Even in a business world trending toward cloud computing, on-premises ERP is the best-fit solution for many organisations. On-premise systems enable IT teams to modify, tailor, and supplement key software features to cater to niche or high-stakes business activities. Plus, for organisations in highly regulated industries, on-premise may be the only option that guarantees data storage compliance.
Let’s explore on-premise ERP solutions, their benefits, and their drawbacks in more detail.
What do we mean by on-premise ERP?
If you decide on an on-premise enterprise resource planning (ERP) system, you access ERP software in-house and store hardware on-site. Your team is responsible for deploying the software, maintaining hardware, and installing updates, upgrades, and security patches as they are released. An experienced ERP provider like Precise will support your business to carefully plan and execute an implementation strategy, and help you unlock the full potential of what your ERP solution can do for your business post-implementation.
You can make changes according to your needs. Epicor’s ERP Kinetic services can be set up on Microsoft servers on-premise, allowing the highest level of flexibility and control. However, maintenance is up to you, and if the asset breaks, you are responsible for fixing it.
When you lease an asset, you gain access to the latest product with minimal upfront expenditure, and you don’t have to worry about upkeep. However, some aspects of that asset are out of your control.
Why is an on-premise ERP solution still the preferred option for many businesses?
For many businesses, the benefits of on-premise ERP outweigh the drawbacks. Here are some of the reasons why:
Internal IT infrastructure
How do I know if an on-premise ERP solution is the best option for me?
On-premise is the traditional model of software deployment, but that doesn’t mean it can’t carry your business toward future growth and success. The first step in determining whether an on-premise ERP is suitable for your business is weighing the pros and cons:
Pros of an on-premise ERP solution:
- Greater control of the cost of implementation and management.
- Non-tenanted system, which means it can only be accessed by known authorised personnel and not a cloud provider, possibly enhancing security.
- Full authority over the system’s configuration, including both software and hardware components, allowing for customisations, changes, upgrades, integrations, and other tweaks.
- No reliance on the internet to access data and insights, ensuring teams can remain productive whatever the conditions.
Cons of an on-premise ERP solution:
- Required infrastructure demands a significant capital investment upfront.
- System maintenance is the sole responsibility of the organisation, including updates, security, and patch management – failing to keep on top of updates can introduce security vulnerabilities that put the business at risk of a breach.
- Implementation may take longer, as all hardware must be procured and installed before the software deployment can begin.
- Inability to adapt and scale rapidly for businesses in a growth phase or operating in a fast-paced environment.
If you decide on-premise is the right deployment choice, Epicor and Precise can deliver a high-powered solution. We work closely with your team to facilitate a streamlined implementation that fits your requirements, timeframe, and budget.
To find out more about this process and learn how an on-premise ERP solution can transform your organisation for the better, schedule a discovery call with one of our dedicated ERP specialists today.
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