In today’s age where technology evolves every single day, companies have realized that utilizing technology will help them sustain over their competitors. However, not all technology is created equal and adequately aligned with your business needs. Companies need to find solutions on technology that bring business benefits and much-needed efficiency, ultimately help them grow and adapt to the dynamic environment.

One of legacy technology solutions for business operations is ERP system. However, because ERP has been around in business operations for ages, many companies are stuck with legacy ERP systems that holds them back from the rest because they depend on existing ERP that are not equipped with modern capabilities.

Because technology is evolving faster than we are, now is time for companies that are still using traditional ERP to make shift to modern ERP.

What are the differences between modern ERP and traditional ERP?

#1 Deployment options

Flexible deployment option is the most mentioned difference between modern ERP and traditional ERP. Modern ERP is available in on-premise and cloud solutions. The flexibility of deployment options is not available in tradional ERP system, which only can be deployed on-premise.

However, the differences between modern ERP system and traditional ERP system is not only about deployment options, today’s ERP system comes with more modernization.

#2 Accessibility options

Modern ERP system is designed as a software that can be accessed from anywhere via any handheld device (smartphones). While for traditional ERP system, accessibility is only limited to PC or LAN connection.

#3 Length of implementation

Modern ERP implementation is not time consuming due to all modules connected to the centralized database, whereas traditional ERP Implementation takes a long time due to manual installation on each workplace, integration with other modules such as finance, production, supply chain, warehouse, etc.

#4 The Data Quality

With modern ERP system, data can be accessed and updated in real-time from anywhere, anytime from any device and browser. Unlike traditional ERP system, it has no real-time data updates. If we need updated data, employees need to extract data manually.

#5 Reporting

Modern ERP is equipped with analytical dashboards that generates more advanced reports for employees across departments and levels, whereas traditional ERP system is only equipped with basic reports.

#6 Ability to scale up

Modern ERP system can scale as your business grows. For example, if a company have more branches, units, or new departments, they can still use the same ERP. They only need to upgrade the features and capability in less time, costs and efforts. In contrast with traditional ERP, scaling up is difficult as it will involve a lot of manpower, man hours, time, costs and efforts.

There is a lot of more differences between modern ERP and traditional ERP. It is concluded that the differences are about its flexibility and capability, not only about the cloud deployment.

After knowing the differences between modern ERP and traditional ERP, have you decided which is better? To keep up with the fast-moving business world, a modern ERP system is the right solution for moden companies! If you are looking for the best modern ERP system,  NetSuite can be a strategic option for you. Find more information about NetSuite at

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