SAP S/4HANA On-Premise vs Cloud vs Hybrid: A Comparison Guide


Learn the difference between SAP S/4HANA On-premise vs. cloud vs. hybrid models.

When you select a new enterprise resource planning (ERP) software, you need to be prepared to answer whether you need an on-premise ERP system or a cloud ERP system. Get the required help from an SAP S/4HANA cloud implementation partner like iQuantM.

Nowadays, cloud ERP software has become commonplace among businesses. You can find a cloud ERP vendor everywhere since people are shifting from on-premise ERP to cloud ERP altogether.

Nevertheless, we have plenty of reasons to explain why a small or medium-sized business will choose something other than an on-premise ERP system.

When you think about the right choice of ERP system for your business, you need to make a final decision depending on flexibility, budget, and many other factors.

Now, it is time to understand the difference between SAP S/4HANA on-premise, cloud, and hosted-on-cloud ERP systems.

SAP S/4HANA On-Premise
SAP S/4HANA On-Premise vs Cloud vs Hybrid

On-premise vs Cloud vs Hybrid

On-premise ERP

Enterprises need to install this ERP system locally on their computer or server. Its pricing comes under a single-time perpetual license fee, depending on your organization’s size, and a recurring fee for training, updates, and support. It comes under capital expenditure, where you make a large investment upfront.

Businesses often require a third-party client for communication between on-premise software and mobile devices.

You can customize the software to meet your needs. It is the best option for larger companies looking to secure their data. With an on-premise SAP ERP, the client is solely responsible for security factors.

iQuantM, an SAP S/4HANA on-premise implementation partner in the UK, Leeds, implements the right solutions in minimal time.


During this deployment, host the cloud software on your organization’s private servers. The usage of hybrid cloud systems has increased multifold, from 19% to 57% in a single year. When you deal with a cloud-hosted ERP, the provider takes care of your availability and uptime. Reviewing your service level agreement carefully can give you an idea of the uptime guarantee. Cloud-based ERP offers you automatic upgrades. Hence, you can be less bothered by the time or the costs when you carry out the upgrades.

But this might be different when your software is hosted on a cloud server. You need to know details such as who will perform the upgrades, costs, authentication, and data transmission related to SAP S/4HANA Hybrid Models.

Cloud ERP

SAP S/4HANA Cloud is hosted directly on your vendor’s servers and is available for access in your web browser. Its pricing comes under a one-time perpetual license fee with recurring training, support, and update fees. It comes under operational expense since it is an overhead cost you need to pay. Mobile communication becomes easier since there is no third-party involvement over here.

You can access your data anywhere, anytime, through any system in the cloud. It is well-suited for small and medium businesses with a comparatively lower budget, stability, and accessibility requirements. In the case of cloud ERP, the security factors are handled by the vendors. The implementation time is shorter. It offers better uptime as well.

Why is S/4HANA a perfect choice?

Regarding enterprise resource planning (ERP) software, SAP S/4HANA is often a top business choice. But how does it compare to other options on the market?

One of the benefits of SAP S/4HANA is that it is extremely configurable, which means that it can be tailored to meet the specific needs of your business. It also offers a wide range of features, which can help you manage your operations more effectively.

However, SAP S/4HANA is also one of the most expensive ERP options on the market. So, consider other options if your business is on a tight budget.

Overall, SAP S/4HANA is a powerful and versatile SAP ERP solution.

iQuantM Technologies is an SAP S/4HANA on-premise implementation partner you need to vouch for.

What are the plans for SAP S/4HANA on-premise?

SAP S/4HANA on-premise is next-generation ERP system software from SAP. It is built on the SAP HANA platform and delivers a simplified, modernized, and integrated user experience. SAP S/4HANA on-premise includes features like in-memory computing, advanced analytics, the Fiori user interface, and more. It is designed to meet the needs of midsize to large businesses.

If you are looking for an innovative ERP solution to help your business thrive in the future, then you need to consider SAP S/4HANA. This platform offers a wealth of features and benefits that cannot be found in older ERP software. So if you are ready to make the switch, SAP S/4HANA is a perfect choice. Get the SAP S/4HANA on-premise implementation service done by iQuantM.

To sum it up,

SAP S/4HANA Cloud is a comprehensive ERP software system designed to meet modern businesses’ needs. It offers several features and benefits not available in other SAP cloud offerings. But it is all dependent on an SAP S/4HANA cloud implementation service.

On-premise cloud computing is like building an app. It costs you a vast number of bucks.

Save money and time with SAP S/4HANA cloud migration techniques.

Do you want to learn more about SAP S/4HANA cloud migration and iQuantM SAP S/4HANA cloud implementation for your business?

Attend our 3-day cloud migration workshop and learn more about the SAP S/4HANA cloud implementation service.

Our experts can simplify all the topics you need to know regarding cloud migration. iQuantM provides the most resourceful information regarding the SAP S/4HANA on-premise implementation service after analyzing how it can help your business.

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