An in-depth look into on-prem and cloud solutions for enterprise IT infrastructure, and practical considerations for content management.
Having a robust IT infrastructure is the backbone of success for many modern enterprises. However, some are still reliant on tried-and-tested on-premise (on-prem) legacy systems, while most have opted for or are considering cloud deployment.
But not every application is a good candidate for the cloud, and not every on-prem structure needs an upgrade.
To help you make an informed decision on which setup is the best-fit solution for your enterprise, we’ve prepared a comprehensive guide that dives deep into what on-prem and cloud-based solutions are, as well as their key differences, strengths and risks.
On-prem and cloud are two distinct methods of deploying and managing IT architecture, with the fundamental difference being where the servers reside.
On-prem computing involves hosting, deploying and maintaining all relevant IT software and hardware within the physical premises of an organization. As everything is stored locally, it enables enterprises to have total ownership over the management, security and maintenance of their IT resources.
It is why many legacy systems and traditional data centers still rely on on-prem servers, as most were built to handle custom hardware or specific business requirements.
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Cloud computing differs in one critical aspect — it outsources the IT infrastructure to a third-party provider instead. Cloud software is accessible over the internet and is hosted in remote data servers around the globe.
Cloud deployment is becoming an increasingly popular option for businesses looking for a cost-effective, scalable way to manage their data, as it offloads the burden of IT maintenance and upgrades to the provider. There’s also a range of cloud types available in the market, such as public, private and hybrid models, to cater to various business needs.
Although there is some common ground between how on-prem and cloud architecture operates, there are several key differences:
| Feature | On-prem | Cloud |
| Location | All servers, hardware and software are physically available on-site. | Hosted remotely by a third-party service provider across global data centers. |
| Control | Complete control over all IT infrastructure. | Controlled by the service provider. |
| Cost | Higher upfront costs for installation, hardware and maintenance. | Lower upfront costs, as cloud providers charge a subscription cost with a pay-as-you-go approach. |
| Scalability | Limited scalability, highly dependent on computing power and physical storage capacity. | Highly scalable, with resources being able to scale up or down based on demand. |
| Security | Direct control over security measures. | Data security is managed by the provider, and users are reliant on their protocols and security policies. |
| Maintenance | Requires an in-house IT team or specialized staff to handle server maintenance. | All maintenance and upgrades are done by the provider. |
Below, Hyland CEO Jitesh S. Ghai and Alan Pelz-Sharpe, founder and principal analyst at Deep Analysis, discuss the power in embracing data fragmentation as a central tenet of modern enterprise data strategies. In particular, they tackle the concept of a singular repository or cloud and instead highlight the significance of meeting data where it resides, whether in a legacy system, hybrid cloud environments or multicloud architectures.
Whether you’re evaluating a data hosting model for the first time or debating on making the switch to the cloud, it’s best to first understand the advantages and disadvantages of both infrastructure types before making a decision.
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Although legacy on-prem systems have their strengths, Gartner predicts cloud computing will shift from being a tech disruptor to a business necessity by 2028, with more than 50% of enterprises leveraging the cloud to accelerate their initiatives.
This is especially pertinent for organizations looking to better leverage their content to drive more strategic business value. Shifting to a cloud-based content solutions model can enable organizations to harness their content more effectively to deliver more impactful business outcomes, such as accelerating innovation and improving customer experiences.
Aside from providing content in context, adopting a cloud-based content platform allows organizations to reap the advantages of rapid solution deployment and ongoing platform innovation.
Look for providers with a purpose-built cloud architecture for content solution applications, such as the Hyland Cloud.
The Hyland Cloud is a secure, scalable solution that integrates data, processes and content to enable seamless content and process management and ubiquitous access to critical information anytime, anywhere from any device.
Users can leverage Hyland Cloud’s industry-leading platform capabilities to deliver and deploy tailored business solutions.
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Here are five reasons why you should consider a cloud-based intelligent content solution like the Hyland Cloud:
In a time when businesses are looking to enhance their organizational agility and resilience, the scalable and flexible nature of cloud-based content solutions ensures that organizations can respond to market changes rapidly and effectively.
With the Hyland Cloud’s scalable infrastructure, businesses can easily expand or reduce resources to accommodate their content needs without being limited by physical storage restraints.
