May 2019 - Tranquil

Choosing between an on-premise and cloud hosting model for your databases can be the key to success, so it’s important you make the right decision.

With data now at the heart of business’ operations, how you choose to store, process and manage this crucial asset has become one of the most important factors in a firm’s success.

Companies that struggle to take control of this will quickly find themselves falling behind, as they don’t have the insight they need to meet the expectations of today’s customers.

ALSO READ: Benefits of Public Cloud Computing

On-Premise vs Cloud Database

How you manage your databases is a key question.

In recent years, a growing number of businesses have looked to migrate these applications to the cloud.

The likes of Amazon Web Services, Microsoft Azure and Google Cloud SQL have all experienced huge growth, with Amazon alone seeing its cloud revenue increase by almost 50 percent in the second quarter of 2018.

But is this always the best solution?

On-premise tools may not be the most fashionable option for businesses today, but for some scenarios, they could provide a better option for your database hosting.

So how do you know which is right for you?

Here are a few of the key factors you need to consider and the pros and cons of on-premise and cloud hosting for each.

ALSO READ: Benefits Of Software As A Service

Cloud-Based Solutions are More Scalable

Perhaps one of the biggest advantages of a cloud-based solution is the ability to scale up and add resources quickly and easily to meet your evolving needs.

Cloud providers will be able to furnish organizations with all the tools they require to cope with the growing volume and variety of data that businesses now gather, whereas on-premise solutions may need to undergo a lengthy procurement process to secure the same capabilities.

This could be highly useful if you’re expecting rapid growth, opening up new business units or expanding to new territories.

However, it can also be valuable for firms in industries such as retail that see significant seasonal variations in activity, as in addition to scaling up on-demand, you can also scale back down again just as quickly.

Consider Cost of Ownership as Well as Expenses

In the past, the potential for cost-savings was often listed as one of the strongest drivers of cloud services.

But with many businesses now having greater understanding and experience of the cloud environment, there’s now a recognition that the picture is more complex than previously assumed.

While cloud does have the potential to be cheaper, you need to consider total costs of ownership rather than comparing it to the upfront expenses associated with on-premise.

However, even if the costs turn out to be broadly similar overall, companies may be able to benefit from the cloud-based model, where they only have to deal with a single, ongoing operational expense.

ALSO READ: What is Hybrid ERP System?

Where is Your Data Most Secure?

The question of which model is more secure is still hotly debated, particularly when it comes to public cloud options that don’t offer the same level of control as private or on-premise tools.

While there have yet to be any reports of large-scale breaches that have been attributed to cloud providers, it’s still a concern for many people.

Indeed, 86 percent of organizations cite the fear of data breaches as their biggest worry about the cloud.

Cloud providers do, however, aim to mitigate these concerns by offering the highest levels of security protection – something which may not be within the financial means of many companies looking to build on-premise solutions.

So, if you have a limited IT budget to devote to this, the economies of scale that cloud provides can be very useful.

On the other hand, some more-heavily regulated industries may have more security reservations about using the cloud.

Healthcare and financial services organizations, for instance, may decide the greater control offered by on-premise is too important to discount.

ALSO READ: What Is Cloud Data Protection?

The Necessity of Database Speed and Reliability

For many firms, a key point in favor of on-premise tools will be the fact that their data will always be right there, in the building, whenever they need it.

This means they are fully responsible for their own infrastructure and, as such, don’t have to worry about any issues with latency or lag, or any speed limitations that are caused by their internet connectivity.

These considerations will be especially important for real-time data processing.

ALSO READ: How Do ERP and Cloud Computing Differ?

All good cloud providers will offer a solid uptime guarantee – usually somewhere in the region of 99.9 percent availability – and firms will be entitled to compensation if these promises are not kept.

But this still leaves cloud firms with a little leeway for downtime that could be unacceptable for firms where constant availability is a top priority, and any financial reparations may not make up for the impact of lost opportunities as the result of failures to access data.

Are you confused about how Tranquil software can help your company? Do schedule a demo with us to learn how! Our representatives will walk you through the software and answer all your queries.

Cloud computing essentially means storing and accessing your data and applications over the internet instead of on your own computer or server.

The cloud is not new but is fast becoming the new norm for all businesses and government bodies.

For modern organisations involved in the construction and maintenance industries, or any organisation with a mobile workforce, ensuring their people have access to data and critical business systems wherever they are helps to ensure you are more competitive and your people more productive.

ALSO READ: How Do ERP and Cloud Computing Differ?

Important Benefits of Public Cloud Computing

1. Reduced IT Costs

Cloud computing cuts out the high cost of on-site hardware.

Using infrastructure in the cloud means you do not need to buy new servers every 3 years and you don’t need to worry about maintaining them as they break, or scaling as your organisation grows.

Additionally, the subscription-based payment model that is inherent with cloud computing allows you to “pay-as-you-go” which improves your cash flow.

2. Improved Disaster Recovery

Disaster recovery involves policies, tools and procedures to allow the recovery or continuation of your IT systems following a natural or human-induced disaster.

All organisations, large and small, should invest in rock-solid disaster recovery.

Cloud computing helps organisations implement the necessary DR for their business as it is designed from the outset with specific DR requirements in place.

DR processes and tools can include automated backups, replication at off-site data centres, as well as automated processes which are regularly tested in order to recover your data quickly in the event of a failure/disaster.

ALSO READ: Some Interesting facts about the CLOUD ERP Solutions

3. Scalability and Flexibility

Gartner’s survey on CIOs and IT managers revealed that operational agility was a top driver for taking on the cloud.

Operational agility here means that your business can easily scale up or down as the demand for your cloud applications/resources increases or decreases.

This ability to be flexible and scale at ease gives the modern business a competitive advantage, as well as removing the lead time and IT headache involved when doing this with internal resources.

4. Work from Anywhere

Cloud computing allows you to work from anywhere as long as you have an internet connection.

Today, people are more mobile in their jobs and may work from home or even have long commutes.

Also some workers, like project managers in construction companies, spend a large part of their day on the road and on-site.

Cloud computing helps ensure that people today are much more productive when away from the office by giving them ready access to the tools and data they need to help contribute to the effectiveness of the organisation.

ALSO READ: On-Premise or Cloud Database Hosting

5. Automatic Application Upgrades

With cloud computing, servers are all off-site in secure data centres.

As vendors, we take care of these for you and roll out regular software application updates, including security patches, so you don’t have to worry about this.

This saves customers time and you can rest assured you are using the latest application versions with the latest security measures in place.

ALSO READ: Benefits of Blockchain in Cloud Computing

6. Effective Data Security

Information security is the new competitive advantage!

Protecting your company’s intellectual property is a fundamental and critical business practice all organisations must invest in.

Cloud computing generally offers higher security protocols and measures than most organisations can implement themselves, especially small to medium ones who do not have the capacity to implement the required measures.

Cloud computing vendors take care of data backups, restoration, applying security patches, maintaining servers, and have well tested disaster recovery in place.

By using cloud applications you also minimise the risk of employees taking data with them when they leave, or by losing data on a lost or stolen laptop.

ALSO READ: What Is Cloud Data Protection?

7. Faster Implementation

Cloud computing by its nature means that the software is installed and the IT infrastructure is ready to be used by new customers.

Removing the IT setup time reduces the need for companies to engage their own IT Administrator or subcontractor.

This not only saves on costs but also allows new customers to start gaining the benefits of the cloud application much faster and allows you to get on with running your business.