAP Business One, Oracle NetSuite, Microsoft Dynamics 365 Business Central, or Odoo) are scaled to mid-market needs, easier to implement, with a focus on affordability and usability for smaller teams.
Choosing an ERP that matches your organizational size ensures you get the functionality you need without excessive complexity or cost. A fast-growing small company might start with a lighter-weight ERP and upgrade tiers as it becomes an enterprise.
4. Proprietary vs Open-Source
Another consideration is the software licensing model. Proprietary ERPs are commercial products from vendors who develop and sell the software (e.g., SAP, Oracle, Microsoft). You typically pay for licenses or subscriptions, and the source code is closed. In contrast, open-source ERP solutions like Odoo or ERPNext provide their source code openly, allowing for greater customization by developers and often lower licensing costs (sometimes free for the base system).
Open-source ERPs can be attractive for those who want maximum flexibility and control over the software’s behavior. You can modify the code to fit unique requirements. They also foster large communities that create add-ons. However, open-source doesn’t mean “no cost”; you still need technical expertise to implement and support it (or a partner like Encloud to do it for you). Decide if your team prefers a well-supported commercial product or is open to an open-source approach for more customization.
5. Modular Suites vs Integrated Systems
Modern ERPs are usually modular (you pick the modules you need). Some vendors offer a full suite of applications under one umbrella, while others allow a more mix-and-match approach. For instance, an all-in-one suite might include every module (financials, CRM, HR, inventory, etc.) that works seamlessly together.
Alternatively, you might use a core ERP for finance and supply chain, but integrate it with a separate CRM or HR system. When evaluating ERP types, consider whether you want a single vendor for all functions or if you plan to integrate multiple specialized systems (which requires strong integration capabilities). In practice, you will be looking at a combination of these factors.
For example, you might seek a cloud-based, SMB-focused, open-source ERP for a manufacturing business; that description would point you toward certain options (like Odoo). Understanding these categories helps you filter the vast ERP landscape down to a shortlist that fits your deployment preference, industry, size, and flexibility needs.

Famous ERP Systems & Examples
The ERP market has several well-established players that are considered the top or famous ERP solutions worldwide. It’s useful to know some of these names as examples of ERP systems when doing your research. Here are a few notable ERP products:
1. Odoo ERP
Among newer and alternative options, Odoo is an open-source ERP platform that has gained huge popularity, particularly with small and mid-sized businesses. Odoo’s modular design (with apps for every business function) and affordable cost, it even has a free Community edition, make it an attractive example ERP solution for companies that want flexibility. It can be deployed on-premise or in the cloud and is highly customizable (a big plus if you have unique processes).
Encloud Solutions specializes in Odoo implementations because of Odoo’s adaptability across industries. While Odoo might not be as famous historically as SAP or Oracle, it’s a rising star and worth considering if you want a modern, customizable ERP without breaking the bank.
2. SAP (Systems Applications and Products in Data Processing)
SAP is one of the original pioneers of ERP software and remains a market leader. Their flagship product, SAP S/4HANA, is used by many large enterprises globally. SAP ERP is known for its depth in manufacturing, supply chain, and finance features. (Fun fact: SAP itself is a company name that has become synonymous with ERP in some circles, but remember, SAP is the vendor, and ERP is the category of software. SAP’s ERP is one example ERP system among many.) SAP also offers SAP Business One for small/midsize companies.
3. Oracle (Fusion ERP / NetSuite)
Oracle provides multiple ERP solutions. Oracle Fusion Cloud ERP is a comprehensive suite for large organizations, while Oracle NetSuite (which Oracle acquired) is a very popular cloud ERP for small and mid-sized businesses. NetSuite was one of the first pure SaaS ERPs and is widely used for its strong financials and multi-subsidiary management capabilities. Oracle’s ERPs are known for robust databases and powerful reporting, and Oracle has been a leader in pushing cloud-based ERP adoption.
4. Microsoft Dynamics 365
Microsoft’s ERP offerings (Dynamics 365 Finance, Supply Chain, and Business Central for SMBs) leverage the familiar Microsoft ecosystem. Dynamics 365 Business Central is a common choice for small and growing businesses, integrating nicely with Office 365 and offering cloud deployment. Microsoft’s ERPs are praised for user-friendly interfaces and strong support for things like retail and distribution. As a famous ERP suite, Dynamics competes head-to-head with SAP and Oracle in many industries.
