May 25, 2016
Not that many know what SaaS or software as a service is, and those who do may not really know why this is advantageous to your company. To begin, let us first understand what SaaS is. Software as a Service is actually a pretty self-explanatory term – it means that the software you are using is not installed on your computer but rather is something that you use or access via the internet. In short, it is a software service that your company rents from a provider.
Now, some people may argue that if you are renting something, therefore you do not own it, and this to them is a disadvantage. This idea of renting and not owning being a downside may stem from the general concept of owning things like cars and houses being better than renting. There is a big difference between these two.
Think in terms of the email you use on Google and Yahoo, for example. These are similar to what SaaS is, with the email application being accessed via any computer that is connected to the web, without the need to download anything anywhere to access it. All you need is a browser, an internet connection, and an email account, and voila!
With software as a service, you get a specific tool that you or your company can use, but without you needing to install this software on any computer for anyone to use it. Instead, you give people the log-in and password for this particular tool in order for them to utilize it. This makes such a tool mobile and usable on any computer that is connected to the internet. This is one of the advantages of SaaS.
Another advantage that people find when they opt for this service is the lower cost. When it comes to software that your company needs, if you purchase it outright, you will need one copy for each computer. A good example of this would be Microsoft Office. You cannot just buy one copy for all computers. You have to buy each computer its individual copy since each one has a license that limits the use of such a tool to one install per computer.
An online suite of tools from a provider however can usually be rented at a fraction of the cost. Even if you need to rent one for each individual in your office at say $8 per month, it would still come across as cheaper when compared with $300 per unit. The use of a cheaper service that allows you to do the same things that more expensive installed software can do is indeed a smarter move when it comes to saving money for your company.
Also worth noting is that software as a service providers can offer you a variety of options for your needs. Some allow a pay-as-you-use kind of scheme, which allows companies scalability according to their need month by month. Some also offer a trial period where users can experience these tools for a limited amount of time to help them determine whether or not a tool is ideal for their business.
Any which way you look at it, Software as a Service (SaaS) is indeed something you should consider if you are thinking of saving money for your company, being able to access your tools and data anywhere, and can adjust your requirements on the fly.