Healthcare organizations now run on software. These platforms collect and manage patient data and business information, making them essential for everyday operations and future growth.
You can deploy the tools via two methods: on-premises and cloud-based.
The on-premises healthcare solutions store your organizational data and patient information locally on private servers. Organizations typically locate servers for on-premises HealthTech applications inside the building, hence the name.
Data-center operators house the off-site servers that run cloud-based platforms. You and your customers will access the data through local devices.
Both deployment methods bring unique advantages to healthcare software. For instance, on-premise solutions can meet strict compliance requirements, while cloud-based HealthTech tools can be scaled easily.
So, how do you choose the right solution?
In this article, let’s look at the advantages and disadvantages of on-premises cloud healthcare solutions to determine the appropriate choice.
What Are On-Premise Healthcare Solutions?
Your hospital, clinic, or institution houses the servers that run on-premises health software systems. Everything about these solutions, including hardware, software, and licenses, is managed by your in-house development teams.
Some common examples of on-premises healthcare solutions are legacy software, such as Epic’s self-hosted electronic health record (EHR) systems, radiology information systems (RIS), and laboratory management tools.
You can use them to handle complex tasks, such as recording patient vitals before a procedure or maintaining medical equipment. The best part is that you can highly customize all aspects of the solution, including the workflow, interface, and navigation.
The in-house technicians and developers ensure the software works as expected and protects the organization from cyber threats. Only authorized devices connected to the secure intranet can access the tool.
Advantages of On-Premises Healthcare Solutions
As you handle everything, you can pretty much create an on-premises software for any niche task. This makes these platforms quite versatile, in the sense that you don’t have to modify your workflows because you can build a very specific tool.
Consequently, on-premises HealthTech applications meet strict compliance requirements because they run on your intranet. The healthcare industry is already heavily regulated, and choosing an on-premises software can help you err on the side of caution.
If you are facing strict compliance obligations, you should consider on-premises healthcare platforms. This method of deployment is effective for niche organizations, such as research institutes and pharmaceutical companies.
The final benefit is responsiveness. Due to the nature of their deployment, on-premises health software performs better. The proximity to the servers and the dedicated nature of the network reduce latency, thereby improving the user experience.
Disadvantages of On-Premises Healthcare Solutions
These types of HealthTech applications require a high upfront investment. Setting up servers, storage, network infrastructure, and user devices requires a large amount of capital. Moreover, you must maintain an in-house team to manage the systems.
Furthermore, if you want to scale the solution or want to merge with another system, it’ll be a long process. Your team must manually implement and test each improvement or change before adoption, which increases cost and complexity.
Last but not least, the usage protocols around on-premises healthcare software can get outdated over time. A sense of familiarity and negligence can delay essential security and feature updates, affecting your workforce’s output.
What Are Cloud Healthcare Solutions?
Cloud providers host healthcare software on remote servers, and authorized accounts access it. A third-party vendor provides the infrastructure and handles storage, maintenance, updates, and security.
Additionally, the vendor or provider must ensure that the solutions are compliant with global data privacy regulations like HIPAA and GDPR. If you are considering a particular cloud health solution, it is crucial to verify its compliance certificates.
There are plenty of proprietary cloud HealthTech tools, such as Tata 1mg and AllDayDr, that you can access instantly by signing up and paying for a subscription. Due to their nature, you can use these platforms from any geographical location provided you have a compatible device and a strong internet connection.
Advantages of Cloud Healthcare Solutions
The biggest advantage for your organization is accessibility. Staff members can use the systems on mobile devices at any time and from anywhere. This will allow you to expand your offerings and provide remote telehealth services.
Moreover, you can scale it up as needed. If you gain more users or employees, simply upgrade your subscription tier. This is quite seamless and quick compared to on-premises healthcare platforms.
The third benefit is reduced infrastructure costs. There is no need for local storage devices and servers because the cloud will host and manage all your data. On top of that, you can do without an in-house IT team, reducing expenses further.
Finally, cloud healthcare solutions are easier to adopt. These platforms come with powerful integrations to existing enterprise solutions. Consequently, you can streamline your workflow and enhance collaboration for operational efficiency.
Disadvantages of Cloud Healthcare Solutions
You will certainly struggle using cloud HealthTech platforms when suffering from weak internet connectivity. This means that providing digital healthcare services in remote locations, such as villages, can be challenging.
Additionally, you may find it difficult to pass through all the nuanced compliance checks. Yes, top healthcare software vendors do maintain strict privacy and security standards, but they still may fall short if you are looking for something very specific.
Another reason is that cybercriminals are more likely to target publicly known cloud-based solutions, which increases the chances of a potential data breach.
The fourth disadvantage of cloud healthcare solutions is limited customization. Proprietary healthcare software providers usually target a broader audience. Hence, their tools are less likely to address the tailored needs of your HealthTech institution.
How to Choose Between On-Premise vs Cloud Healthcare Solutions?
Identify Your Regulatory and Compliance Needs
HealthTech applications handle deeply personal data of your patients and sensitive information of your organization. It’s crucial to protect it from malicious agents and legal issues.