5. Sage & Infor
Sage offers ERP solutions like Sage X3 and Sage Intacct, especially strong in accounting and financial management for mid-market companies. Infor provides industry-specific cloud ERPs (Infor CloudSuite) targeted at verticals like manufacturing, healthcare, and fashion. These are also well-known in the ERP space, albeit catering to specific niches.
These are just a few examples. Other famous ERP systems include Epicor, Acumatica, IFS, Workday (focused on HCM and finance), Unit4 (popular in services and education), and Zoho ERP offerings, among others. Each ERP system has its strengths and ideal use cases.
For instance, SAP and Oracle often serve Fortune 500 enterprises with complex global operations; Microsoft Dynamics works well for many mid-market firms; Odoo can be tailored to small businesses or specific verticals with ease. When researching solutions, consider your industry peers. What do companies of similar size and sector use? That can give you a clue to which ERP might suit you.
Remember, the best ERP for you is not necessarily the one with the biggest name, but the one that fits your business requirements the closest. In the next section, we’ll discuss how to buy an ERP system and what steps to take to ensure you choose the right solution out of these many examples.

How to Buy an ERP System
Now that you understand the landscape, let’s get into how to buy ERP effectively. Purchasing an ERP system involves more than just picking software; it’s about finding a solution that aligns with your business processes and setting it up for success. Here’s a step-by-step guide to help you through the ERP buying process:
1. Identify Your Needs & Goals
Start by documenting what you need from an ERP. Engage people from each department, for example, have your inventory managers list requirements for warehouse management, and sales managers outline what they need for order processing and CRM integration. Determine the pain points in your current process (e.g., duplicate data entry, lack of real-time reporting) and the must-have features (inventory tracking, financial consolidation, production planning, etc.).
Also consider your future goals: Are you planning to expand to e-commerce or new locations? Any industry-specific needs (like project management for real estate or compliance tracking for a solar energy business)? Creating a detailed checklist of requirements and objectives will serve as your blueprint when evaluating ERP options.
2. Decide on Cloud vs On-Premise Early
As discussed, one of the first strategic choices is the deployment model. Consider your IT capabilities, budget, and company policies. If you have minimal IT support and want quick setup and accessibility, an ERP system SaaS (cloud ERP) model is likely the best fit. If you operate in an area with poor internet or have strict data residency rules, on-premises might be required. For most, the cloud will be appealing for the reasons we covered (lower cost, automatic updates, remote access).
Make sure stakeholders understand the trade-offs of ERP vs cloud ERP. This decision will immediately narrow down your vendor list (since some ERPs are cloud-only, like NetSuite, while others offer both options). Don’t forget to factor in long-term costs: cloud is pay-as-you-go, whereas on-prem has a bigger upfront cost but potentially lower recurring fees. Tip: Unless you have a compelling reason to host the system yourself, modern cloud ERP offerings are very mature and often the faster route to value.
3. Set a Budget & ROI Expectation
Determine how much you are willing to invest in an ERP, including not just software fees but also implementation services, training, and ongoing support. ERP costs can vary widely, from affordable subscriptions of ~$20/user/month for some cloud ERPs to millions of dollars for large enterprise projects. Knowing your budget range will help you target the right tier of solutions. Also, consider the ROI (return on investment). What efficiency gains or cost savings do you anticipate?
For example, if an ERP can automate tasks and reduce inventory holding costs, that translates to real savings. Many companies justify the cost of ERP by the improvements in productivity and decision-making it brings. Having an ROI mindset will help you make a business case for the purchase and choose a solution that delivers value. Be wary of over-customizing or buying modules you won’t use; focus on core needs first to keep costs manageable.
4. Research & Shortlist ERP Vendors
Armed with your requirements and budget, you can now evaluate specific ERP products. Look for software that matches your needs in terms of industry focus, company size, and features. There are many resources online (analyst reports, user reviews, case studies) that compare ERP vendors. Create a shortlist of perhaps 3–5 ERPs to investigate in depth.
