VIEWPOINT | PUTTING YOUR CONFIDENCE IN THE CLOUD
Many automotive manufacturers continue to manage their own IT systems on site.
Many automotive manufacturers continue to manage their own IT systems on site. The reason seems obvious: They feel secure in having the company's precious data managed entirely through on-premise systems. But that thinking is outdated, asserts Infor, the third-largest global provider of enterprise software solutions to the automotive industry. Infor says moving to a cloud-based platform can transform the way an automotive manufacturer works.
Infor's enterprise products are configured to operate conventionally on premises, in the cloud or both. John Flavin, Infor's executive vice president for global manufacturing, explains why the company believes the cloud is a great deployment alternative for today's automotive manufacturer.
If a manufacturer has an on-premise system that works, why change it?
Cloud solutions offer automotive suppliers many advantages including improved data access for employees, enhanced security and reliability, and the ability to easily expand and grow. From a resource perspective, cloud delivery frees up capital and manpower that can be applied to more productive endeavors for the company.
How secure is data when it's in the cloud instead of on premise?
Many CIOs have told us their companies are nervous about not physically housing their own data within their four walls. Maybe it's human nature that makes us want to hang on to our own stuff. But I like to ask automotive business leaders if they honestly believe they can provide better security for their data than cloud service providers whose business is completely focused on data security. The evidence certainly doesn't support it.
What about reliability?
If you have an on-premise system and it goes down, you're out of touch until your IT staff can get it going again. With cloud-based services, there are back-ups. For example, at Infor, we rely on Amazon Web Services and have multiple back-up data centers so there's virtually no downtime.
How do the cost and convenience compare between on-site and cloud-deployed systems?
Companies that house their own data must buy the hardware, hire IT experts and set up the systems. Then there are the ongoing costs of staffing, maintenance, security updates and periodic upgrades to equipment and operating systems.
With the cloud, everything is available immediately and at a lower total cost of ownership. Upfront costs are far lower and regular subscription fees apply, so the cost to move to the cloud can be covered as an operating expense vs. a capital expense an important advantage for suppliers currently needing to preserve capital for new capacity, equipment and other critical growth-oriented activities.
In terms of convenience, you get the most advanced and most secure platform to start, and it's updated automatically and seamlessly as soon as enhancements and new versions become available.
There's also a scalability factor with cloud-based technology. As any company with multiple plants knows, rolling out an upgrade can be a tedious and lengthy process. In the cloud, upgrades happen simultaneously at all locations, so you get the latest technology everywhere faster and with no downtime or disruption to production.
The bottom line is this: Letting the cloud house the company's data and enterprise software frees up assets that can be used for activities central to the organization's actual business purpose, such as R&D and expansions.
Any other advantages of the cloud?
We tell customers outright that if they aren't in the cloud, they're not going to attract the best talent. Young prospects aren't impressed with an on-site data center. Millennials are used to keeping data in the cloud in their personal lives, and they will expect it in their workplace as well.
Is switching to the cloud an all-or-nothing proposition?
Not at all. Companies can start small by moving a single function, or what we call a "point solution," into the cloud. Then, they can expand later to other functions on up through all of their business functions.
Where does Infor fit into all this?
We offer customers automotive-specific solutions they can use on premises, in the cloud or a combination of both. We have a full automotive suite of cloud-based tools specifically tailored to the needs of automotive. We call it CloudSuite Automotive. We can replace a company's homegrown or on-premise systems with a significantly more robust system that is also cloud-delivered.
Click HERE to learn more about Infor's automotive products. Contact John Flavin at (734) 604-0789 or john.flavin@infor.com. Visit us at http://www.infor.com/automotive.