The Identity Blog

Hosting GRC Solutions: On-Premises vs. Cloud-Based

GRC strategies aim to help companies better coordinate technologies, processes, and people ensuring that they act ethically. A well-coordinated GRC program can address several challenges of the traditional and siloed approach to risk and compliance. Let’s analyze the advantages and disadvantages of GRC solutions by comparing on-premises to cloud-based solutions.

GRC On-Premises

Maintenance and storage

The organization is wholly responsible for server uptime, configurations of applications, and updates. Deployment of an on-premise GRC solution, involving both servers and clients installed on the user workstations, can be time-consuming.


The company has to purchase a software license rather than pay a monthly fee for usage. The license cost may be initially high but in the long run, it will cost less than a monthly SaaS subscription. Also, there is an additional fee for hosting software on-premise, which involves hosting, maintenance, and troubleshooting.


Often, organizations trust that on-premises software is more highly protected than cloud-based software. However, this is not always true. Staffs are responsible for software updates on-premises, which means, the security patches are not installed automatically. Cloud data centers have cutting-edge security that is not usually matched by a company’s data center.

Cloud GRC

Maintenance and storage

Neither physical installation on a server is needed, nor the procurement of required hardware. The vendor hosts the application and manages updates that happen automatically. Deployment is easily achieved within hours or days.


Organizations usually pay for a SaaS solution in monthly payments. The customers can initiate upgrades easily. Without making any manual updates to the application, they can add extra services or users.


Security for a cloud-based GRC tool differs according to the provider. However, many software has greater security measures than on-premises tools. The vendor installs security patches instantly across all user applications. This way, you don’t have to rely on in-house employees for performing updates. Organizations must select a platform that encrypts their information and also has mandatory compliance certifications.

Governance Risk and Compliance offer benefits for organizations of any size. However, it is specifically valuable for large organizations aiming to efficiently implement cross-organizational GRC programs.

Write a comment