Rebecca D. Lumanas BSA Comp.

Acctg 1 Lec/11:30-12:30
PM/MW

1.) The following are the differences between ERP on-demand and ERP on-premise:

a.)Deployment and Implememtation

On-Premise ERP

-Installed locally on the company’s servers and computers.

-Takes relatively longer to deploy.

Cloud ERP

-Hosted on vendor’s servers  and accessed through internet browsers and/or mobile apps

-Faster to deploy—takes anywhere from few days to weeks

b.) Total Cost of Ownership

On-Premise ERP

-The company is responsible for general running costs like hosting, software updates and
maintenance.

-Often charged as license fee

-Listed as capital expense

Cloud ERP

-Usually uses a subscription-based pricing model

-Total costs include server hosting, software updates and maintenance

-Listed as operating expense

c.) Maintenance, Support and Software Updates

On-Premise ERP

-Internal IT team is responsible for all software updates and maintenance

-May require the company to hire a dedicated IT Administrator

Cloud ERP

-Vendor manages routine updates

-Doesn’t require in-house IT Administrator or developer

d.) Performance

On-Premise ERP

-Performance depends on the functionality of the company’s servers

-May require manual monitoring during spikes in demand

Cloud ERP

-Vendor manages server and network performance depending on evolving requirements

-Built to dynamically adapt to increasing server load and surges in demand

e.) Security

On-Premise ERP

-Data security is the company’s responsibility

-Poses security risks that come with local installation

Cloud ERP

-Vendor takes responsibility of managing security processes for remote workers

-Security measures are in compliance with required standards

2.)

a.) ERPNext is built using Python and MySQL as the database backend. The underlying web app
framework is called Frappe and is a separate platform for development and deployment of rich
web applications.

b.) SAP B1 was built on and runs on Microsoft SQL server and now also runs on the SAP HANA
in-memory platform.

3.) When it comes to cost, Microsoft SQL, the platform SAP Business One is using is generally
expensive to run and maintain because you need licenses for the server to run the software.
MySQL, the platform ERPNext is using is free and open-source, but you’ll pay for support if you
need it. But payments required in MySQL for maintainance and support is not realy expensive
as compared with that of Microsoft SQL.

4.) If given the authority to decide on such matter, I would pick MySQL, the platform ERPNext is
using because as we know, MySQL is free to use whereas Microsoft SQL, the platform SAP
Business One is using is costly. Also, MySQL supports more programming languages than the
other. In addition to that, MySQL needs less amount of operational storage space while
Microsoft SQL needs large amount of it. Those are the factors I have considered in choosing
what platform better suites my needs and is more convenient to use.