Invoice processing in the cloud: the most frequently asked questions

The importance of the Internet in our business and personal lives continues to grow. With it, the popularity of Internet solutions (cloud/SaaS) of business software, including software intended for invoice processing, is growing.

Invoice processing doesn't get better, just different in the cloud

Of course, the cloud is not blissful. Every advantage has its disadvantage. And vice versa. Those who prefer working with their own server will point out the disadvantages of cloud and the advantages of working on-premise. Therefore, pointing out the advantages of cloud and the disadvantages of running invoice processing software on an in-house server makes little sense.

Giving an honest answer to some frequently asked questions does make sense to us at ICreative. Because on that basis you can make your own choices.

What does invoice processing in the cloud cost?

Invoice processing in the cloud is not necessarily cheaper. Cloud solution providers are smart enough to construct a revenue model (SaaS) where they don't lose out. And of course, they do like to keep up the sausage of lower upfront costs. Upgrading, on the other hand, is becoming easy and cheaper. Cloud applications are constantly being improved, patched and modernized, and users hardly have to put any effort into using the latest functionality. Once in the cloud, that is the last upgrade you will ever make.

How long does it take to start up invoice processing in the cloud?

The speed is mainly determined by the complexity of the in-house IT environment, such as one or more ERP systems, that the enterprise is working with, and the desired customization that the business demands. For customers who are on an older version, the step to the cloud is a lot bigger. But they will have to upgrade anyway if they want to use the latest functionality. Developments in IT are currently so rapid that finance departments often cannot or do not want to keep up. And then cloud does offer a godsend, because you don't have to implement new functionality. It's already there. All you have to do is put it to use.

How (in)secure is invoice processing in the cloud?

Opponents of the cloud will say that an in-house installation is more secure than the cloud. After all, everything is under their own management. The question, however, is whether in-house IT can keep up with the rapid external developments. The Equifax case, where the data of 143 million people ended up on the virtual street, was the result of the technology behind an online portal not being fully up-to-date. Proponents of on-premises, on the other hand, will point to reports from Verizon, ITRC or the Ponemon Institute, which identify the increasing number of security breaches for cloud solutions.

However, tall trees catch the most wind. In the area of website development, for example, Wordpress is the most popular target for malicious actors. But Wordpress now has a sixty percent global market share among CMS systems. As the cloud grows in popularity, its security will also become a growing issue.

Analyst firm Gartner actually sums it up best: the biggest risks with security lie not in the cloud itself, but how an enterprise itself handles the cloud.

When in Rome...

Postponing invoice processing in the cloud

Psychology teaches that conflicting options lead to postponement of choice. Psychology also teaches that people would rather not lose something they already have than be able to own something new. The bears on the road seem greater than the fruits that can be reaped, so many companies are reluctant to migrate to the cloud.

Cloud is actually a good option for applications that are not core to the business, such as an application for design of marketing material . The reasoning behind this is that cloud solutions for peripheral business applications means much less work for IT. So they benefit themselves. So too with applications for invoice processing and other purchase-to-pay software. Moreover, invoice processing software vendors continue to develop primarily or entirely in the cloud, while installed on-premise solutions are slowly being phased out.

...do as the Romans do

So what is the trade-off to be made? It is one of large numbers. As the adoption of innovations almost always happens. An innovation reaches a certain critical mass, on which more and more other technologies, processes and knowledge systems become dependent, so that the innovation represents a certain equilibrium. This piece of text, for example, I am typing with a so-called QWERTY keyboard. The QWERTY configuration of keys is not even the most efficient configuration, but step away from it. It is not recommended. It is much easier to stick with the QWERTY keyboard. When in Rome, do as the Romans do.

With business software, it is not much different. All indications suggest that with the growing importance of the Internet, in all facets of business and personal life, cloud solutions are rapidly taking over from on-premises solutions. Gartner states that by 2020, 92 percent of traffic will go through cloud. Cisco is more conservative, but points in the same direction.

Invoice processing in the cloud and customization

'But we are not Romans,' is often the retort. 'Our situation is different. We have special needs, but in cloud, customization is not possible.' This is only partly true. Tinkering with the engine yourself is out of the question, but in general, the cloud is distinguished by integration possibilities. An integration of a cloud solution for invoice processing with an ERP system - cloud or on-premise - is perfectly possible.