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Software as a service (SaaS) or service-based delivery of online applications is a great way for businesses to cut costs from licensing fees and software maintenance. According to a recent research and analysis performed by Gartner study, 90% of businesses using SaaS plan to either maintain their current level of usage or increase usage in the near future. While there are mixed feelings in regards to the cost-effectiveness of SaaS, businesses and especially executives are recognizing the importance of determining if online applications are a right fit. SaaS provides the latest versions of software, without the need to update or upgrade. Working in conjunction with cloud computing, SaaS is a potentially rewarding investment.
Unique to software as a service is the ability to minimize cost of ownership for software and applications--one of the benefits of working in the cloud. In particular, SaaS has the capacity to save organizations a large amount of money annually if implemented correctly and under the right circumstances. A good way to test if SaaS is a right fit for your company is to first determine how much licensing, upgrades, maintenance, and administrative costs from these areas are affecting your company's budget. What makes it a smart investment is that SaaS is easy to maintain and offers a vast variety of application services for companies seeking to cut costs while still using the most up-to-date software available and keeping up with competition. Using online applications instead of purchasing licenses for the software can be the important first step to reclaiming company resources in a down economy. Another plus to using SaaS is that it integrates easily with any platform your company might be using. There has been much cause for concern that significant training or implementation fees would make SaaS a lengthy and production-slowing investment. However, companies utilizing services such as Microsoft will find that the Microsoft online applications function identically to the software that employees are already using; SaaS can even offer mobile access, thereby increasing productivity. |