If you’re wondering whether your company’s ERP solution has fallen behind the competitive curve, here’s your answer: More than likely, yes.

Current market research shows that over half of companies’ primary ERPs are at least 5 years old, a precariously long time for fast moving markets. As a result, more than 60% of businesses with at least one ERP solution still mostly rely on legacy on-premises systems.

The reality is that on-premises models are facing an increasingly uncertain future, and forward-thinking companies are behaving accordingly. Faced with an aging on-premise infrastructure, most companies with legacy ERP systems are turning to the cloud as the only viable option. Cloud ERPs have become the new normal.

ERPs are the lifeblood of most major businesses. Good platforms track everything from inventory to monthly close, which is why replacing or upgrading them should be approached with the appropriate amount of respect. When the stakes are high, being proactive is the smart approach.