Today, all companies are being marketed to with “Cloud” or “Not-to-Cloud.” The jargon is sexy in the world of IT… but what does it really mean?
At the date of this posting…
“Cloud” as it relates to ERP Solutions is largely ( still ) a marketing term.
Its origin relates to the diagram we as professionals drew when explaining how information moves to-and-fro via the internet.
Let’s begin be clarifying some definitions that are relevant to the term cloud, as it relates to erp solutions or other mission critical applications we all use.
The 2 concepts that are central to our discussion and should be understood by every executive team and ownership are: Multi-Tenant or Multitenancy Applications and Infrastructure as a Service.
Multi-Tenant or Multitenancy is a principle in the design and architecture of software where there is only one installation (instance) running on the server while providing the application to multiple tenants or “client organizations.” Within a true multi-tenant solution, the application is created in such a way as to share itself with as many end user organizations and has the ability to be upgraded and maintained from 1 central instance of itself. Sometimes confused with Software as a Service (SAAS).
Infrastructure as a Service.
So, what are Cloud Solutions then?
Cloud solutions are an integrated combination of Mutli-Tenant applications and IAAS.