Cloud vs. On-Premise: Making the Best Decision For Your Company

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Cloud vs. On-Premise: Making the Best Decision For Your Company

It is assumed that “the cloud” is the wave of the future, but this may not be right for your company today. There are many factors that go into whether using cloud computing works for your company or industry. As technology leaders, we’re challenged with making decisions that affect two main goals:

* Bottom line
* Growth

Staying with On-Premise

There are a few reasons where it would indeed be appropriate to avoid putting your data in the cloud. These range from concerns about regulatory requirements, to issues with connectivity and speed – all of which are often outside the control of your organization and your cloud provider. Much depends on the type of data you need to store, and the mindset your organization has regarding cloud computing in general.

Reasons to Keep Your On-Premise PBX System

1) Long Term Cost – A good premise system will last at least 10 years and doesn’t require a monthly fee for every new seat you add.

2) Employees are used to existing system – The fact is that many of us are used to using regular phones that connect to the telephone jack.

3) Connection speed may not be able to handle VoIP – Your connection may not be capable of handling a demanding IP phone system.

4) On-premise solutions offer many of the same software as hosted solutions – It doesn’t matter if you use SIP or POTS for dial tone because the system is IP based within the building and connects to the database.

5) Concerns about internet security – The PSTN phone system is one of the most secure methods of talking to someone.

6) The PBX services a single location – If you have more than ten users at one location, an on-prem solution may be a better fit.

7) PBX is not dependent on broadband internet – Business internet providers typically guarantee 99.9% uptime, which does not nearly stand up to the reliability of an on-prem solution.

8) The company makes more local and internal calls – Many small and medium sized businesses are local businesses with a local focus.

9) If you have an in-house IT department – They can take care of problems quickly vs waiting for a hosted provider to authorize the change.

Reasons to go to the Cloud

Companies in all sectors often get caught up in the upfront price of software and fail to realize the total cost of ownership (support, additional hardware, etc.). Cloud services allow you to pay for the resource usage you need while taking advantage of scale and reliability, two things that most companies can’t afford internally. And there’s no need to update software internally since this is handled automatically.

Cloud Pros:
* Scale-ability – Your business can scale up or scale down your operation and storage needs quickly to suit your situation, allowing flexibility as your needs change.
* Business Continuity – Whether you experience a natural disaster, power failure or other crisis, having your data stored in the cloud ensures it is backed up and protected in a secure and safe location.
* Collaboration Efficiency – Collaboration in a cloud environment gives your business the ability to communicate and share more easily outside of the traditional methods.
* Flexibility of Work Practices – You have the ability to access data from home, on holiday, or via the commute to and from work (providing you have an internet connection).

Cloud Cons:
* Costs – Prices will start off with the numbers of these markets and might get more expensive.
* Average Internet Speed – Only 5.6MBps so while you transfer data your network bandwidth will reduce your performance.
* Security & Privacy – Intentionally or unintentionally the companies holding your data on the cloud would be single points of security attacks.
* Ecosystem – The whole ecosystem is built around apps that run locally.

We have all seen an incredible change in the way IT works within only a very few years. This trend will continue. AWS, Azure and Google are going to improve, innovate and challenge existing concepts. We, along with our customers, have to adapt to new realities every year. Things we think are impossible today might be a reality tomorrow.

If you are still unsure as to whether your company should be in the cloud or stay on premise, give us a call. Let’s have a discussion to determine where you should be now and moving forward.


By | 2018-06-27T17:24:54+00:00 June 26th, 2018|Uncategorized|0 Comments

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