For each, consider: Does it have all the modules you need? Is it known to serve companies in your industry? Is it cloud-based (if you decided on cloud)? How is the user interface (modern and easy or old and clunky)? Also, take note of the pricing structure and whether it’s within budget. If you’re a small business, you might focus on simpler solutions tailored to SMBs.
See our in-depth best ERP for small companies guide for some recommendations and cost comparisons. Likewise, if you’re in a niche industry, check if there’s a specialized ERP or a particular vendor with expertise in that area. Peer referrals and independent software review sites can be helpful to gauge satisfaction levels. The goal of this step is to narrow down to a top 2 or 3 contenders that seem like a good fit.
5. Demo the Software & Ask Questions
Never buy an ERP without seeing it in action. Arrange demos with the vendors or their implementation partners. Use your own business scenarios during the demo if possible, for example, ask them to show how the system would handle a sales order through to inventory deduction and invoice generation, or how the ERP and SaaS platform integrates with a CRM if that’s important to you.
Gather feedback from your team members who attend the demos; they will often notice if the software seems intuitive (or not) for their daily work. During this phase, ask about customization and integration capabilities. If you have existing systems (like an e-commerce site or a specific CRM), can the ERP connect to them easily? Vendors should be able to speak to APIs or integration tools. This is also the time to inquire about support, training, and implementation services.
Some vendors will connect you with an implementation partner firm (like Encloud Solutions, if you were evaluating Odoo, for instance). Get clarity on what resources are provided for getting the ERP up and running. It’s wise to request a trial or sandbox environment if available, so your team can test the interface hands-on. Treat the demo like a test drive; it’s your chance to see if the ERP truly fits before you commit.
6. Plan for Customization & Integration
No ERP will fit your business perfectly out of the box, especially if you have unique processes. Determine what (if any) customizations you’ll need. This could range from simple tweaks (adding a custom field or report) to more significant changes (e.g., customizing workflows or developing a module for a special process).
Understand from the vendor how customization works, whether it can be done via configurations, or does it requires coding? Modern systems like Odoo or Dynamics allow a lot of configuration without coding, whereas others might need developer work for changes. Consider who will do this work: do you have IT developers in-house, or will you rely on a partner? Also, make an integration plan. List the other software your business uses (CRM, e-commerce, POS, legacy databases, etc.) and ensure your ERP can connect to them.
Smooth data flow between systems is crucial; for example, you might want your website orders to flow into the ERP automatically or your ERP to push financial data to a budgeting tool. Many ERPs offer integration modules or APIs for this purpose. Encloud Solutions provides ERP integration services to help companies link their ERP with e-commerce platforms (Shopify, WooCommerce, Amazon), payment systems, third-party logistics, and more.
Proper integration eliminates data silos and double-entry, maximizing the ERP’s value. Include these customizations and integrations in your project scope and budget. It’s better to plan for them up front than to be surprised later. (Note: Avoid over-customizing in phase 1. Start with essential tweaks that give you a competitive advantage, but try to use standard ERP features where possible; this keeps the system simpler and upgrade-friendly.)
7. Choose a Trusted Implementation Partner
Buying the software is just one part; implementing it successfully is equally critical. Many ERP failures stem from poor implementation rather than the software itself. Unless you have a skilled internal IT team that has done ERP projects before, it’s highly recommended to work with an experienced ERP consultant or implementation partner. These are firms (or individuals) that specialize in deploying the ERP, configuring it to your needs, migrating your data from old systems, and training your users.
Encloud Solutions, for example, is an official Odoo partner and has a track record of end-to-end ERP implementation and customization. A good partner will understand your industry, help tailor the system (they can build custom features or reports if needed), and ensure best practices are followed so that you get a smooth go-live. They also provide support after launch, which is invaluable for troubleshooting and continuous improvement. When selecting a partner, consider their expertise (do they know your chosen ERP and industry?), their services (do they offer training, support, integration, etc.?), and client references or case studies.
Essentially, the partner should feel like an extension of your team, guiding you through this transformation. The right partner will make your ERP project faster, less risky, and more aligned with your business objectives. Don’t hesitate to ask potential partners about their implementation methodology and how they manage timelines and budgets. ERP implementation is a collaborative process; you’ll need to allocate internal resources, too, but with experts leading the way, you greatly increase the chances of success.
