Multi-carrier shipping software
On-premises or in the cloud? Considerations for multi-carrier software
Many companies still rely on on-premises solutions for shipping. However, operating multi-carrier software in your own data center has considerable disadvantages – from significant modification requirements to rising costs. It's worth taking a look at the alternatives.
Challenges of on-premises operation
Many companies still run their multi-carrier software in their own data centers. This decision is often less technically motivated, but results from the general IT strategy – for example, because ERP systems such as SAP are also operated on-premises.
For ERP systems, this can be a practical solution under certain conditions. For example, on-premises solutions are considered particularly flexible when it comes to customization and individual configurations.
However, there are clear disadvantages when it comes to multi-carrier shipping software. The rate of change is particularly high here, as carriers and parcel services tend to regularly adapt their labels, data formats, or services. On-premises operation almost inevitably results in more modification work, increased expenses, and greater operational risks.
Some typical challenges:
- New label designs require adjustments to the print engine and renewed approvals by each carrier.
- Changes to EDI formats must be individually developed, tested, and integrated.
- New mandatory fields or data structures cause additional mapping and interface testing work.
- API changes entail development and regression tests as well as possible rollback scenarios.
- New carrier products increase the need for configuration, integration, and training.
Added to this are the well-known general limitations of on-premises software, such as hardware costs or limited scalability – factors that can be decisive in a dynamic environment.
Why it's worth considering cloud operation
When choosing new multi-carrier software, the operating model should be carefully examined and critically scrutinized – even if the general IT strategy is geared towards on-premises. With cloud solutions such as Carrier Cloud for SAP, changes can be implemented automatically, reliably, and centrally. Integration into SAP systems is quick and easy – regardless of whether they are operated on-premises, in a private or in a public cloud.