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Cloud ERP – simply explained 

Published Jul 14, 2025
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What is cloud ERP?

Cloud ERP refers to an Enterprise Resource Planning (ERP) system that runs on cloud technology. Instead of accessing the system via a local server, companies connect directly through the internet.

In this article:

How does cloud ERP work?

Cloud ERP runs on the servers of an external data center. With internet access, companies can log into their ERP system anytime, anywhere – and manage all their business processes remotely. Data processed in a cloud ERP system is automatically synchronized in real time with the installed ERP software. Cloud ERP can be deployed in both public and private cloud environments.

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Yaveon 365: The cloud ERP for the process industry

Standard ERP functions are helpful – but they won’t take you all the way. The goal is maximum automation to free up time for what matters most. That’s where Yaveon 365, the cloud ERP for the process industry, comes in.

What is the difference between cloud ERP and on-premises?

On-premises ERP

  • Data is stored on in-house servers and computers
  • The ERP system becomes company property upon purchase
  • Maintenance is handled internally
  • The company must provide its own IT infrastructure
  • The IT team is responsible for updates
  • Additional functions are added manually, interfaces to third-party systems are custom developed
  • Installation is done manually on all affected devices

Cloud ERP

  • Installed on external servers
  • Cloud ERP is rented, not purchased
  • Maintenance and updates are handled by the ERP provider
  • No in-house infrastructure required
  • Functions and interfaces can be added and configured with ease
  • Accessible from any device with an internet connection

What are the advantages of cloud ERP?

  • Scalable performance scope
  • Modern cloud ERP providers ensure maximum security
  • Reliable data backup for disaster recovery
  • Modern and intuitive user interface
  • Predictable costs through subscription pricing
  • Rapid implementation and go-live
  • Full maintenance by the ERP provider
  • Automatic updates
  • Work from anywhere, at any time
  • Faster reaction times and competitive advantage
  • Always up-to-date, real-time data

Who is cloud ERP right for?

Cloud ERP is ideal for companies with limited resources for in-house IT infrastructure who prefer to outsource maintenance and upkeep. It’s also well suited for businesses that want location- and time-independent access, with minimal installation effort.

Companies that need flexible scalability are a perfect match for cloud ERP. Often, these are smaller or fast-growing businesses – because cloud ERP enables dynamic operations and quick adaptation to change.

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The cloud ERP for the process industry

Yaveon 365 meets the strict requirements of regulated industries and integrates seamlessly with Business Central.

How secure is cloud ERP?

Concerns about data protection and security are persistent – but modern ERP providers have all the safeguards in place to offer secure, reliable cloud ERP. When a cloud ERP runs in a German data center, security is often higher than with an on-premises system hosted in-house. The reason: Germany’s Federal Data Protection Act (BDSG), one of the strictest regulations worldwide, applies to all cloud computing providers in Germany.

Cloud ERP in regulated industries

Implementing cloud ERP in the pharmaceutical and medical technology sectors comes with unique challenges:

  • Software validation and updates: Frequent updates from the provider require ongoing validation to comply with regulatory requirements such as GxP and FDA standards.
  • Data security and GDPR compliance: With highly sensitive data stored in the cloud, the highest security levels and strict GDPR compliance are essential.
  • Scalability and flexibility: Cloud ERP must adapt to changing operational and regulatory needs, with every adjustment carefully validated and fully documented.
  • Data migration and system availability: Migrating existing data requires particular care to preserve integrity, and system uptime must be guaranteed for critical processes.

These factors highlight why cloud ERP systems must be carefully chosen and implemented to meet the specific requirements of regulated industries.

Yaveon 365: Cloud ERP for the process industry

Yaveon 365 is the ERP solution tailored for companies in the batch-driven process industry. It is designed to make business processes more efficient and transparent.

In the context of cloud ERP, Yaveon 365 offers the following strengths:

  • Validation: Companies in regulated industries must validate their ERP systems. Yaveon ProBatch includes functions and documentation that support this process.
  • Scalability and flexibility: Yaveon 365 adapts quickly to changing business needs. Extra resources can be added on demand – without investments in physical servers.
  • Compliance: Supports adherence to industry-specific regulations such as EU GMP (Good Manufacturing Practice) guidelines and FDA requirements.
  • Specialization for the process industry: Lot tracking, recipe management, and integrated quality management are optimized for this sector.
  • Integration: Seamlessly embedded into the Microsoft Dynamics 365 ecosystem and other systems for centralized data synchronization.
  • Security: High standards with data encryption, regular backups, automatic updates, and automated testing.
Autor Stefan Klammler

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