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Traditional vs. managed ERP solution

Compare a traditional ERP implementation with an IBM hosted implementation.
Related product
 Traditional ERP environmentPossible hosted ERP environment
Time to implement3 - 6 months3 - 12 weeks (based on current client base)
Start-up costsPurchase hardware and software for networking, storage, databases, operating systems, etc.Utilize IBM systems
Project riskLarge capital and resource investmentsEnterprise software available quickly
Adding usersAdditional hardware/software may be requiredIBM manages required hardware/software availability
UpgradesUpgradesRequirements may include adding supporting software products and hardwareIBM manages all hardware and software requirements
Upgrade frequencyLarger overhead may result in less frequent releasesExperience with multiple clients may provide smaller, more frequent releases
MaintenanceIn-house IT department manages support, reducing availability for strategic planningIBM manages support and patch management
Problem resolutionMultiple vendors complicate problem solvingSingle source vendor is sole point of contact
CashflowLarge, one-time expense plus ongoing expenditures difficult to foreseeSet fee per user provides predictable costs



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