How Cloud ERP System Better than On-premise (Standalone) ERP System?


16, November 2021

Owing to the rising digitization in the education sector and implementation of NEP 2020, various institutes are moving towards adopting ways of integrating technology in education. Several institutes have been deploying the Education ERP software to manage everyday activities, handle student data, conduct online exams, and other tasks.

Choosing the right education ERP is a task for the institutes that are newly learning about the software and how it holds the capability of smoothening the operations of the institutes.

There are various types of systems available which have different features, benefits, and user interfaces. Some of the vendors offer cloud-based systems whereas the others offer on-premise solutions to the users.

Difference Between Cloud-ERP System and On-Premise ERP

The major difference between the cloud ERP system and the on-premise solution is that the on-premise solution is locally installed on the institute’s server and hardware. It is managed by the IT staff that works in the institute. Whereas, the cloud ERP software, also known as SaaS (Software as a Service) is offered as a service to the users.

In the cloud system, the institute’s software and data are stored and managed on a central platform on the internet, called the ‘cloud’. It can be accessed by the users using a web browser on the internet.

For institutes, carrying out multiple operations and holding large amounts of data, a cloud server is known to be the better choice as compared to the on-premise system. Here are a few reasons for that -

Cloud erp

1. Lower in Cost

The on-premise ERP systems cost large investments the upfront for the purchase, management, and maintenance of the system. Further, the maintenance, handling, and repair of the system require a dedicated IT staff in the institutes, which constitutes an additional cost. Making use of cloud software for the ERP solutions reduces the institute’s cost by a significant amount.

For a cloud ERP solution, the initial investment is significantly low as compared to the on-premise system. It simply requires subscription fees and an internet connection. It can be accessed using a web browser.

The cloud server hosts the entire software infrastructure of the institute. It makes sure that the system is running smoothly without causing any disturbances to the users.

The cloud ERP software offers a pay-as-you-go subscription model in which the user has to pay only for the number of days, weeks, or years he or she wishes to use it. This helps the institutes in planning the finances and maintains the cash flow required in the institute.

2. System Upgrades

Many times, institutes upgrade themselves by adding courses or by increasing the number of students for a course in an institute. These additions require the software to increase the capacity of holding and managing a larger amount of student data. Hence, the system needs to be scalable.

The on-premise system is difficult to customize once it is implemented. Whereas, in the cloud-based ERP, the vendor company releases product updates which gives scope for customizations in the system.

Several institutes implement the on-premise server option and then stick to it for years with the outdated technology because of the efforts required to change the system. Hence, they settle for it.

However, if you need any type of updates in terms of storage capacity, scalability, or even wish to change server plans for your website, it can be done within a short time just by changing the subscription plan of the institute.

3. Deployment Speed

Implementing an ERP solution is a lengthy task. It requires proper planning and time in taking the right decisions. However, the deployment of a cloud server for the system helps the institutes to make the process faster.

Unlike the on-premise server, the cloud solution does not require hardware. There is no need for installing heavy IT infrastructure to run your institute’s system.

On average, the on-premise solution requires 12 months for being deployed in the institute, whereas, the cloud system takes over three to six months to be implemented and operated successfully. Further, it offers the freedom to scale up the system easily without wasting much time on it.

4. Better System Performance and Accessibility

Cloud systems are designed in such a way that they are capable of delivering the high performance of the network. They also provide better availability and smooth functioning of the application and ERP software that is used by the institute. It further offers optimization of its performance to serve the better needs of the institutes.

Moreover, if there is an increase in the data, the system allocates itself additional resources to serve the institute's requirements. This type of performance and features are not offered by the on-premise software solutions.

Further, the cloud system takes and stores live data. Hence, the same data can be accessed by more than one person, and together they can work on it.

5. Gives Better Data Security

The rising concern for data security and safety is demanding extra attention. This has led to an increase in investments and implementation of advanced technology in the cloud platforms to ensure their safety.

Hence the cloud system holds data most securely with safe backup options and restricted access provisions for the users.

How can MasterSoft help the Institutes?

MasterSoft is the most trusted ERP solution provider offering various software to the educational institutes for operating daily activities, managing tasks, storing data, and other aspects of the institutes.

The ERP solutions offered by MasterSoft are highly advanced and implemented with cloud servers ensuring the highest level of safety and privacy. The company offers several enhanced systems including a learning management system, online exam portal, library management system, accreditation management system, and others.

All of these cloud solutions are cloud-based providing high performance and ease of use for the students and faculty members.

Looking for a cloud-based ERP solution that you can trust? Check out MasterSoft’s advanced ERP solution for high performance and functioning.

Book a Demo!

Mobile: 08448010216


Posted By:
Gaurav Somani

Gaurav Somani,

Academic Consultant

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