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Software as a Service Concept

More and more businesses are taking advantage of Software as a Service technology to operate their business and win in competitive markets.  This technology is a new type of business model and way of delivering software to computers.  Rather than sold as a package upfront, SasS is sold on a subscription basis and updated over time through the web.  That change in model creates a number of advantages that cannot be overlooked.

Costs

Perhaps the reason that SaaS has grown so quickly is that it simply costs so much less than pre-packaged software in the short-term.  Rather than buying a huge software package upfront that can cost thousands of dollars, small businesses can pay a couple hundred dollars on a monthly basis.

In the old days, Oracle might approach a multinational insurance company as the only supplier that provide all of the features, integration and reporting data in their CRM software for their sales agents.  They sell one package of software that is provided by a DVD for a huge cost upfront that costs millions of dollars upfront.  Now, companies like SalesForce, Microsoft Dyanmics, Zoho and others are providing SaaS solutions that can be bought on a monthly basis per user.  Companies can easily add or subtract features or users by simply adjusting their online account.  Costs are much lower and much more convenient for the client.

Updates

SaaS is truly unique in that updates are made automatically without a user needing to do anything at all.  They do not have to upload or administer anything. Instead, the software provider simply uploads the new features or version online and all of the users immediately gain access to it.  Some companies do this on weekly or monthly schedule, while other companies update their software on a more irregular schedule.

This is crucial for industries that change often. For example, educators are constantly monitoring updates in the curriculum that they are responsible for teaching. An SaaS test taking platform could automatically include any requirements and test taking features on sample tests for students.  That makes the educator’s life infinitely easier.

Features and Fixes

SaaS tools have the most up to date features because they are updated so regularly.  As the updates are delivered online, it is much easier for the software provider to simply upload the new code and provide instant access to all users to the new feature.  For example, when a new communication tool comes out, it can be instantly integrated with existing features and functions of the software to make chatting easier among employees.  For a construction firm working on a single big project, it’s crucial that everyone is on the same page examining the design, engineering, architecture, materials list, staffing, costs and schedule.  Without this information at all times, a construction group could easily fail or miss their targets.  Using a task manager SaaS with communication integration helps to make sure everyone is constantly working towards the same goal.

The same goes for bugs or viruses that have infiltrated the software.  Once these are found, the provider can immediately fix them and upload the new patch to all the users.  No additional coding or uploading is required by the users yet the error will be fixed by the provider.

Cloud

SaaS solutions are stored in the cloud, not on individual hard drives.  All of the data can be accessed wherever the corporate user is.  No matter where the client is using the software, they can simply log on to the web interface and gain access to all of the tools and features.  There is no difference between the tool on a remote and home computer, so staff will not need to adapt at all.  Best of all, data can be saved exponentially with little extra marginal costs.

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