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All-in-one HR platform · v2.0
14-day free trial · No credit cardhello@HrMagix.com
All-in-one HR platform · v2.0
14-day free trial · No credit cardhello@HrMagix.com
Cloud HRMS vs on-premise is a choice about who runs the servers, who applies updates and where the data sits. The HR processes themselves are the same.
01
A cloud HRMS is run by the provider on servers it manages. You use it through a browser or app and pay a subscription. Updates are applied by the provider for every customer.
An on-premise HRMS is installed on servers you own or control. Your IT team, or a contractor, installs updates, takes backups and keeps the system secure.
02
| Factor | Cloud | On-premise |
|---|---|---|
| Who runs servers and backups | Provider | You |
| Statutory and tax updates | Applied by the provider | Installed by you, if the vendor ships them |
| Up-front cost | Low | Licences, hardware and setup |
| Ongoing cost | Subscription | Maintenance, IT time, hardware renewal |
| Access for employees and managers | Anywhere with internet | Depends on your network setup |
| Control over data location | As the provider's terms allow | Full |
| Customisation | Within what the product allows | Wider, at the cost of harder upgrades |
Watch for itPayroll rules change by notification and Budget. With on-premise software, a delayed update is your risk, not the vendor's.
03
04
It can be, and so can on-premise software. Security depends on how each is run: access control, encryption, backups and audit logs. Ask for specifics rather than relying on the hosting model.
It can, but your network must expose the system safely to phones outside the office, which adds work for your IT team.
The main work is data: employee masters, salary history and year-to-date statutory figures. Plan the move for a clean point, such as the start of a financial year, where possible.
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