On-premise software: Is it worth it?

Software Modernisation

Published: 06.12.2023

On-premise software is a term you'll come across quickly when managing the IT part of your company. For some companies, on-premise software is worth investing in, but this is not always the case. Therefore, we briefly explain what on-premise software is and whether it is worthwhile.

What is on-premise software?

To understand what on-premise software is, we first need to translate this into Dutch. On-premise means on location in Dutch. This means that the software is installed on site.

Nowadays, many companies work through the cloud. A cloud is an external server that can be accessed remotely. When working with a cloud, you put software on it that the company can use.

Some companies see this as not secure enough. If you see it this way, an on-premise server is the best option you have. This is a server that stores all the software and data of your company on-site.

Specific software that your company uses can be placed on this server; on-premise software. It can be very secure to work with, but setting up and maintaining it can still be challenging.

Is on-premise software worth it?

Whether on-premise software is worth it depends on various factors. In total, there are five factors you need to consider before using it:

1. Costs: The first thing to consider is the costs. In addition to the costs you pay for the software itself, you also need to consider the costs of installation and maintenance. There are often costs for hardware as well.

2. Control: You need to have a certain control over your software. You should have access to all data and be able to make adjustments to the system. Control over backups and recovery is also crucial.

3. Availability: The software must be available when you want to use it. In most cases, this means that the software must work 24/7.

4. Flexibility: The software must fit your current way of working, but also your future way of working. The software must be flexible enough to implement new solutions.

5. Compatibility: Finally, the software must be usable in combination with other software and the hardware you use. If all these factors do not pose problems, on-premise software offers a pleasant working environment for many companies.

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