Moving BEYOND the Boundaries of On-Prem with SAP Cloud ERP!
About this Interview
In this week’s conversation, we sit down with SAP’s Senior Director of Solution Management for Digital Manufacturing Sam Castro to discuss SAP’s cloud-based DM Solution.
During the interview, we spent a lot of time focusing on how SAP different approach to cloud AND how can overcome lingering industry concerns preventing the widespread adoption of Cloud-Based Manufacturing.
Topics discussed with Sam include:
- security,
- scalability,
- resiliency, AND
- infrastructure
But before we learn about the SAP perspective regarding Cloud-Based Solutions for Manufacturing, let’s talk briefly about why so many companies have been hesitant to move to Cloud Manufacturing until recently:
Why Stick to the Classics?
Manufacturing plants have traditionally kept their production facilities and planning
software strictly on-premises due to concerns over security, control, and the
need for real-time, uninterrupted access to critical systems.
In industries where downtime can lead to significant losses, relying on on-premises solutions
allowed manufacturers to have full oversight of their operations, with tight
control over sensitive data and intellectual property.
The infrastructure also enabled systems to function without depending on external
networks or internet connectivity, reducing the risk of cyberattacks or
connectivity disruptions.
These factors, combined with the large upfront investment in hardware and specialized
software, made on-premises solutions seem like the most reliable and secure
choice for many manufacturers.
What’s Changed in 2024?
As we move into 2024, more manufacturers are beginning to rethink their reliance on on-premises
infrastructure.
The rise of cloud computing and advancements in cybersecurity have addressed many of the
traditional concerns associated with remote solutions.
Cloud-based platforms offer scalability, flexibility, and more cost-effective maintenance
by reducing the need for
- expensive on-site hardware and
- Various IT resources.
Additionally, the shift toward Industry 4.0,which emphasizes data-driven decision-making, real-time monitoring, and
predictive analytics, is making cloud solutions more attractive.
Conclusion
With the increasing complexity of global supply chains and the need for better
collaboration across locations, cloud-based software allows manufacturers to
access real-time data and make more agile decisions, while also supporting
remote work and operational continuity in times of crisis. This shift is
transforming how manufacturers think about their technology infrastructure,
with cloud adoption growing as both a strategic and practical decision.
Now that we’ve given some context around Cloud-based computing in the manufacturing space, let’s
hear SAP’s Senior Director of Solution Management for Digital Manufacturing Sam
Castro’s thoughts on the subject:
