It’s an age-old question – cloud-based or on-premise software? Well, perhaps not. Still, more and more manufacturing organizations are weighing the benefits and drawbacks of using cloud-based vs. on-premise software in their production processes.
The decision to use on-premise or cloud-based software is going to be personal for each individual organization. In this article, we’ll discuss the pros and cons of on-premise and cloud-based software to provide you with the information you need to consider before your next manufacturing software purchase.
What’s the Difference Between Cloud vs. On-Premise Software?
Cloud and on-premise manufacturing software refer to the environment where the software network is managed and hosted. As the name suggests, on-premise software is typically managed on local servers and built on an organization's existing devices and IT infrastructure.
Cloud-based software, on the other hand, is hosted on an external web hosting platform and is typically managed by a third-party vendor. Unlike on-premise hosting, cloud-based software can be accessed from any device or location as long as users log in with approved credentials.
Does Cloud vs. On-Premise Matter in Manufacturing Software?
The simple answer is: it can! Although there are several factors to consider when selecting cloud vs. on-premise software, the choice will primarily depend on the size of the company and its IT resources – as well as the level of security necessary to manage and perform manufacturing processes.
For organizations with stringent security protocols, on-premise is worth the additional investment and maintenance. However, for small and mid-sized companies, cloud-based or dedicated cloud servers provide ample security and scalability at a fraction of the cost.
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