You are a business owner and you want to apply technology to manage your distributor system, but you have a hard time choosing a suitable form for your business. You are deciding between cloud computing from Cloud DMS or an in-house solution like On-Premises. Through this article, HQSOFT wants to help you understand the difference between On-Premises DMS and Cloud DMS. From there, you will make an optimized choice to suit your business.

  • Cloud DMS or SaaS (Software-as-a-Service) is software provided as a service. This is the form in which the DMS solution and the enterprise’s data will be centrally managed by the DMS solution provider on the same server system (cloud computing platform).
  • On-premise DMS is installed on the enterprise’s own server technical infrastructure and is managed by the staff of that enterprise. When using the On-Premise form, businesses will have to buy a License to install the server separately.

What is the difference between On-Premises DMS and Cloud DMS?


Think of On-Premises as an iceberg, you see the top (bundle software, full ownership…) but don’t see the long-term problems, which are the sunk costs underneath. As for Cloud, although businesses have to spend a lot of money to pay for the number of users per year, the operating costs are low.

In addition, when using the On-Premises form, businesses have to spend a large amount of investment to build an experienced IT support team to always ensure that the system is always active 24/7. With the form of Cloud DMS, everything always works smoothly and stably and the system always works smoothly.

Deploy infrastructure

Deploying DMS infrastructure for businesses often takes a lot of time and effort. In terms of deployment speed, Cloud DMS prevails because when deploying, businesses do not have to spend time procuring and building infrastructure. In addition, the deployment in many regions and branches will be done easily and quickly in a short time. Usually to deploy an On-Premises system will take about 3-5 months, while Cloud DMS only takes about 1-3 months.

At the same time, when using Cloud DMS, you only need to contact the provider to easily add the number of users. As for On-Premises, businesses have to spend a lot of time and effort to add users. For a large number of users, businesses also have to spend money to invest in more servers.

The person responsible for implementation:

On-premises: The enterprise will be responsible for maintaining and operating the solution. Deployment is done in-house using the company’s infrastructure

Cloud: Service providers will be responsible for the system on their servers. Enterprises can access at any time all the solutions that the provider has to offer. However, when using Cloud DMS, HQSOFT can still adjust the features based on business requirements.

Privacy Policy

  • On-Premise: This form is highly appreciated for its safety level because all data and infrastructure are managed and operated by the enterprise. And since the solution is established
  • right on the enterprise’s own infrastructure, so it will limit the number of users. All business data will be managed and secured by the IT department.
  • On-Cloud: All information and databases are stored on the service provider’s system. Therefore, the level of information security must be based on the level of information security of the supplier. Therefore, to deploy the system, businesses need to find a reputable supplier and have a secure information security policy for businesses.

System maintenance and upgrade

  • Cloud: When the vendor releases a feature or updates the system, the product is always up to date and the business is always using the best and latest version. Therefore, the enterprise’s system will always be automatically updated and maintained without taking much time, especially without any additional costs.
  • On-Premises: System maintenance and upgrades are somewhat complicated because the enterprise has its own system. As such, the provider cannot automatically update to the latest version. Thus, when there is a requirement to maintain and upgrade the system from the enterprise, the new supplier will participate in the maintenance and upgrade. With this maintenance and upgrade, businesses have to spend a relatively large expense. At the same time, the update is closely related to the previous implementation of the software and therefore requires a staff of relevant departments with knowledge and experience in this area.

The decision to use a DMS system depends on many factors. It depends not only on the software but also on many other requirements such as business situations, and operational processes,… However, choosing the form of On-Premises or Cloud deployment is also an important factor. important.

With more than 15 years of experience in the field of providing distribution management solutions, HQSOFT is confident to bring customers the most comprehensive and optimal solutions to best meet customer needs. in optimizing the distribution management system.

Hopefully, through this article, businesses also get an overview of and difference between the two forms of On-Premises and Cloud. If you have any questions or need advice on distributor management solutions. Please contact the hotline: 0792 342 278 to receive the best support.

Register for Trial & Support (Đăng Ký Trải Nghiệm & Tư Vấn)

  • This field is for validation purposes and should be left unchanged.

Từ khóa: