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There are a number of potential advantages to ERP through SaaS, including lower cost and quicker implementation. On the other hand, you have to accept that it means your jealously guarded data is not held close to your vest within your own data center. All that stuff will be on a third party server, so you better be damn sure that the third party takes security seriously. If you can be confident that the ERP vendor has equal or superior security practices to your own, then it potentially offers a lot of benefits.