On-premises software is a type of software delivery model that is installed and operated from an enterprise's in-house server and computing infrastructure.

On Premises

On-premise ERP solutions are installed locally on hardware and servers of enterprises and then managed by their own IT staff. Enterprises need to take care of licensing cost, infrastructure set up and maintenance cost of applications.

Now a days it is said that, pure On Premises Model is going to be legacy soon. But new developments are taking place that will link on premises infrastructures with cloud and make them advance in aspects of maintenance and accessibility.

Pros & Cons

Advantages

Data Security: As your data is sitting in your own premises, its security is 100% matter of your control

Control: As everything is with you, everything is in your control

Flexibility: It allows all flexibilities related to configurations

Limitations

High Cost: Infrastructure cost, licensing cost, application maintenance cost etc has to be bared by company

Requirement of capable in house resources to handle the application

Accessibility issues: As application is on premises, access from remote office may be the concern here

More time for deployment

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