Why Software as a Service?
Category: Knowledge Base
Group: Industry Trends
SaaS (Software as a Service) provides a way for Small, Medium, and Large Businesses to obtain all the benefits of sophisticated software without having high implementation cost. SaaS is often referred to as ‘Cloud Computing’, and ‘Service On-Demand’, and it eliminates the high cost and complexity of hosting and maintaining the software on your own company servers. No IT department involvement.
The effectiveness of SaaS is achieved by enabling on-demand software licensing, management of content, functionality, information, and output, all independent of the hardware location. The vendor of the software hosts the application on their own equipment in a secure environment and allows the customer to access the application remotely.
How can SaaS Benefit Your Organization?
- Provide network-based access to, and management of commercially available software solutions;
- Manage activity and content from a central location rather than at each customers’ site, enabling remote customer access via the web;
- Pricing structure for the hosted application can often be customized to your specific size, resulting in lower total cost of ownership;
- Vendor provides software updates and upgrades quickly and with minimal interruption.
SaaS typically alleviates the customers’ (Subscribers) need to provision their servers with every conceivable application as the software is fully-equipped with its unique features. It also reduces traditional software maintenance fees, ongoing implementation of software patches and developmental upgrades, thereby eliminating these variable costs. Thus, service on-demand allows the software to become a fixed expense rather than an unexpected, variable expense. SaaS enables you to focus spending on the amount of software for the specified number of users.
Using SaaS can reduce the up-front costs of software purchases through less costly, hosted service pricing by providers. Service On-demand also reduces the Subscribers’ investment in hardware and the associated hardware maintenance.
If licensing fees or server limitations are keeping you from enhancing your business processes, SaaS may be the low-cost, practical solution to introducing new software. SaaS will open the door to new technology, simplify our operational efforts and save you money.
(Publish Dt) 10/23/2010
Buzz: saas,software as a service,cloud computing