ERP and SaaS: A Flexible, Cost-Effective Platform for Growth and Expansion

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1 ERP and SaaS: A Flexible, Cost-Effective Platform for Growth and Expansion

2 The SaaS (software-as-a-service) marketplace is one of the hottest areas in enterprise software today. Gartner predicted last year that the SaaS market will grow at 19.5% CAGR through 2016, with global SaaS spending growing from $13.5 billion in 2011 to $32.8 billion in There are good reasons behind the meteoric rise of SaaS. According to a recent article in Forbes, The cloud is now being considered a viable target for deploying mission critical applications. Enterprises are finally realizing that customers no longer want to buy packaged software and instead are expecting everything to be delivered as a service. In other words, customers are expecting their vendors to be SaaS providers. 1 The article explains some of the key reasons behind the popularity of SaaS. First, the customer is no longer responsible for managing and maintaining the software and infrastructure, which frees up precious IT resources to work on value-added tasks. Second, new features and bug fixes can be made frequently, even daily in some cases, and without any downtime. More importantly, the cost to implement these solutions is much lower while the time to market is much faster Even more compelling for many enterprises is that SaaS solutions hit the books as an operating expense as opposed to a capital expenditure. SaaS and ERP: an Ideal Combination SaaS is ideally suited for a number of enterprise software applications, and ERP (Enterprise Resource Planning) is no exception. The hardware and software overhead required by traditional, on-premise ERP solutions may be daunting for high-growth fashion, apparel or consumer goods companies that need to implement an ERP solution quickly and affordably. For example, a traditional ERP solution will require servers, backup and recovery services, O/S and SQL licensing, hardware and software installation, and months of training. This long list of pre-requisites is why so many small-to-midsize companies still run their enterprises on spreadsheets missing out on all the ways that ERP can streamline business processes, generate higher inventory turns, and help them provide better customer service while also improving their profitability. ERP systems are a strategic platform for business growth and efficiency, helping early-stage, high-growth companies reach the next level and that s exactly why NGC developed NGC ERP XPress. 1 Forbes, Cloud s Next Big Wave: Mission Critical Applications, June 27, 2014.

3 NGC ERP XPress: Enterprise ERP Delivered in the Cloud NGC ERP XPress is a cloud-based version of NGC s industry-leading fashion ERP solution. NGC ERP XPress provides the robust features of NGC s enterprise application in a Software-as-a-Service (SaaS) model delivered in the cloud. NGC s ERP XPress incorporates the key features of NGC s high-performance fashion ERP solution and makes it available in a very attractive SaaS offering. As a result, ERP is now within reach for even the smallest fashion and apparel companies, regardless of whether they manufacture or import, produce private label or branded merchandise, or sell to big box retailers or specialty stores. With NGC ERP XPress, there is no software to install or configure, no need to purchase additional hardware, and no need for IT support or extensive user training. Because NGC ERP XPress streamlines so many of the processes involved in ERP implementations, it reduces training time to a matter of weeks instead of months. As a result, companies can begin running all of NGC s standard Order-to-Cash processes and best practices in about a month. NGC ERP XPress is a fully-featured fashion ERP system that includes EDI, Customer Order Processing, Purchasing, Production Orders, Inventory Control, Distribution, Accounting and Reporting. It integrates with FedEx and UPS shipping systems, as well as many factors and banks. The system includes hundreds of preconfigured reports and many other functions that help companies streamline their workflows, reduce costs and improve profitability, increase their inventory turns and provide better customer service.

4 NGC ERP XPress and the SaaS model provide a number of key advantages, as shown below. Hardware/Software Fees Hardware/Software Maintenance Traditional ERP Must purchase and maintain servers. Requires operating system and SQL licensing and upgrades, in addition to the ERP application. The end user pays for separate annual software maintenance fees. End user is responsible for areas including investing in back-up software and back-up recovery procedures, as well as any system performance and data issues. NGC ERP XPress (SaaS) Companies save time and money, because NGC hosts the servers and the ERP solution. NGC is also responsible for O/S and SQL licensing. Annual software maintenance fees are included in the monthly SaaS fee. The end user does not have to worry about data storage, back-up or recovery, because everything is safely stored in the cloud. Training Traditional ERP training can take up to 6 months. Time to Start End users must wait for hardware and software installation, setup and configuration before training on the ERP system. Training is streamlined and end users can run all of NGC s standard Order-to-Cash processes and best practices in about a month. End users can begin training and using the software immediately after configuration and set-up of the company and users. There is no hardware lead time, and no complex business analysis. SaaS Model Gives Lucky Zone Design the Flexibility it Needs Lucky Zone Design, a private label manufacturer based in New York, found NGC ERP XPress and the SaaS model offered a perfect fit for the rapidly growing apparel company. We re growing very quickly, not only in sheer volume but also in people, locations and warehouses, said Bart Young, Vice President of Operations at Lucky Zone. We were looking for a system that would serve as a strategic platform for growth. Lucky Zone Design selected NGC after a complete review of the fashion ERP solutions available in the market. The SaaS model gives us the flexibility we need. With NGC ERP XPress, we ll be able to have everyone on the same page, even if they are in multiple locations, and they can access the entire ERP system anytime, anywhere. Bart Young Vice President of Operations Lucky Zone Design

5 A Platform for Future Growth and Expansion As companies continue to grow and add more users, they may find that traditional on-premise ERP solutions offer an advantage. NGC takes this into consideration and provides an easy migration path to NGC s onpremise ERP, a best-in-class solution that is tailored to the needs of fashion and apparel companies. Companies can start with the SaaS solution, and then expand to a traditional installed ERP model whenever they require additional features; data in NGC s ERP XPress can be migrated to an NGC on-premise ERP system in a few days, and companies can further expand by adding NGC s Fashion PLM and Supply Chain Management solutions. For more information on NGC ERP XPress, visit or contact NGC at (800) Connect with us:

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