An economical way to automate business processes is through the use of SaaS. Is it a better option compared to an on-premise software? Get to know the facts before you decide.
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What is SaaS?
Short for Software as a Service, SaaS is a software delivery method that provides access to software and its functions remotely as a Web-based service. Software as a Service allows organizations to access business functionality at a cost typically less than paying for licensed applications since SaaS pricing is based on a monthly fee. Also, because the software is hosted remotely, users don’t need to invest in additional hardware. Software as a Service removes the need for organizations to handle the installation, set-up and often daily upkeep and maintenance. Software as a Service may also be referred to as simply hosted applications. Source: Webopedia
How do I choose between SaaS & On-Premise?
The first step to answering this question is to determine the complexity of your business. We typically recommend SaaS to small to medium businesses with fairly straight forward business processes that are looking to reduce upfront expenses. Why? SaaS solutions are cost effective, but they are still working their way toward handling the complex requirements of large enterprise businesses. If there is one area that SaaS is still working to make up ground in terms of offerings, it’s delivering the same level of robust functionality that you find in on-premise systems. Source: SoftwareAdvice
What are the biggest advantages of SaaS?
- Low cost (no initial large scale investment in licenses and infrastructure), pay-as-you-go pricing model
- Minimal risk and up-front investment which enables companies to move quickly on new business ideas and bring products and services to market faster
- Flexibility in terms of licensing and scalability of resources
- Easy to deploy and manage
- Encourages simplification and standardization of business processes
- Predictable operational costs
- Levels the playing field for SMBs to compete with large companies
- Better security, disaster recovery, backup
- Short development timeframes for developing custom applications to use with the basic application
- Oftentimes, greater functionality and more frequent upgrades than on-premise software
- Procuring, deploying and managing the infrastructure and software in-house is no longer necessary, which means a large technical staff isn’t required (the vendor maintains and upgrades the software)
- For end-users: transparent updates; anytime, anywhere access; all that’s required is a web browser Source: ITManagerDaily