When we create a project on jira on prem with shared configuration then later if we change configuration in any project, will that change be reflected in other project?
Yes that is correct. If there is a need to change configuration in one project then you can always create a copy of that specific configuration. For example if a separate workflow is needed for one issue type then you can create a new workflow and use a new workflow scheme to attach it to the project.
I hope it helps.
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