Cloud vs On-Premises: Which SAP Business One deployment is right for your business?
An ERP (Enterprise Resource Planning) software can be revolutionary for your business's operations. They manage and automate a business’s core processes, including finances, sales, production, inventory, customer service, and project management, to name a few.
SAP Business One software is currently considered one of the best ERPs in the SME market, as it is able to streamline your operations and be customizable for your business needs. It can be implemented in two forms: on-premise or cloud deployment. At Phoenix Business Consulting, one of our goals is to help small to medium-sized businesses grow and adapt to their changing marketplace? through the use of ERP, specifically SAP Business One.
Let’s discuss which deployment of SAP Business One is better for your company: on-premise or cloud deployment.
SAP Business One Cloud Software Benefits
1. Accessibility
If SAP Business One is deployed for your business in the cloud, it can be accessed from anywhere in the world. This means it enables remote access to the ERP software, so depending on how your team is set up, this feature may be extremely beneficial for you and your operations.
2. Cost-effective
As SAP Business One would be deployed in the cloud, no on premise infrastructure would be required for it to be installed and used. It would therefore be less expensive to install, as you would only pay for the software subscription for the number of users required. You will realise a higher and sooner return on investment, which is always a concern of a small to medium-sized business.
3. Upgrades
SAP Business One cloud can be upgraded automatically whenever any changes are made, and therefore can be managed much more effectively compared to on-premise SAP Business One.
4. Scalability
SAP Business One can be changed as your business changes. The ERP software can be scaled up and down to suit the needs of your operations and how the market of your industry changes, which can be so beneficial for a small to medium-sized business as it grows.
SAP Business One Cloud Software Drawbacks
1. Internet access
As it would be deployed in the cloud, without a stable internet connection, SAP Business One will not be able to work for your business. Even though it can be accessed remotely, without the internet, it cannot be accessed at all.
2. Security
SAP Business One is only as secure as your cloud service provider. If it isn’t secure, then having ERP cloud deployment may not be the best implementation for your business as it could put sensitive information at risk if your cloud service provider has a data security breach.
3. Customization
While SAP Business One can be customized if necessary, the cloud deployment has limitations regarding customizations.?
SAP Business One On-Premise Software Benefits
1. Security
On-premise SAP Business One allows for full customization of the software, including full security. This can be more beneficial if your operation deals with sensitive information as you won’t be reliant on how secure your cloud service provider is.
2. Internet
As SAP Business One will be fully on-site in the on-premise deployment of the ERP platform, no internet connection is required to use it. The solution is therefore always accessible.
3. Customization
If your small to medium-sized business is more unique, perhaps SAP Business One on-premise deployment is for you. An on-site ERP solution is able to be customized completely, thus allowing you far more control and management over how it works for you and your business.
SAP Business One On-Premise Software Drawbacks
1. Cost
Compared to SAP Business One cloud deployment, the on-premise software also requires hardware and infrastructure. Depending on the profitability of your small to medium-sized business and how much you have to invest in an ERP solution, this can be a more costly solution for streamlining your operations.? Although when comparing to recurring subscription pricing it may be a more cost effective choice long term.?
2. Maintenance
As the SAP Business One is on-premise, the company will have to manually maintain the ERP software, including upgrades. This can make it even more costly in the long run.
The Bottom Line
SAP Business One is one of the best ERP solutions to help streamline and manage your operations, but there are benefits and advantages to both cloud and on-premise deployments of the ERP software. Before implementing, you need to consider:
Whichever you decide, SAP Business One will be extremely beneficial for your team and business.
?Contact Phoenix Business Consulting today to learn about which solution is best for you, and to receive an implementation quote.