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Why your Business Needs Software as a Service

November 20, 2009 Leave a comment

Software as a Service (SaaS) is a growing business model that can provide a great new perspective to companies that need to utilize software applications for their everyday operations.   Today, there are thousands of SaaS applications that can handle everything from corporate recruiting and lead generation to inter-organizational collaboration.

In the past, antiquated ‘bulk’ pricing methods often left companies high and dry without the desired results from a software application. Software as a Service changes the game completely, allowing companies to choose their own pricing plan and get the most bang for their buck, so to speak.

One question that often arises is: why didn’t SaaS happen before?  If it’s so great, why now?  The answer is, cutting edge internet technologies have recently allowed SaaS companies to provide their technology to clients at minimal costs by leveraging cloud computing, open development, and flexible software models.

If your business hasn’t tried out a SaaS specific to your industry, here are several reasons to get going now:

1. Ready-Made

Just as you would save time from cooking by picking up some ready-made food, SaaS is also ‘ready made’ for specific industries.  For example, SaaS Recruiting Software is tailored specifically for hiring managers and recruiters, and is often developed by them. The cost and time it would take for a company to ‘cook up’ their own tailor-made software package would be enormous compared to utilizing a SaaS solution. Deploying SaaS for your company is fast, and will have immediate results.

2.  The Most Bang for Your Buck

Many SaaS providers charge a monthly fee that can be cancelled at any point if the services provided are not adequate.    This low risk program allows a business to evaluate the success of the software package on an ongoing basis to decide if they want to continue its use.   This is in strict opposition to the B2B software models of old, that often had large upfront costs and strict contracts that required a customer to take a big risk.

3.  No Installation Required

The majority of modern Software as a Service solutions live ‘in the cloud.’  This means that these programs are fully accessible online and don’t require  installation onto a specific computer for use.  Not only does this save a business time and resources during the installation process, but it also allows a company’s employees to access the system anywhere, anytime.

4.  Expert Support

Because Software as a Service is often industry specific, many SaaS providers also are experts in that industry.  This industry expertise translates to far better support than your traditional ‘broad spectrum’ software package.  How many times have you spent countless hours on a support line, just trying to get to the right person within an organization?  With SaaS support, anyone you get on the phone will most likely be able to answer your questions.

5.  Real Time Collaboration

Because many SaaS packages live online, they tend to stress a collaboration and ‘social networking’ aspect that many older software models tend to forget.  We live in a world where Facebook and Twitter are mainstays of communication, allowing for real-time updates and news.  Online SaaS takes a similar Web 2.0 view of business, allowing employees to communicate and view incoming data in real-time.

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