In today’s competitive business landscape, organizations always seek ways to optimize and streamline workflow processes by leveraging advanced technologies. Towards this, Microsoft offers two robust solutions, SharePoint Online & SharePoint On-Premises, to meet these evolving needs.
SharePoint Online, a cloud-based application, provides a modern and scalable digital communication and collaboration platform. On the other hand, SharePoint On-Premises offers localized deployment options that grant businesses greater control and customization capabilities. However, many organizations are at a crossroads, unsure whether to migrate to SharePoint Online or stick with their on-premises setup. However, the decision-making process can often be challenging, delaying transitioning workloads to the cloud.
Through this blog get a comprehensive analysis of SharePoint Online Vs SharePoint On-Premises to enable you in making an informed choice. It would align with the operational requirements & maximize efficiency. At the same time, there are several factors to consider, capabilities to explore, and features to compare for making an informed decision.
Table of Content
Microsoft SharePoint is a powerful platform for document management, team collaboration, intranet portals, process automation, business intelligence, and customization. It enables organizations to enhance productivity, streamline operations, and improve collaboration within & beyond their boundaries.
SharePoint Online is the cloud-based version of SharePoint. It’s like having your SharePoint platform accessible through the internet. You can access it from anywhere, anytime, with an internet connection. It’s licensed per user and available as a standalone plan or part of Microsoft 365, with options catering to different needs. It integrates smoothly with other Microsoft tools like Teams, OneDrive, and Outlook. It’s a flexible and scalable solution allowing businesses to collaborate, manage documents, and streamline workflows virtually.
SharePoint On-premises is a traditional, self-hosted version of SharePoint that companies can set up on their servers in-house. Licensing follows a Server/CAL model, with options for both Standard and Enterprise CALs, delivering core and full capabilities. With on-premises, you have complete control over your SharePoint environment, including data storage and infrastructure. It’s a great option if you prefer to manage everything at your premises and have specific requirements for customization or compliance.
Let’s explore the main points of difference between SharePoint Online and on-premise,
Does not require organizations to manage their infrastructure. Microsoft handles the servers and software’s maintenance, updates, and security.
With this deployment option, organizations must set up and maintain their servers, hardware & software. It would require a certain level of IT expertise with ongoing maintenance to ensure the system runs smoothly.
Offers high scalability, allowing organizations to quickly scale up or down their storage and user requirements based on their needs. It also provides flexibility in accessing content from anywhere with an internet connection.
The scalability of this option largely depends on the organization’s infrastructure capability. Scaling up often requires additional hardware and resources, which can be a complex and time-consuming. Additionally, accessing content is limited to on-premises or via VPN, which may restrict remote access.
Offers a range of customization options, including site branding and custom web parts, it has some limitations when comparing SharePoint online versus on-premise. Organizations have less control over the underlying infrastructure.
Provides greater control and customization capabilities. Organizations can tailor the platform extensively, including server configuration, custom development, and integration with other on-premises systems.
Operates on a subscription-based model, with costs determined by the number of users and storage requirements. It eliminates upfront infrastructure costs but involves ongoing subscription fees.
Typically requires significant upfront investment in hardware, software licenses, and infrastructure setup. However, ongoing costs may be lower once the initial investment.
With this deployment option, Microsoft helps meet security measures, updates, and compliance requirements. It offers robust security features, including data encryption, threat detection & compliance certifications such as GDPR and ISO.
Organizations have more control over security measures with this option. Though, it is essential to implement & maintain security protocols. It includes managing firewalls, data encryption, access controls & compliance measures.
Comprises collaboration tools like Microsoft PowerApps, Microsoft Flow, Azure functions, and more.
Lacks integrated tools and applications, needing you to make separate arrangements to incorporate additional tools and applications.
We can help you select the best solution as per your business priorities for enhanced collaboration & increased productivity.
The migration to SharePoint Online from SharePoint On-Premises allows organizations like yours to leverage cloud-based advantages. It would include cost savings, scalability, accessibility, enhanced security, and integration with Microsoft 365 services. Yet it is crucial to thoroughly analyze the specific requirements, customization needs, and potential challenges before undertaking migration to ensure a successful transition. When you move to SharePoint online, you can ensure efficient collaboration, simplified management, and optimized resource allocation for your organization.
Migrating to SharePoint Online brings numerous advantages over an on-premises deployment. Here’s why it’s worth considering SharePoint online over the on-prem model.
Ready to make a move to SharePoint online? It’s an intelligent choice, but take the time to assess your organization’s needs and requirements, conduct thorough testing, and reach out to a trusted technology partner like Rishabh Software for guidance. With our experience, we can help you navigate the migration process and ensure a successful transition to SharePoint Online.
Additionally, it’s worth exploring the concept of SharePoint Hybrid and understanding how deploying SharePoint in a hybrid environment can be beneficial.
By understanding your needs and considering factors like compliance, customization, storage, and control, you can decide whether SharePoint on-premise vs. SharePoint online is the best choice for your organization’s unique requirements.
SharePoint Online helps save costs & reduces complexity. With this option, organizations can avoid spending time and money creating the necessary infrastructure.
SharePoint On-Premises is the perfect fit if you already have a dedicated infrastructure. Listed are some scenarios where selecting this model might be appropriate:
Tip: SharePoint On-Premise versions have end-of-life, but SharePoint Online does not. Microsoft’s End-of-Life (EOL) support for SharePoint On-Premises version as listed below;
Apr 11, 2023
Jul 14, 2026
Jul 14, 2026
Although reaching EOL does not mean any immediate disappearance of documents and data, it does present significant risks to your business operations and continuity. Do enquire how Rishabh Software can help you manage your existing technology ecosystem or help you migrate to the cloud if needed.
Deciding between SharePoint cloud vs on-premise can be overwhelming for businesses unfamiliar with each option’s features. Your choice ultimately depends on your specific needs, requirements, and business objectives. Both deployment models provide versatile features, and a detailed comparison can guide you in selecting the right solution for your organization.
Once you have chosen your preferred SharePoint platform, it is advisable to engage a trustworthy SharePoint development partner who can ensure a smooth migration process. With two decades of experience and as a Microsoft Gold Certified Partner, we specialize in delivering professional SharePoint Development Services. It would include the deployment & implementation of Microsoft SharePoint applications, Azure, and Microsoft Teams.
Listed below are the services we offer;
Our team has access to all major platforms like SharePoint Online, with related SharePoint libraries, Power Platform Suite, Microsoft 365, and more, making us the top choice for companies of all sizes.