Workflows can be scheduled or event based. Scheduled workflows run on a particular schedule, for instance, the drip marketing campaign could run every Monday morning, determining the next step for all the leads in that funnel. For that reason, schedule workflows tend to be server-side. Alternatively, the workload could be events driven. The action is taken as soon as a user creates a new record, which is a client-side workflow.
The selection of event-based and scheduled workflows is made in the Initiation tab when we create the workflow in Customization | Workflow | Workflows | New: