On-Demand vs. On-Premise IT Asset Management: Which Is Better?
As discussed in our making the business case for IT Asset Management white paper, an ITAM solution can deliver significant value, no matter which deployment approach is selected. However, even greater advantages can be achieved through the implementation of an on-demand ITAM solution:
An on-premise ITAM solution can be quite costly, requiring a large upfront investment in software licenses, as well as the purchase of servers to support the application. On-demand ITAM is far more economical. No upfront investment in perpetual software licenses and servers is required, and clients pay only an affordable subscription fee based on system usage.
Accelerated Implementation and Rollout
Too often, companies waste significant amounts of money purchasing software that is never utilized. Why? Because the tasks associated with implementation—such as allocating licenses, installing the software on user desktops, and testing the servers—are too time-consuming, and are often pushed side when other priorities arise.
With on-demand ITAM, all needed components are already “up and running”, dramatically reducing the implementation time and costs. Training required for most on-demand ITAM solutions is also minimal, so users can begin enjoying the benefits of their new application almost immediately.
An on-site ITAM solution can put further strain on already overworked IT resources, adding yet another application for them to oversee. On-demand ITAM eliminates these hassles, because the service provider is responsible for all monitoring, administration, upgrades, and other related tasks.
The risk of project failure with on-premise deployment is high. IT projects are often notorious for going over schedule and over budget, leaving senior executives to question the necessity of the initiative and the value it will deliver. According to Robert Lewis, president and founder of IT Catalysts, IT project failure rates average close to seventy percent. With hassle-free deployment and a simple “pay as you go” model, subscription-based ITAM software significantly minimizes the risk of project failure.
On-premise solutions require IT staff to devote a tremendous amount of time to keeping systems available and accessible at all times. Additionally, there are often variables outside the control of IT teams, such as power failures, that may impact system performance. On-demand solutions already have the appropriate mechanisms in place to minimize such impacts—including redundant servers and backup power sources—enabling SaaS providers to offer service level agreements that guarantee performance and uptime.