A method and system is provided for provisioning software applications on edge devices in an Internet-of-Things (IoT) environment. In an embodiment, a method includes generating a plurality of simulation instances capable of simulating behavior of a software application on one or more edge devices in the IoT environment. Each simulation instance is configured with a unique resource configuration. The method includes processing the software application on each simulation instance using data from a plant. Furthermore, the method includes computing an optimum resource configuration associated with the software application based on processing of the software application on the simulation instances. The optimum resource configuration associated with the software application is computed by determining at least one simulation instance from the plurality of simulation instances on which the behavior of the software application is satisfactory, and determining the unique resource configuration associated with the determined simulation instance.