Is your organization ready for Cloud? A study on benefits, risks, and total cost of ownership

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As ERP providers shift their focus to Cloud-based Software as a Service (SaaS) models, businesses that are evaluating their current ERP solutions must decide if now is the right time to move from traditional on-premise solutions to the Cloud. 

PwC explores common perceived benefits, risks, and total cost of ownership of adopting a Cloud-based ERP solution in the healthcare industry.

Benefits and Risks of Cloud ERP

Perceived benefits include:

  • Reduction in IT resources and maintenance costs 
  • Speed of deployment 
  • Scalability 
  • Modernized user interface and ease of navigation 

Perceived risks include: 

  • Data risks and security
  • Availability and uptime 
  • Limited ability to customize the application

Total Cost of Ownership (TCO)

Factors that control the total costs of ownership in adopting a Cloud-based ERP solution include:

  • Implementation costs 
  • Potential reduction of capital investment 
  • Reallocation of Human Capital investment 
  • Mitigated security risk


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Dirk Pittman

Dirk Pittman

Director, PwC US

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