Uncovering the Penalties of Running SharePoint On-Premises

Many organizations believe that for the sake of compliance, security and control, they have to run SharePoint on-premises.

But if your company is one of those running it on-prem, you’re acutely familiar with the mountain of responsibilities involved in maintaining this complex system, which consolidates multiple business functions. Those responsibilities can cut deeply into SharePoint’s main benefits: boosting productivity and lowering costs.

To get to the full array of SharePoint benefits on-premises, you need a team of experts to climb the mountain of configuration, deployment, upgrades and security.

“All of the day-to-day living and breathing of machines used to take up a majority of our time,” said David Rosenberg, vice president of internet services at Edelman of his experience running SharePoint in house.

The time sink isn’t the only drawback of running SharePoint on-premises. In his white paper, Exposing the Hidden Costs of On-Premises SharePoint, Office 365 MVP Dan Holme explores the real penalties of running SharePoint in your datacenter, including:

  • Misalignment of cost and value
  • Loss of agility
  • Misallocation of IT resources
  • Squandered skillsets and experience

Hidden Costs covers a half dozen more penalties you’re risking by keeping SharePoint on-prem and describes how enterprises are finding a remedy to these penalties with cloud-powered SharePoint services.



Caroline Lim is a Marketing Manager for Cloud Office, focused on the Rackspace Email and SharePoint products. Her experience stemmed from Marketing Communications and has grown into specializing in Demand Generation through digital strategies and Inbound Marketing best practices. She gets a thrill out of challenging new opportunities and believes in learning through hands-on experience, growing from failures and receiving guidance from peers.


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