First, review the local data handling and privacy laws to identify all the regulations your solution must comply with. Then, examine the compliance certifications and badges of proprietary on-premises platforms that can be a good fit.
Many vendors now offer HIPAA, GDPR, and HITRUST compliance out of the box, making cloud health tools a cost-effective option. If you are dealing with strict regulations, go with an on-premises healthcare solution.
Create a Security Risk Profile
A security risk profile provides insights into the digital resilience of your on-premises and cloud-based healthcare systems. It monitors various aspects of your IT infrastructure, including firewalls, access controls, and patch management.
Then, you can compare on-premises cloud healthcare solutions on multiple grounds, such as threats, compliance needs, and control levels. This practice will help you visualize your daily operations with these tools.
Finally, collaborate with relevant stakeholders to determine which security profile is more acceptable to your organization.
Consider Cost and Budget
As discussed earlier, on-premises health software demands large capital investments in hardware, software, licenses, and personnel. Additionally, maintaining an in-house IT team can keep the overhead costs higher.
Cloud-based healthcare solutions have an advantage in this regard. If you are a growing institution, going this route may be cost-effective. Moreover, you can adopt the platforms quickly and will only pay for what you use.
Look at Scalability and Future Growth
You can scale up on-premises solutions to match your custom needs, in terms of system functionalities and server capacity. However, it can be resource-intensive due to investments in technology, infrastructure, and IT teams.
Cloud-based healthcare platforms offer seamless scalability in terms of server capacity, compared to their on-premises counterparts. It occurs instantly, and you can downgrade to a different plan if your needs evolve in the future.
Unfortunately, the vendors may add, enhance, or remove features in the cloud healthcare software at their discretion. Unless you are an enterprise customer, it can be difficult to request a personalized feature or functionality.
Ensure System Integration
HealthTech systems work better and more effectively when integrated with one another. They enable interoperability in healthcare and elevate user experience (UX).
Both on-premises and cloud health software offer unique advantages in terms of system integration. On-premises solutions can be designed to fit your custom workflows, and cloud-based tools have built-in integrations for third-party applications.
In this case, it’s better to thoroughly check if the built-in integration capabilities of cloud-based tools would be enough.
Verify Uptime and Reliability
There are limitations in both HealthTech app deployment methods.
On-premises systems are vulnerable to local disasters, such as accidents, physical damage, or mishaps. Hence, it’s key to invest in backup systems to ensure uninterrupted operations.
On the other hand, cloud-based solutions can experience downtime due to scheduled maintenance or server issues. Additionally, they can malfunction or not work at all if you have unstable internet access.
Test Staff and Patient Skill Levels
The end users of the healthcare solution should be able to extract maximum value from the tool.
On-premises platforms can be designed around the digital literacy levels of your existing workforce. This can be beneficial if your team members are constantly busy, and training them translates to disrupted operations.
However, if you can invest in employee and user education, cloud-based solutions can fare better due to other advantages, such as lower upfront costs and hassle-free scalability.
Hybrid and Multi-Cloud Healthcare Solutions: Best of Both Worlds
Using a combination of on-premises and cloud-based healthcare solutions can often be better for your institution. Hybrid and multi-cloud are two such approaches that enable you to experience the best of both worlds and build a resilient, scalable, and cost-effective HealthTech app.
The hybrid approach allows you to access cloud-based services through on-premises infrastructure. For instance, you can store patient data on private servers while running analytics in the cloud for greater efficiency.
This helps you maintain complete control over patient and organizational data while delivering digital healthcare services.
Multi-cloud healthcare solutions involve working with multiple vendors to eliminate a central cyber risk element and prevent vendor lock-in. It gives you the freedom to choose different healthcare software vendors for EHR hosting, data backup, and AI-powered diagnostics.
This offers you the flexibility to choose the best services from each vendor to build a tailored tech stack optimized for performance.
The above blended approaches improve data interoperability and strengthen your digital infrastructure. Healthcare providers can access all kinds of patient data, and your workflows will be resilient with no single point of failure.
Furthermore, you can always choose the best vendors and get the best value for your organization.
However, there are challenges when making hybrid and multi-cloud healthcare solutions work.
There is increased complexity due to the multiple tools and systems in the tech stack, which use different deployment models. This can require additional equipment and personnel to set things up and keep them running smoothly.
Fortunately, thoughtful change management can effectively tackle the challenges. Provide your team and users with enough guidance to use the HealthTech applications efficiently, and implement the system modifications in phases.
SoluteLabs Can Build the Best Healthcare Solution For You
It can be confusing to select the appropriate hosting and deployment option for your organization’s healthcare solution. There is no one-size-fits-all solution, making the selection process tedious and time-consuming.
A better approach would be to work with experienced professionals who have already helped established healthcare businesses build resilient digital systems.
SoluteLabs specializes in HealthTech app development and has helped brands like Tata 1mg, Roche, and AllDayDr build powerful and compliant healthcare solutions.
Contact us today for a consultation call to understand what would fit you better.
