Given the popularity of on demand services ( and how difficult it is to transform a legacy software package into an on demand service), some software vendors have begun offering a hosted or managed version of their software, and calling it an on demand service. Don't be fooled!
True On Demand / SaaS solutions offer faster deployment, immediate savings and built-in service and expertise on demand via the Internet. Make sure your business realizes the full benefits associated with the SaaS model. Use the following table to distinguish between true on-demand service offerings, and companies paying only "lip service" to the on-demand model.
A core shift in the underlying relationship , from product-based to service-based
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Web-based application with delivery of the application service over a standard Internet browser that is specifically designed and developed by the Software as a Service provider, not another technology firm
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No end-user investment required in software, hardware, or use of additional IT staff
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No software/no hardware installed; remotely delivered and managed applications from a single or multiple centralized locations, but not residing on the client's site or within its underlying IT structure
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Rapid and simple deployment , configuration and training (typically less than three months)
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Single application code base (Java, J2EE, .NET, or open source) and single platform and database selection that is used across the entire customer base allowing for significant product development and R&D efficiencies
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A "one-to-many" application delivery model that is often defined as a multi-tenant architecture, which is scalable, secure, and replicable application architecture capable of supporting thousands of concurrent customers on a single instance of the application
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Frequent upgrade cycles occurring multiple times per year in addition to minor product enhancements on a routine basis that are all seamlessly deployed over the Web
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"Pay-as-you-go" pricing with a wide variety of models (i.e., subscription, transaction, etc.)and terms ranging from payments received upfront, to pre-pay, to as incurred
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Ability to customize and configure the appearance, policy settings, workflow and other characteristics to meet the diverse needs of a large customer base
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Ability to integrate using APIs and Web Services with other existing third-party and internally developed enterprise applications and databases
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Back-end application hosting from remotely managed/owned facilities, or provided by a third party
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24x7x365 perpetual account responsibility with on-going customer services supporting end-user adoption, use / training, and troubleshooting
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Source: Triple Tree
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