The Hidden Cost of Not Upgrading Your Legacy ERP Technology
Laura (Heinbockel) Schomaker
Laura Schomaker, Marketing Associate
May 16, 2018
Since the turn of the millennium, technology has changed at a very rapid pace that increases as the years progress. When the Internet became a fixture in our daily lives, businesses had to invest millions of dollars on innovating and updating their technology to stay competitive and adapt to the new environment and its rules.

Then came mobility and smartphones, and again investments had to be made to integrate crucial technology into day-to-day business processes. Today, we’re witnessing the rise of cloud-based solutions in the business sector, which have taken prevalence in many areas including hosting, storage, security, app development, and ERP and CRM software. Experts often suggest that moving to cloud-based environments is the most efficient and most cost-effective choice to make in the modern business tech market. But what about all that planning, strategy, investment, and training that went into setting up networks, servers, and workstations?

Doing Less Costs More

Cloud technology stands out amongst its predecessors for having one big advantage: rather than requiring a large investment in expensive hardware like new servers and devices, it lets you use less equipment and adapts to most devices you may already be using in your organization.

This leaves CEO’s and business managers with a dilemma; do they stay on legacy ERP and try to make as much use of the technology they have already have, or do they switch over to a more efficient cloud-based environment and abandon their expensive investment in both their ERP software and the hardware it’s used on?

It seems easier to do nothing and simply stay with your company’s legacy ERP. Technology can seemingly hold up well for quite some time, right? After all, how many companies were still surviving on Windows XP until just a couple of years ago?

Well, the truth is those companies that decided to stay on an old operating system to avoid upgrade costs are probably regretting making a late decision. Assimilating change as it happens makes it easier to adapt both equipment and personnel over time. On the other hand, delaying changes until they are critically necessary causes several issues including the need to spend more on infrastructure at once, as well as large learning gaps and resistance to change from staff members. Funds will need to be invested in re-training and re-organizing work processes and new hires with previously unrequired skills may be necessary just to be able to continue business operations.

Newer Technology Pays

It’s not just about lessening the blow of future costs. Shifting from legacy ERP to cloud-based or hybrid platforms means your organization has access to the latest tools, reports, and business intelligence insights that are not available with traditional software. A highly dynamic application such as Acumatica Cloud ERP puts information from your entire operation together to offer real-time data that can be combined with business intelligence to provide predictive analysis that your company can use to drive business forward and stay ahead of the curve. Cloud ERP software also allows for greater mobility, meaning work can get done from home and on the road; this results in both greater productivity, and higher employee satisfaction. Newer ERP software technology also has greater customization capabilities, meaning it can be tailored to address a company’s specific needs.

Additionally, cloud technology is overall more stable, more secure, and better protects your information from natural disasters and system failure. On top of that, there’s no need to abandon your hardware right away; hybrid environments are deployed combining both on-premise and cloud platforms.

Benefits Beyond Savings

The benefits to upgrading your ERP will ultimately result in your organization being more efficient, cost-effective, and compliant with industry standards. Upgrading your ERP goes beyond saving money down the line, it means investing in making your company a more productive one that can boost results and revenue through better technology. A timely, progressive transition allows your organization to stay ahead of the current instead of behind it; your personnel can adapt to change as it comes instead of having to reset their skillset completely and suddenly, and your entire operation will also be better-prepared to assimilate future change.


If you’re still using a legacy ERP, it’s time for modernization. Learn what keeping your outdated system is costing you. Read “ The Cost of Doing Nothing: Why You Can’t Afford to Sit on an ERP Software Decision,” a report from the Aberdeen Group.


Ready to explore your options for moving your legacy ERP into the cloud era? Visit this webpage.


Questions about moving to the cloud or finding the system that’s best for you? Talk to our experts.

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