The cloud-versus-on-premise decision for SAP Business One is one of the most important infrastructure choices a manufacturer will make. Both deployment models have matured significantly, and the right answer depends on your specific operational requirements, regulatory environment, and growth plans.
The Shift Is Real
In 2020, roughly 75% of new SAP Business One deployments were on-premise. By 2026, that ratio has reversed — over 65% of new implementations are cloud-based. But on-premise remains the right choice for specific manufacturing scenarios.
Side-by-Side Comparison
When Cloud Is the Right Choice
Multi-Site Operations
Cloud centralizes data across multiple plants and offices without VPN complexity or database replication.
Rapid Growth
Cloud scales instantly as you add users, locations, or transaction volumes without hardware investment.
Capital-Constrained
Convert a large capital expenditure into a predictable monthly operating expense.
Remote Workforce
Enable anywhere access for sales teams, remote managers, and traveling executives.
When On-Premise Is the Right Choice
Data Sovereignty
Regulations or contracts require data to remain on your premises or in a specific jurisdiction.
Complex Integrations
Heavy integration with on-premise MES, PLM, or shop floor systems benefits from local network speed.
Latency-Sensitive
Real-time production control applications that cannot tolerate cloud latency.
Existing Infrastructure
You already own capable servers and have a skilled IT team to manage them.
The Hybrid Option
Many manufacturers are choosing a hybrid approach that combines the benefits of both models.
Decision Framework
Deployment Guidance from Synesis
Synesis International has deployed SAP Business One in cloud, on-premise, and hybrid configurations for manufacturers across multiple industries. We help you evaluate your specific requirements and recommend the deployment model that optimizes cost, performance, and operational flexibility.
