Business software comes in two main models today: SaaS (software as a service), cloud software used in the browser or an app on a monthly or annual subscription, and on-premise software installed on the company's own or a rented server.
Advantages of SaaS
- No servers, backups or updates to worry about; the provider manages them.
- Accessible anywhere with internet, ideal for branches and remote work.
- Low initial cost that scales with users.
- New features arrive automatically.
Watch out for: long-term subscription cost, the country where data is stored, how you get your data back when the contract ends, and how the system behaves during internet outages.
Advantages of on-premise
- Data stays fully under your control.
- Heavy customisation and local hardware integration are more flexible.
- Can work independently of the internet connection.
- Can be cheaper in the long run when user numbers are stable.
Watch out for: servers, licences, backup, security and updates are your responsibility, which requires IT staff or a managed service.
7 criteria for comparison
- Total cost of ownership (5 years): Licences, hardware, maintenance, staff and energy.
- Security: The provider's certifications versus your own security maturity.
- Data location and regulation: Where data is stored with regard to data protection and industry rules.
- Access needs: Branches, field teams and remote work.
- Customisation and integration: API support and flexibility.
- Continuity: What happens during internet or provider outages.
- Exit strategy: Whether data can be exported in a standard format.
The hybrid approach
For many businesses, hybrid works best: email, file sharing and CRM in the cloud; production, tills or hardware-bound systems on site or in cloud solutions with local caching. What matters is connecting the systems securely.
As part of IT consulting, ujans analyses cost, risk and needs to define the right model for your business and plans the migration.