SAP HANA: On-Premises vs. Cloud

SAP Hana server vs. cloud computing

iSystems Server vs. Cloud

10 Reasons to run SAP HANA on Premises: On-Premises vs. Cloud

For a few years now, cloud computing has been one of the hottest topics in IT. With our HANA 360° solution, however, we at iSystems decided to go in the opposite direction: we offer a dedicated on-premises server solution. Below, we have compiled what we think are the top ten reasons our solution is superior to cloud-based offers. Broadly speaking, they all boil down to one simple fact: in using a cloud-based solution, both SAP Partners and their customers base their business on a dependency to their cloud provider.

  1. Without a working internet connection, access to crucial business data is impossible. Application availability is highly dependent on the ISP and out of your hands.
  2. In a cloud-based solution, all data is stored in the cloud provider’s data center. This means that the security of your data and their accessibility to prying eyes is highly dependent on the changing political climate on data privacy. (The Patriot Act and Safe Harbor are examples of this fact)
  3. Depending on the used cloud technology not every add-on is supported.
  4. One of the main arguments for using cloud-based services is cost savings. However, this claim only holds up for a very small number of users. For our SAP HANA 360° solution, own hardware becomes more cost-effective than a cloud-based solution. Even for a very low number of users it is cost-effective. The larger the installation, the greater these benefits become.
  5. With our “Ready to Run” service, commissioning of a completely configured on-premises HANA server is possible as little as 24 to 48 hours from the initial order (depending on shipping times). This service is included without additional cost in our HANA 360° solution.
  6. Our unique maintenance agreements for hard- and software (Linux/VMWare etc.) make it possible for the SAP Partner to generate ongoing revenue just as he would in a cloud-based scenario. For the end customer, these costs are fixed predictable as they are independent of the number of users.
  7. The SAP Partner can generate additional revenue from hard- and software sales with attractive margins. Hardware and VMWare are not necessary.
  8. With on-premises hardware, the only ongoing cost after the initial hardware purchases is for maintenance agreements. It will be negligible in most cases. The possibility of operating the platform in a virtualized environment on new or even existing hardware can even drastically reduce the initial cost.
  9. In a cloud environment, all access to the software may be lost upon contract termination. Local installations can be used even after cancellation of maintenance agreements.
  10. Remote access via terminal sessions or HTML clients is available for local installations as well, of course without significant setup or operating costs.