RODE is an Appreciating Asset - Part II

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Continuing from the previous part where we question the compulsions in moving to the cloud.

Under the “cookie cutter,” we may evaluate an ERP by the typical dimensions such as the scope of the offering, the scale, the budget and of course time constraints. Attempts are also made to quantify the ROI. So if everything is clear, is there an issue at all? Well, the experience has shown otherwise.

Going with conventional ERP, the “best run businesses” are reporting unused licenses and unpredictable TCO.

Let’s take a diversion and consider the example of social media. Consultants may point to social networking sites. If customers hang out in one of these platforms and “like” what you say, you have it made. But what if they are in a more esoteric or highly individualized group (not a cookie cutter group)… Check out the literature on social media strategies and you will see parallels to ERP strategies – failed to moderate success.

What we are saying here is, “On-Premise” ERP approaches promise an opportunity to harness the organizations resources, streamlining of processes, and finally scale efficiencies. But this is one extreme way - which we argue - has reached a plateau of productivity. You are languishing in a mediocre median, managing data centers, technology and application portfolios, IT techniques and finally skill sets (IT people).

It is time to consider the other extreme.

Some of the best fiction writers know to use “extreme” personalities as characters in their book and this usually brings success. James Bond (credit to Ian Fleming) is known never to lose his poise. That’s extreme behavior in one sense. Blofeld has not just dreams to dominate the word but a plan too. Star Wars franchise was successful by the distancing the Jedi from the Sith.

In mathematics, applying extreme conditions often reveal startling solutions. They don’t always end up with meaningless numbers – take a square and increase the number of sides limitlessly and you have a circle!

This is where the cloud becomes significant. It is a boundary condition that many organizations have begun to explore and is hardly cookie cutter. Some vertigo like scares happen when you realize you won’t have to know where your data is sitting. Let’s talk about this in the next part.

Contributed by: K. Shyaam Sunder, Chief Knowledge Officer, Ramco Systems