SharePoint Online vs SharePoint On-Premise

SharePoint Online vs SharePoint On-Premise

SharePoint, Microsoft's collaborative platform, has been a staple in organisational document management and team collaboration for years. It exists in two primary deployment models:

SharePoint Online, part of Microsoft 365, and SharePoint On-Premises, where the software is installed on local servers. Here's a detailed look at the differences, benefits, and disadvantages of each:

Deployment and Infrastructure

SharePoint Online:

- Deployment: Cloud-based service hosted by Microsoft. No need for local hardware or infrastructure.- Advantages:

  • Scalability: Easily scale up or down based on organisational needs without purchasing additional hardware.
  • Accessibility: Access from anywhere with an internet connection, ideal for remote work environments.
  • Automatic Updates: Microsoft handles updates and patches, ensuring the latest features and security without manual intervention.

- Disadvantages:

  • Data Sovereignty: Concerns about where data is stored, which might not meet specific compliance or data residency requirements.
  • Customisation Limits: While customisation is possible, it's more restricted compared to on-premises.

SharePoint On-Premise:

- Deployment: Installed on company-owned servers within your data centre.-

Advantages:

  • Control: Total control over data, infrastructure, and software configurations.
  • Customisation: More extensive customisation options, including server-side code and farm-level solutions.
  • Compliance: Easier to meet specific regulatory or compliance needs that demand data to be kept on-site.

- Disadvantages:

  • Resource Intensive: Requires significant investment in hardware, IT staff for maintenance, and potentially more complex to manage.
  • Scalability: Limited by physical infrastructure; scaling requires additional hardware purchases.

Cost Considerations

SharePoint Online:

  • Subscription Model: Pay per user, which can lead to predictable costs. Includes access to other Microsoft 365 services.
  • Benefits: Lower upfront costs, no need for server hardware or maintenance expenses.

SharePoint On-Premise:

  • Licensing: Requires Server licenses for each SharePoint server and Client Access Licenses (CALs) for users or devices accessing SharePoint.
  • Long-term Savings: Potentially more cost-effective for large organisations with existing infrastructure or those needing extensive customisation.

Management and Maintenance

SharePoint Online:

  • Managed by Microsoft: Microsoft manages the platform, reducing the IT workload significantly.
  • Drawbacks: Less control over specific server settings or immediate customisations.

SharePoint On-Premise:

  • Self-managed: Your IT team handles everything from security patches to upgrades, which can be time-consuming and resource-heavy.
  • Flexibility: Offers the ability to tailor SharePoint exactly to business processes but at the cost of increased management overhead.

Integration and Features

SharePoint Online:

  • Seamless Integration: Deep integration with Microsoft 365 tools like Teams, OneDrive, and Office applications provides a unified experience.
  • Feature Updates: Gets new features and improvements first, often exclusive to the cloud platform.

SharePoint On-Premise:

  • Feature Availability: While it receives many of the same features, some advanced or cloud-specific functionalities might be absent or delayed.
  • Legacy Support: Can be crucial for businesses with legacy applications or custom solutions not suited for cloud migration.

Security and Compliance

SharePoint Online:

  • Security: Leverages Microsoft's enterprise-grade security measures, with options for multi-factor authentication and compliance tools.
  • Compliance Challenges: Might face issues with data sovereignty and very specific compliance requirements.

SharePoint On-Premise:

  • Security Control: Provides complete control over security settings, which can be advantageous for highly regulated industries.
  • Compliance Ease: Easier to adhere to strict data protection laws or when data must remain within certain geographical boundaries.

Accessibility and Collaboration

SharePoint Online:

  • Cloud Collaboration: Enhances collaboration with external parties without complex setup for access permissions.
  • Mobile Access: Optimised for mobile devices with responsive design.

SharePoint On-Premise:

  • Intranet Use: Primarily designed for internal use, can be less straightforward for external collaboration.
  • Performance: Potentially better performance within the local network due to proximity to users.

TLDR;

  • SharePoint Online offers ease of use, automatic updates, and seamless integration with Microsoft 365, making it ideal for businesses looking for cost efficiency, scalability, and modern collaboration features. However, it might not meet all compliance needs or offer the same level of customisation control.
  • SharePoint On-Premise provides robust control over data and infrastructure, full customisation capabilities, and can be more economical for large organisations with existing hardware. The trade-offs include higher management overhead, less frequent feature updates, and potentially higher initial setup costs.

Conclusion:

Choosing between SharePoint Online and SharePoint On-Premise depends largely on the organisation's size, regulatory requirements, existing IT infrastructure, and strategic goals regarding collaboration and data management. Small to medium-sized businesses might lean towards SharePoint Online for its simplicity and cost benefits, while larger enterprises or those with stringent compliance needs might prefer the control and customisation offered by SharePoint On-Premise. Ultimately, a hybrid approach might also be considered, where critical or sensitive data remains on-premises while leveraging the cloud for general collaboration and storage.