By following these steps, you’ll be well on your way to purchasing an ERP system that fits your company. It’s an educational journey: from understanding your needs, surveying the ERP landscape, to finally executing the deployment. Always keep the end goal in sight, a unified system that empowers your business, and you’ll be able to justify the effort and investment.
Remember: an ERP is not just software, it’s a strategic business decision. Treat it as such by involving stakeholders, doing thorough homework, and leveraging expertise where needed. The payoff can be huge; companies often see improved efficiency, better decision-making, and scalability once a good ERP is in place. In the next section, we’ll highlight why Encloud Solutions could be the ideal partner in this journey.

Encloud Solutions: Your ERP Partner
Implementing ERP can be challenging, but you don’t have to do it alone. Encloud Solutions is a professional IT consulting firm that specializes in custom CRM and ERP solutions. From the initial selection process through integration, training, and ongoing support, our team assists businesses every step of the way. We’ve helped companies of all sizes modernize their operations with ERP, empowering them to streamline workflows, eliminate data silos, and achieve faster growth.
Encloud Solutions is known for its expertise in Odoo ERP, a flexible open-source platform. (We are an official Odoo Gold Partner, which means we are certified to implement and fully customize Odoo for clients’ unique needs.) However, our services are not limited to one product; we always start by understanding your requirements and then craft a tailored solution. Whether you’re in manufacturing, distribution, real estate, solar energy, retail, or any other sector, we can adapt the ERP to fit your industry-specific processes.
Our team has developed industry modules (for example, real estate property management features, or solar project tracking capabilities) and performed countless integrations between ERP and other software. If you have legacy systems or specialized applications, we ensure your new ERP will talk to them seamlessly (via our ERP integration services). Customization is our strength; we say “yes” to customizing the ERP so that it molds around your business, rather than forcing you to change your workflows. Encloud’s consultants take pride in delivering an ERP that feels just right for the client.
Choosing Encloud Solutions means choosing a partner committed to your long-term success. We don’t just do the installation and vanish; we provide training to your users, support after go-live, and continuous improvement advice as your business evolves. Our goal is to maximize your ROI from the ERP investment by ensuring high user adoption and uncovering efficiency gains. In short, we handle the technical heavy lifting and guidance, so you can focus on running your business with the new system.
Ready to take the next step? If you’re considering an ERP implementation or upgrade, contact Encloud Solutions for a free consultation. We’ll discuss your goals and show you how a tailored ERP solution can transform your operations. With Encloud as your partner, you can confidently move forward in your ERP journey, knowing you have the best support to achieve a successful outcome.

FAQs
What is ERP and SaaS?
ERP (Enterprise Resource Planning) is a type of business software that manages and integrates a company’s core processes (finance, inventory, sales, HR, etc.) in one system. SaaS (Software as a Service) is a delivery model for software where you access it over the internet on a subscription basis, rather than installing it on your own servers. When we talk about ERP and SaaS together, we’re usually referring to cloud-based ERP solutions provided as a service.
What does ERP stand for in SaaS?
In a SaaS context, ERP stands for Enterprise Resource Planning, the same as in any context. The term doesn’t change; ERP always means the integrated management of key business processes, facilitated by software. So, what ERP stands for in SaaS is still enterprise resource planning.
Is ERP an IT system?
Yes, ERP is an IT system in the sense that it’s software used to run business operations. More specifically, ERP is a comprehensive business application (or suite of applications) that falls under a company’s information technology infrastructure. When you implement an ERP, you are deploying a major IT system that users will interact with daily for tasks like entering orders, posting invoices, or running reports.
What do you mean by ERP?
When we talk about ERP, we mean a software solution that enterprise organizations use to plan and manage resources across the company efficiently. The term Enterprise Resource Planning basically implies that the software helps plan and utilize all the resources of an enterprise, be it human resources, financial resources, materials, or even customer relationships.
What is ERP vs CRM?
ERP and CRM are both important business software, but they focus on different areas. ERP (Enterprise Resource Planning) is like the backbone that runs internal processes; it’s about internal efficiency and integrating back-office functions (financials, supply chain, production, HR, etc.). CRM (Customer Relationship Management) is more about the front office; it’s a system to manage interactions with customers and prospects, focusing on sales, marketing, and customer service.