With on-premises software, updates can be a real mess. There is a chance for conflict with data that had been previously entered and customizations that have been created especially for that practice. Moreover software updates need to be individually delivered to your server either through a CD, VPN or web connection. Nevertheless, each update is individual. When there is a conflict the update needs to be de-installed and any data entered after the update is in jeopardy. This is why on-premises software updates are few and far between. That is also why vendors must charge a lot of money for this update to their customers. Requiring a user to manage their “versions” and sequential updates is an antiquated concept with a short-lived future due to this management burden it places on the end-user.
With a web-enabled or hosted model the same problems arise – even if your vendor is “managing” this for you.
With a true web-based solution software updates happen seamlessly, in small increments and on a regular basis such as weekly or bi-weekly. This minimizes disruption to the end-user while providing ever-expanding software functionality. This Agile software development philosophy provides the end-user with the most organic method of increasing functionality with the smallest risk to the existent infrastructure. For this reason web-based solutions have not only caught up with the functionality of even the most feature-laden on-premises systems but have now far surpassed them in functionality.