Enterprise software has gone through quite an evolution throughout its lifetime; the ERP solutions of today hardly seem to be of the same lineage as traditional versions.
Since their inception, ERP solutions have been traditionally hosted in-house. Businesses spend quite a bit of their budgets building an IT infrastructure and purchasing the equipment upfront to run the business management system as a whole.
On-premise ERP software is both a thing of the past and a thing of the present: Its technology is outdated, but it’s still in use by many small and mid-sized businesses today. Let’s investigate the components and typical structure of a traditional ERP system:
Hardware is one of the biggest costs plaguing setup of on-premise ERP software. You need to purchase expensive hardware and equipment – all of which is difficult and costly to maintain.