Moving to the cloud cuts the costs associated with on-site infrastructure maintenance, reducing the overall operational expenditure needed just to store documents.
The Hyland Cloud uses a flexible, subscription-based model that allows companies to operate within a more predictable budget for more strategic financial or cash flow predictions.
The seismic shift to remote and hybrid working models has surfaced a need to support more agile ways of working. Adopting a cloud-based intelligent content solution like the Hyland Cloud empowers employees to collaborate in real time while transcending geographical boundaries.
With all content stored in the cloud repository, access to information is streamlined, and cloud-based workflows boost employee productivity with robust content management and automated file routing capabilities.
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Adopting a cloud-based content solution is paramount for effective disaster recovery. Cloud services have robust infrastructure in place to ensure business continuity in the event of any server outages, such as content backup and multisite deployment.
These protections reduce downtime and minimize disruption to operations, allowing businesses to quickly recover and ensure mission-critical data is secured.
For multinational enterprises or organizations with a globally dispersed user base, managing content in the cloud ensures relevant information can be easily retrieved and managed from anywhere in the world, at any time.
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In this video, you will discover the top five reasons why you should start making cloud migration a priority today instead of kicking that can down the road. See all of the advantages that being ahead of the curve can get you.
Improved decision making
Increased productivity
Continued revenue growth
Baptist Health, a full-spectrum healthcare provider spanning 23,000 employees across nine hospitals, significantly enhanced operations by making the switch from an on-prem deployment to the Hyland Cloud.
The move was motivated by a pressing need to drive innovation, improve patient experiences and reduce cyberattack risks. Key to the transition was the integration of two enterprise-wide bots, which automated processes throughout the enterprise and slashed operational costs.
This shift to the cloud not only reduced the administrative workload on staff but also enabled them to prioritize more strategic initiatives.
The Hyland Cloud is a secure, scalable solution that integrates data, processes and content to enable seamless content and process management and ubiquitous access to critical information anytime, anywhere from any device.
Watch the story of Baptist Health’s successful cloud migration to learn more about how moving to the cloud helped modernize its business:
Migrating to the cloud is a significant move for any business, and a smooth and efficient transition is contingent on extensive planning and a detailed migration strategy.
If you’re looking to migrate your content or business solutions to the Hyland Cloud, here is a snapshot of the migration process:
Before launching your cloud migration, perform a content inventory to review what moves to the cloud, what stays behind and why. Use this opportunity to identify any redundant or obsolete documents before disposing of them according to legal and compliance requirements.
With the Hyland Cloud’s scalable infrastructure, businesses can easily expand or reduce resources to accommodate their content needs without being limited by physical storage restraints.
Once you’ve identified which content will be moved to the cloud, send it to your cloud provider so they can begin setting it up in its new home on the cloud.
Begin with a pilot test of smaller, less mission-critical applications or data. Remember to track changes and ensure that all necessary changes are applied before they go live.
Once testing is complete, it’s time to go live. Hyland will schedule a “go live” date that is most convenient for you to minimize operational disruptions and downtime.
Before the final migration, stop all on-premises solution work to enable a clean cutover from on-prem to the cloud.
Put the solution through one last round of testing to check that everything is functioning as intended before going live.
Your solution is live, and your organization is now ready to reap the benefits of your Hyland Cloud-hosted solution!
— Forrester Consulting, Transforming Processes and Experiences with Content, Automation and AI, 2024
Deciding between on-prem or cloud-enabled solutions requires a careful evaluation of your business goals and objectives. While on-prem setups offer control and customization, the cloud is synonymous with agility, cost-effectiveness, and innovation — the latter of which is critical for businesses to remain competitive in today’s dynamic digital landscape.
In the context of content solutions, forward-thinking industry leaders are acknowledging the merits of cloud-first content management strategies and the role they play in enabling more efficient ways to work and innovate.
Ultimately, the right choice is one that aligns best with your specific business needs and allows your enterprise to flourish today and into the future.
With the cloud, your knowledge workers have the information they need, and your IT resources have the time to focus on moving your business forward.
IT leaders must address outdated legacy applications, disparate systems and other challenges to modernize business operations.
Cloud security is top of mind for most organizations leveraging cloud computing. The concept is simple, but the execution is complex and everchanging. Most importantly, the risks/rewards can be immense and long-lasting.
