Difference Between SaaS and On Premise: Why Companies Prefer SaaS? | Binadox - SaaS management

Difference Between SaaS and On Premise: Why Companies Prefer SaaS?

Stanislaw Lee

With the increasing growth of cloud services many organisations are asking what the difference is between cloud and on-premise software and what is best for their business? Here’s what you should know about SaaS and on-premise:


SaaS vs. On-premise

SaaS-based applications are hosted on the cloud vendor’s servers and accessed through a web browser.

On-premise software is installed and configured locally, on a company’s computers, devices, or servers.

With on-premise technology, every single business unit should request IT or manager for every software purchase. Furthermore, employees should wait until on-promise software will be installed and configured.

In the SaaS era, any employee in business can make software purchases and start using it with just a couple of clicks. Due to the increasing growth of the technology in the workplace, teams and departments require more SaaS-based applications using their own software budget. Thus, organizations don’t need centralized purchasing any longer.

Nevertheless, IT teams may be reluctant to give up purchasing benefits of cloud services without having visibility and control over company’s tech stack. Everything from software budgets and expenses to the increased need for tech support and security has increased the worry levels of IT leaders. At the same time, SaaS replaces almost every function across companies and employees increasingly grow their reliance on SaaS apps. Hence, IT leaders need to understand what drives SaaS usage and adoption in their organizations and how to control apps today.


What Drives SaaS Usage & Adoption?

Cloud applications drastically differentiate from traditional software. Cloud applications morphed companies into more advanced customer-centric and efficiently operating businesses. There are many benefits and advantages of SaaS applications. However, the most significant are:

  • Agility – With modern technologies, faster integrations, and standardization of specialized data, employees nowadays can easily find a specific application that helps address work-related challenges faster. Hence, SaaS brings agility to workflows and drastically boost productivity across organizations.

  • Cost – Subscribing for a cloud service is sustainably cheaper than buying a traditional on-premise technology. It doesn’t mean, however, that your organization shielded from budget waste. A comprehensive SaaS management platform allows your organization to eliminate overspending and save even more.

  • Flexibility – SaaS applications also bring flexibility to enterprises. For instance, if an application doesn’t meet your requirements anymore, you can find a better application in a split second. Furthermore, SaaS apps allow teams as well as single employee to add or remove license whenever they need it and without bothering the IT department.

In most cases, employees are deploying SaaS applications without notifying the IT department. This leads to the increasing growth of unsanctioned and potentially harmful applications. Without proper governance and control, SaaS applications cause waste and maximize security and compliance risks.


How to Manage SaaS without Losing Its Benefits

With the increase in SaaS adoption and simultaneous adoption of unsanctioned apps, security and SaaS management is growing concern. Trying to control cloud software manually leads to productivity and flexibility loss across companies. Additionally, organizations could not get fill visibility into their SaaS environment when an employee leaves a company or works remotely.

The most important step towards security and control is deploying a comprehensive SaaS management platform like Binadox. This platform enables IT grant a business unit access to SaaS applications without fear of leaking sensitive or confidential data. Here are a few examples how Binadox enhances and automates your SaaS management experience:

  • App Visibility: Binadox provides accurate visibility into SaaS usage across the enterprise as well as app utilization of individual user.

  • Real-time Expense Data: Binadox empowers organizations with real-time access to SaaS application expenses and single view of all renewals. Eliminate overspending and hidden SaaS licenses via one powerful dashboard

  • Minimize Security Risks: Ensure security and regulation compliance within your organization by using Binadox. Deploy Binadox proxy agents to create additional layers of security.

With Binadox, organizations are able to ensure that the data is not only secure, but most accurate. Want to know more about Binadox?  Sign up your free account to try Binadox out!


Keywords: difference between saas and on premise