In which cases should businesses deploy their own CRM system, not using the cloud?

While CRM cloud solutions are popular and widely adopted, there are cases where businesses may choose to deploy their own CRM system instead of utilizing the cloud. Here are some scenarios where an on-premises CRM deployment may be preferred:

1. Data Security and Compliance: Businesses that handle highly sensitive customer data or operate in industries with strict data privacy regulations may prefer to maintain control over their CRM system and data by deploying it on-premises. This allows them to implement and enforce their own security measures, ensuring compliance with specific data protection requirements.
2. Customization and Integration: If a business requires extensive customization or integration with other internal systems, an on-premises CRM deployment may offer more flexibility. It provides greater control over the system’s architecture, allowing businesses to tailor the CRM solution to their unique processes, workflows, and integration requirements.
3. Performance and Latency: In cases where businesses have complex CRM processes, large data volumes, or require real-time data synchronization, an on-premises CRM system can provide better performance and reduced latency. By having the CRM system hosted locally, businesses can optimize their hardware infrastructure and network to meet their specific performance needs.
4. Specialized Infrastructure: Certain industries or organizations with specific infrastructure requirements may choose to deploy their CRM system on-premises. This could be due to regulatory restrictions, proprietary hardware or software dependencies, or the need for specialized network configurations that are not easily supported in a cloud environment.
5. Cost Considerations: While cloud CRM solutions often have lower upfront costs, businesses with long-term cost considerations may find an on-premises CRM deployment more cost-effective. Over time, the recurring subscription fees of cloud CRM can accumulate, and businesses with stable IT infrastructure and resources may find it more economical to invest in on-premises hardware and software licenses.
6. Control and Ownership: Some businesses simply prefer to have full control and ownership of their CRM system. By deploying it on-premises, they can have complete autonomy over the system’s management, upgrades, and customization without relying on third-party providers or considering potential service disruptions.

It’s important to note that deploying an on-premises CRM system requires adequate IT resources, expertise, and ongoing maintenance. Businesses should carefully assess their specific needs, resources, and long-term goals to determine whether an on-premises CRM deployment is the right choice for them.