What are the Benefits of a Cloud SaaS Subscription vs . On-Premise Deployment ?
Choosing between on-premise vs cloud is a delicate process that includes a variety of factors. As organizations look to cut expenses, more data and procedures are shifting to the cloud.
Traditional on-premise systems lack the flexibility, scalability, and speed that the cloud provides. However, on-premise could be useful in some aspects. Here at Evolving, we have put together a detailed review of some key differences between on-premise vs cloud.
1. What is SaaS?
Software as a Service (SaaS) is a way of delivering applications over the Internet—as a service. Instead of installing and maintaining software, you simply access it via the Internet, freeing yourself from complex software and hardware management.
SaaS applications are sometimes called Web-based software, on-demand software, or hosted software. Whatever the name, SaaS applications run on a SaaS provider’s servers. The provider manages access to the application, including security, availability, and performance.
2. SaaS vs On Premise Software – What’s the Difference?
As outlined above, there are a number of fundamental differences between an on-premises and a cloud environment. Which path is the correct one for you depends entirely on your needs and what it is you’re looking for in a solution.
SaaS applications are sometimes called Web-based software, on-demand software, or hosted software. Whatever the name, SaaS applications run on a SaaS provider’s servers. The provider manages access to the application, including security, availability, and performance.
Deployment
On-Premises: In an on-premises environment, resources are deployed in-house and within an enterprise’s IT infrastructure. An enterprise is responsible for maintaining the solution and all its related processes.
Cloud: While there are different forms of cloud computing (such as public cloud, private cloud, and a hybrid cloud), in a public cloud computing environment, resources are hosted on the premises of the service provider but enterprises are able to access those resources and use as much as they want at any given time.
Cost
On-Premises: For enterprises that deploy software on premise, they are responsible for the ongoing costs of the server hardware, power consumption, and space.
Cloud: Enterprises that elect to use a cloud computing model only need to pay for the resources that they use, with none of the maintenance and upkeep costs, and the price adjusts up or down depending on how much is consumed.
Control
On-Premises: In an on-premises environment, enterprises retain all their data and are fully in control of what happens to it, for better or worse. Companies in highly regulated industries with extra privacy concerns are more likely to hesitate to leap into the cloud before others because of this reason.
Cloud: In a cloud computing environment, while the data resides on the cloud infrastructure, the data ownership still belongs to the client. As the access to the data is thru the internet, so if the unexpected happens and there is downtime, you maybe be unable to access that data.
3. The Benefits of SaaS
Increased efficiency and cost effectiveness are the reasons many businesses give for turning to cloud-based SaaS solutions.
The advantages include:
- Low setup and infrastructure costs
- You just pay for what you need with no capital expenditure that needs to be depreciated on your balance sheet over time.
- Accessible from anywhere
- Just connect to the internet and you can work from wherever you need to be via desktop, laptop, tablet or mobile or other networked device.
- Scalability
- You can adapt your requirements to the number of people who need to use the system, the volume of data and the functionality required as your business grows.
- Industry leading service level agreements (SLAS) for uptime and performance
- So you have assurances that the software will be available to use when you need it – a difficult promise for in-house teams to make.
- Automatic, frequent updates
- Providers offer timely improvements thanks to their scale and because they receive feedback about what their customers need. This frees up your IT department for other more business-critical tasks.
- Security at the highest level required by any customer
- Because of the shared nature of the service, all users benefit from the security level that’s been set up for those with the highest need.