On-Premise vs Cloud Asset Management: Which One is For You?

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Himanshu Singh

Senior editor

Parul Saxena

Chief editor

Last updated: March 5, 2021

Cloud solutions have, beyond a doubt, occupied a greater share in the IT market in recent years. It has taken top-notch over the years and continued to be one of the most popular IT solutions.  However, asset management through the digital solution is a concept which still exists among many companies. Thus, despite the dominance of cloud solutions, it can be safely said that the concept of using asset management software is far from becoming obsolete in the current scenario.

 

Looking for Asset Management Software? Check out SoftwareSuggest’s list of the best Asset Management Software solutions.

With that said, it is also necessary for a company to decide on whether it should go with asset management software or opt for cloud solutions for marshaling its resources. Given the benefits and downsides, it is a good idea to compare the features of both the options for making an informed decision. This will help you out to place your bet on the best of the two suit your needs and requisites.

Read on further to find out which option wins the race between cloud asset management and digital solutions.

What is Cloud Asset Management?

As the name suggests, cloud asset management refers to the concept of controlling business data remotely. From the maintenance of data to compliance, it includes all the features that are necessary for the tracking, security, upgrading, and disposal of data.

The logical basis behind adopting this approach is to extract the advantages of a sound cloud infrastructure in the best possible manner. The central objective of every business is to make profits or gains. In the business sense, cloud asset management is important for a profitable experience of using cloud infrastructure for the

Advantages of Applying the Concept of Cloud Asset Management

  • Lower operational cost

Whether you consider the cost of operation or maintenance, cloud asset management offers a cost-effective solution to both. Under this system, the staff members of the IT department do not need to look after any aspect of data maintenance. A cloud management company takes care of it. Also, this form of data management does not require any extensive investment. Thus, using cloud solutions for the management of data leads to monetary savings on both fronts.

  • Convenience to use any device

Convenience is one of the primary factors that a user looks for to be able to use the devices with ease. At present, most companies are promoting the idea of allowing staff members to use their own devices. It has gained traction owing to the increasing number of users of mobile phones. The concept benefits both the company and its staff members alike. While on one hand it helps offset the cost of buying devices for a company, it enables staff members to work from any device on the other. Thus, the concept of cloud asset management leads to a win-win situation for both parties.

  • Payment based on usage

For startups, it is a challenge to allocate a large chunk of funds at the initial stages. As such, it becomes challenging for small businesses to manage business data using expensive models. Cloud asset management is a viable option for such companies to get the job done with a low investment.

  • Data security

Almost all companies, regardless of the niche, face the challenge of dealing with data security. Generally, it costs a fortune for a company to have its own mechanism in place for the purpose. Cloud solution providers, with multiple layers of security, help most companies to secure business data without the need to spend a hefty amount of money.

Downsides of Using Cloud Asset Management

  • Security nightmare

A company can reap the aforementioned benefits by hiring the services of a reliable cloud asset management service provider but the strategy may also backfire. Most companies end up facing security issues due to the failure of such companies. Firms face this challenge due to the habit of hiring two or more companies for the purpose.

  • Dependence on internet connectivity

Almost all activities on a cloud server need internet connectivity. In other words, an active and stable internet connection is necessary for the effective functioning of a cloud server which can be challenging for a company, especially for a startup.

  • Difficulty in migrating to the services of another vendor

Most companies find it difficult to get out of the grip of an existing cloud service vendor to choose a new one. Such cases are more prevalent with unethical or dishonest vendors.

  • Using digital solutions for data management

Notwithstanding the popularity of cloud solutions, some companies still rely on digital solutions for handling business data. This form of data management involves the use of software programs. Usually, companies with a solid infrastructure for the tracking, controlling, and security of data embrace this concept.

Advantages of Using Asset Management Software for the Management of Data

  • Absolute control on data

When a company uses its own version of the software for handling data, it has the luxury of exercising total control over it. For such a company, it is easy to implement a change in its existing methodology or mechanism of data management.

  • Riddance from the necessity of using the internet

As much as the internet benefits businesses, it also presents a set of challenges linked to operation and security. A company that has its own digital solution for tracking and managing data can perform its data-related tasks even without access to the internet.

  • Regulatory compliance

In some countries, regulatory authorities may limit the use of cloud solutions to execute data-related tasks. These rules and regulations may vary from country to country. Using a software program for the management of intellectual assets is the only way forward for companies in such countries.

Also, Read: Asset Performance Management: A Definitive Guide

Downsides of Using Asset Management Software for Managing Data

  • High costs for operation and deployment

As discussed earlier, using a program-based data management system necessitates extensive investment on the part of the company. This translates into the fact that a company needs to invest a large chunk of its funds to develop, operate, and maintain a piece of software for handling its business data.

  • Delay in deployment

Unlike the cloud version, the digital version of asset management can take more time for deployment. The arrangement of funds, as well as the functioning of asset management software, can play a part in it.

  • The onus of maintenance and security

When a company decides to use its own software for operating and managing its assets, it also becomes responsible for its maintenance and security. It takes careful deliberation, a massive investment, and the services of IT, staff members, in great numbers to execute both these functions.

Conclusion

From the above, it is apparent to say which is a better option between cloud asset management and the software which helps control and manage data. A lot depends on the resources of a company in hand. While the cloud version enables a company to handle data within a limited budget, the digital version offers greater control. It is essential for companies to weigh the pros and cons of both options before arriving at a conclusion. This would be the best bet for a company to pick up the right option.

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Himanshu Singh is a Marketing Specialist at SoftwareSuggest, He is well versed in software platforms like eCommerce, project management, document management. He is also interested in domains like Machine Learning and Semiconductors. In his spare time, he enjoys Guitar, Badminton, and Photography.

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