On-Premise definition: what's it for and why use it?

The term "on-premise" refers to the use of the company's own servers and IT environment on site.

The term " On-Premise", also known as "on-premise", refers to a software usage model in which the customer runs the software on its own servers and IT infrastructure. Unlike cloud-based solutions, where software is hosted and managed by a third-party provider and accessed via the Internet, the On-Premise model involves installing and running the software on the company's physical servers.

In this usage model, the customer buys or rents software installed on a server, which in turn is installed on the customer's own hardware, meaning that the customer operates the software " in-house". This approach gives customers optimum control over their data, as well as a direct, personal understanding of the associated risks.

On-Premise solutions are often preferred by companies with specific requirements in terms of security, data confidentiality or regulatory compliance, as they offer total control over the entire system. However, this approach generally requires greater initial investment in equipment and maintenance, as well as in-house expertise to manage the systems.

Example: A large pharmaceutical company may choose to use an On-Premise human resources management solution to guarantee the confidentiality of sensitive employee data.

What are the advantages of On-Premise hosting? 

  • Secure data : Data is hosted on the user's own servers, ensuring a high level of security.
  • Lower long-term costs : Server maintenance and monitoring are handled in-house, which can reduce overall costs.
  • Better accessibility: Internally stored data can be accessed quickly, with no delays due to Internet connection speed.
  • Ease of customization: The user has total control over backup management and data usage, enabling in-depth customization.

What are the disadvantages of on-site hosting?

  • High initial costs: Installing and configuring an On-Premise solution requires substantial initial investment in hardware and software infrastructure.
  • Maintenance responsibility: With an On-Premise solution, the company is responsible for ongoing hardware and software maintenance, which can lead to additional costs and workload.
  • Management complexity: Managing an in-house IT infrastructure can be complex, requiring specialized technical skills to keep it running smoothly.
  • Limited scalability: On-Premise solutions can be less flexible in terms of scaling to meet growing business needs, as they are dependent on existing hardware resources.
  • Security risks: Data security depends on the company's internal infrastructure, which can present risks in the event of a security breach or data violation.
  • Dependence on internal resources: The company must have qualified personnel to manage and maintain the On-Premise infrastructure, which can be a constraint in terms of human and financial resources.

SaaS vs On Premise

When it comes to choosing between a SaaS (Software as a Service) and an On-Premise solution, there are several factors to consider to determine which is best for your business.

The SaaS model offers a more modern and flexible approach, where software is hosted on remote servers and accessed via the Internet for a subscription fee. This approach enables rapid implementation, automatic updates and increased accessibility, while avoiding the initial costs associated with acquiring and maintaining hardware infrastructure.

By contrast, the On-Premise model involves installing and running the software on in-house servers. While this can offer total control over data and processes, it also requires higher initial investments and an additional workload for maintenance and updates.

In our case, Quable offers you a PIM SaaS solution, which means that our software is hosted on secure servers and accessible via the Internet. This means you benefit from rapid implementation, optimum accessibility and regular updates to guarantee performance and data security.