Leveraging On-Premise Treasury Management System Benefits

on-prem treasury benefits

When it comes to getting the most out of a Treasury Management Systems (TMS), on-prem software installed on your organization’s servers, and behind its firewalls, offers several benefits above cloud-based software. A company’s long-term goals must take into consideration the discussion of on-prem vs. cloud services.  

Companies with sensitive data, such as financial institutions, healthcare, and government entities, are prioritizing security and data control above the perceived cost savings of moving their systems to the cloud. Capital expenditures and investments in on-prem servers and personnel offer long-term financial stability, security, and reliability. Cloud based software can offer quick scale up, but with limits on modifications and controls. Below, we will explore some of the key benefits of on-prem and cloud TMS. 


An on-prem treasury systems deliver an expected level of reliability that is not possible with cloud-based systems. With recent outages and disruptions of cloud servers and systems making headlines, as an on-prem user, you can rest assured knowing that you’ll remain independent from 3rd party service issues.  

Recent cases of cloud service disruption have highlighted adverse effects to various companies using cloud; from loss of customer orders, booked fares and lost reservation, to internal complications. An on-prem solution can quickly address any potential security threats or outages with your in-house teams. Since access to your TMS and data is limited to whomever is an authorized admin or end-user, you’re granted greater oversight and have peace of mind that your on-prem system will remain reliable for you, your clients, and stakeholders. 


Data security is an area of increased concern. With recent security breaches and ransomware attacks making headlines, cloud security is at the forefront of the security conversation. Gartner recently updated their cloud security assessments and concluded that by the year 2025, 99% of failures in cloud security will be a result of user error security issues on the customer side rather than issues on the software side.  

Though cloud is increasingly secure, some users may want to remain on-prem if they deem the risk of data being exposed publicly isn’t at all tolerable. In some cases, an on-premise system may provide better security because you are storing data on site and in fewer places. 

Beyond the technical software security considerations of your TMS application, other important areas of on-prem treasury security are risk management and cash management. With any treasury strategy, managing cash liquidity and incorporating risk management capabilities into your TMS is crucial to reducing risk and ensuring your organization has the cash on hand you need, while also taking advantage of opportunities to invest wisely and take advantage of rebates or discounts.  

Volatility in currency and inflation has significantly impacted treasurers, and a lack of insight into potential liabilities and trends and has resulted in consequences for some organizations that have been as severe as millions of dollars’ worth of financial losses. The risk and cash management capabilities of on-prem treasury systems are continuing to be supported and improved, and tools like Kibana analytics offer data visualization capabilities that can help treasurers gain valuable insight into their cash liquidity which, in turn, can create a sense of financial security and peace of mind within your organization.  

Ease of Integration 

On-prem users that are already leveraging their TMS capabilities will find that their financial processing and treasury needs are integrated throughout their ERP system. There’s a natural integration with cash forecasting, banking, accounting, and reconciliation to the General Ledger. Cash Forecasting of Accounts Payables, Accounts Receivable, and Expenses is also possible when your systems are easily integrated.  

Cost Savings 

Treasury will save you on the upfront costs of moving to a cloud-based Treasury Management System. Though the latest cloud-based tech on the market offers many advantages, it frequently makes more sense to stay on prem. With rising cloud costs that are typically associated with data storage, the case can be made for keeping certain assets on premises.  

After initial capital expenditures and operating expenses, costs are controlled to maintenance of your current system. With many on-premise software providers committing to ongoing support of their systems, you’ll have peace of mind knowing that your on-prem investment will continue to be supported.  

If you need help deciding whether to move to cloud or to stay with your on-prem Treasury Management System, Elire’s Treasury Experts are here to assist you. Check out our Treasury Services here and reach out to [email protected] to schedule a time to discuss your organization’s needs. In the meantime, view our webinar recording below for “Enhancing Financial Clarity and Liquidity Management with PeopleSoft Cash Management” and learn about enhanced reconciliation, cash positioning, forecasting, and global firm liquidity transparency in PeopleSoft. 


  • Maddie Caron

    Ms. Caron serves as Elire's Marketing Specialist, specializing in content writing and digital media communications. Maddie works to deliver relevant industry updates and technical blog posts to educate and engage Elire's audience.

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