If you have been planning to choose an enterprise resource planning system, one of the crucial questions must be haunting you that whether you should go for ERP cloud hosting or go with the on-premise data hosting. There is no doubt that the cloud based ERP has gained immense popularity in recent past, but the on-premise ERP has its own advantages. So, before taking the decision, it is important you learn what the differences between the two types of hosting are and at the same time analyze your business needs and expectations.
Many small and middle-sized businesses have opted for ERP cloud, but there are many reasons why you should choose the Syntax ERP data hosting. Here are some advantages and disadvantages mentioned for both the hosting systems to help you take the decision that is best for your organization.
The biggest difference between ERP cloud hosting and on-premise ERP hosting is their deployment. A cloud based software is hosted on the vendor’s server and can be accessed through a web browser whereas the on-premise software will be installed on the company’s own computers and servers.
Although there are many factors that decide the pricing of the two solutions, in general, the cloud software is charged monthly or annually and perhaps with some recurring expenses for support, training and updates. On the other hand, on-premise ERP system is considered as capital expenditure. This means it is possible that you will have to invest a large amount, but that would be a one-time investment. Many organizations get carried away by the low entry cost of the ERP cloud hosting and keep paying additional overhead cost throughout.
When it comes to security of data, it is completely in hands of the vendor if you choose cloud ERP whereas with the on-premise ERP system the data security is in the hands of the organization.
With ERP cloud server you get less customization, but the vendor updates continuously and offers greater stability also. Organizations often work with vendors to make appropriate changes also. However, with on-premise ERP applications you have greater ability to customize.
- Implementation process
The implementation process of ERP cloud hosting takes comparatively less time while with on-premise ERP solution the organizations have more control over the execution process.
Often organizations, regardless of the size, are more concerned about the security of data when deciding to buy the ERP system. Buyers were suspicious of the security of the cloud based ERP system, but nowadays they have become less skeptical. The reason is that reputed vendors have strict standards and they make sure that your data is secured completely.
You can achieve greater business agility with ERP cloud oracle jd Edwards because it gives you choice and control. However, when it comes to features, most of them are same whether you go for cloud based ERP or on-premise one. Moreover, the ERP cloud hosting enables easy mobile accessibility and some of them even provide native apps. So, determine your needs and select from the list of vendors who can fulfill your requirements.