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Hosted Versus On-Premise WFM; No Question Which Will Emerge the Winner

April 29, 2010

Workforce management solutions deliver significant value to the organization as it can drive efficient forecasting, scheduling and overall workflow. With the increased use of hosted solutions, many decision makers are asking questions as to the value derived from a hosted solution versus an on-premise solution.

In many situations, a hosted solution delivers significant advantages over premise-based solutions, including fast set up, ease of use, lower cost and high performance, among others. Many of these advantages are available due to the multi-tenant architecture of the hosted model.

A comparison of the two options is important as traditional, on-premise models generally require large, upfront investments in software, hardware, IT resources, time and money for installing, configuring and implementing the solution. At the same time, the on-premise solution must also be maintained and upgraded when necessary, creating ongoing expenses that may not be accounted for in the original budget.

To get an idea of the key differences between on-premise and hosted WFM solutions, Monet Software put together a white paper: Hosted WFM versus On Premise WFM. Without dissecting the paper in full, we'll take a look at a few key points on where benefits can be realized with a hosted WFM solution over an on-premise solution.

Cost is certainly a top priority when considering any implementation within the enterprise. New technologies must be justifiable before they are approved for deployment. If a less expensive option that performs just as well or even better than the on-premise solution is available, it is worth consideration.

The hosted WFM management definitely shines when cost is considered. There is no upfront investment for software and hardware. The Monet WFM Live solution is offered through a low monthly subscription fee that includes training, support, maintenance and upgrades.

With an on-premise solution, customers must purchase hardware and software, pay for installation, configuration and implementation through consultants, driving a significant overall investment.

Scalability and performance are also of high importance as the robust solution that cannot perform is worthless to the enterprise. The hosted solution offers multi-tenant architecture in an elastic cloud computing platform that allows for maximum scalability of data-intensive scheduling scenarios. The server in an on-premise solution limits the scalability and performance of the installed software.

Finally, a company should consider the risks associated with both hosted and on-premise implementations. With a hosted solution, the risk is lower as the customer not satisfied with the solution may have the option to cancel the agreement or switch to another vendor. The huge, upfront investment of the on-premise solutions locks you in whether it meets your needs or not.

To take a closer look at the differences between hosted and on-premise WFM solutions, take a look at this TMCnet article. Or be sure to download Monet Software's free Workforce Management Success Kit, which includes the white paper 'What is SaaS (News - Alert)-Based Workforce Management?' The key elements that must be considered when making a decision are examined here, providing a strong argument in favor of hosted solutions.

Susan J. Campbell is a contributing editor for TMCnet and has also written for To read more of Susan's articles, please visit her columnist page.

Edited by Patrick Barnard

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