Moving to Cloud is Not the Only Way to Modernize Your Oracle EBS

October 21, 2022

Gartner says that even though Oracle Cloud Application (OCA) products are getting better, users still don’t understand what it means to move from their on-premises applications. What’s missing from the conversation is the element of transformation. Transitioning from on-premises to a SaaS model does not allow for customization. Instead, it focuses on transformation. In short, the migration process to the cloud is not a technical move, it’s a business transformation.

That means that for a lot of customers, it won’t be a simple technical transformation. Organizations have frequently implemented customizations over the years to fit their business, and they will be in for a rude awakening when they decide it’s the right time to move to the cloud, where standard systems that can be changed are the name of the game.

By the end of the year 2024, 75% of Oracle’s application services revenue will come from the cloud as companies make plans to move to the cloud. In the same year, Oracle ERP deployments will be executed remotely instead of using on-site implementation teams.

Now is the time to start thinking (seriously!) about the modernization of your Oracle EBS. Luckily, there are different paths to get there, each one relevant to your current needs. While you must have a cloud adoption strategy in place in the next 10 years, it’s also true that not everyone is quite there yet.

The transformative potential of the cloud to update corporate systems via applications, platform, or infrastructure is too remarkable to ignore as technology progresses to satisfy internal and external business needs.

Nonetheless, not every business is able to (or even wants to) adapt as quickly. It’s possible that companies may have to gradually update its legacy system until it’s up to par with modern standards, rather than making a sudden transition to the cloud, due to resource constraints.

Oracle is aware of this and is dedicated to providing for all businesses that use on-premise ERP, giving them a choice between three distinct paths toward modernization and the support of Oracle Platinum Partners like IT Convergence, who serve on the Advisory Board of Oracle EBS to help them along the way.

Path 1: Upgrading to Oracle EBS R12.2.x

Chances are, you’ve heard about this one before, but maybe, you’re not sure if it’s truly the right fit for your business. Can you leverage cloud-capabilities while staying on-premises? Is that even possible? Yes it is!

Oracle has pledged on-premises system Premier Support until at least 2033, giving even the most conservative adopter plenty of time to transition to the cloud without falling behind. At the time of this article, the latest Oracle EBS version of release 12.2 is 12.2.11, a version filled with technology and operational improvements that keep your system optimized, secure, and productive.

Updating as new versions become available is a crucial part of maintaining a contemporary system. You can skip the release cycle for new versions, though. Instead, you can improve upon preexisting setups by including additional modules. For instance, if your company wants to upgrade its SCM, it can do so by implementing any number of available supply chain applications, such as updated modules for warehouse management and supply chain planning.

Instead, your company may decide to adopt a hybrid approach, combining their current on-premise EBS system with Oracle’s SCM Cloud Services. This provides a low-cost, low-risk way for the organization to begin establishing a presence in the cloud and reaping its benefits without completely overhauling its current operations.

Path 2: Going with Oracle Cloud Infrastructure

Oracle Cloud Infrastructure (OCI) allows you to migrate while preserving your current on-premises modifications. With EBS on the Cloud, businesses can upgrade their existing on-premise EBS system to a cutting-edge cloud-based infrastructure at no additional cost and without the burden of hardware management.

By continuing to use the present system, your company can make the most of its existing investment while devoting less resources to IT and concentrating on its core competencies, thanks to this migration. Something to think about.

Path 3: Leaving Behind Your Legacy ERP for Good

Businesses that are looking to get ahead quickly can use the SaaS model by foregoing incremental modernization and instead making the jump to a cloud-based ERP solution, such as Oracle ERP Cloud.

The end goal is for you to modernize your Oracle EBS, regardless of the path you choose. If we’re sure about one thing, modernization is inevitable so it’s time to start choosing the right path for your unique business needs and find the right approach that aligns with your priorities, be it cost optimization, risk minimization, or knowledge transfer.

I’ve IT Convergence, we’ve curated a number of proven approaches that can help you get there safely and successfully, be it a cloud smart upgrade or resource sharing models, our goal is protecting your business continuity and ensuring your Oracle EBS remains as valuable as it is to your core, day-to-day operations.

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