Cloud vs. On-Premise Hosting for Construction Inventory Management

Posted on June 29, 2016 by Admin

The software for a construction inventory management system, along with the data it collects, can be hosted in the cloud or on a company’s servers – often referred to as “on-premise” hosting. Depending on your requirements and your company, one may suit your objectives better than the other. The main factors that drive the debate between the two are cost, control and customization.

Here are some benefits and features of each, so you can determine which one will best suit your construction tool management needs.

On-Premise Construction Inventory Management

An on-premise construction inventory management system provides the following advantages:

  • Tool and asset visibility is available in all locations through the internet or integration with a corporate intranet
  • Greater control over data security
  • Greater ability to customize the system
  • The organization has more control over the implementation process

Although on-premise hosting has many benefits, initial costs are higher as you need to have a strong IT infrastructure and good hardware in place to host, maintain and update the software. Also, initial implementation takes a bit longer than with cloud-based hosting.

Cloud Construction Inventory Management

Some common benefits of a cloud-based construction inventory management system are:

  • Low initial cost and predictable costs
  • All costs can be expensed instead of capitalized
  • No additional hardware investment, such as database or web servers
  • Data security is in the hands of the vendor
  • Offers greater stability and continuous updates from the vendor
  • Typically takes less time to implement

With cloud-based tool tracking, contractors are essentially paying to access the application instead of owning it. Contractors don’t have to worry about backups or other security measures, as these are performed by the service provider. As long as there is an Internet connection and a contractor is using an Internet-enabled device, the software can be accessed from any location. This also gives project managers access to real-time data from anywhere.

Which Type is Right for Your Company?

Established construction companies may be better suited to on-premise tool inventory management software, such as those that can utilize the investment for five to seven years. These are companies that already have an established network infrastructure and multiple work sites. In addition, on-premise hosting many be appropriate for companies that need a high-degree of customization, extensive custom programming, or would like to have greater proprietary control of their data.

Emerging construction companies who want to invest in an affordable solution and want the flexibility of having “anywhere, anytime” access are more suited to cloud-based management. These are companies that do not have their own servers or who prefer to have their data managed by the vendor. Of course, large, established construction firms may also choose a cloud-based solution for the flexibility it provides.

Meeting Your Needs for On-Site or Cloud Construction Inventory Management

ToolHound 5 OnSite provides the efficient, easy-to-use tool inventory management you need to control your company’s valuable assets. ToolHound 5 Cloud allows for the same easy-to-use, effective tool inventory management without having to deal with maintaining your own database and web servers. Contact ToolHound to learn more about which system is right for your company.


    This post does not have any comments yet.

    Leave a Comment

    Your comment will be submitted for approval before it is posted.