The advancement of business methods and how well your IT departments and business units assist each other are important factors in the transitioning process to SaaS. Businesses are gaining more authority in the IT decision-making and budget making processes. Some companies are buying the services they will use directly from suppliers, while IT departments have to take over the logistics of these purchases. This means redefining of roles and a new way of working together.
The classic procedure of buying software was to purchase all the licenses and service agreements, then the provisioning and managing infrastructures and finally the designing integration and migration processes. This would often translate into a very long and costly process resulting in many risks. Software updates had to be run on a regular basis and the security measures had to be enforced, often causing more restrictions or errors. As a result, not only qualified staff, but also test and integration systems had to be made available.
This is reason for the total costs of traditionally-purchased software were often three times higher than the originally quoted license and service costs. Moreover, it was only 15% of business application functionality that was being used; and 75% of the existing functionalities were rarely used and only a few users actually needed them. So, why should you pay for 100%?
The enterprises that engage in the “genuine” SaaS will purchase a simple and customized service solution with only one contract, and paying for only the services that will be used on a per month basis. Server, storage, network infrastructure and databases are included and they are no longer listed or charged separately. The updates will be performed automatically, the security will reflect the quality of the SaaS provider and your business will no longer be tied to a rigid license and service agreement.
Mobile devices and apps are very important to SaaS drivers, since the SaaS solutions are, by definition, web-based and often enable mobile apps so that your employees can work at any time, from everywhere. The functionality overkill and overloaded user interfaces now belong to the past. You will now have a simple and comfortable way of accessing your business applications and data. SaaS is still developing at the same pace as most businesses do and proves to have the necessary flexibility.
The SaaS revolution is here – are you ready for it?
To better understand the cloud and what Software as a Service means, visit SaaS on webopedia.com.
To read more about SaaS and Cloud Hosting, visit SaaS and Cloud Hosting.