A Complete Guide to SaaS vs. On-Premise Software

Software used to be something you purchased, installed, tested, trained on, and then used. That’s not the only option anymore. With cloud computing, many (perhaps most) of the applications you need are also offered aaS, or “as a Service.” Software as a Service (SaaS) is an application you access and use via the cloud, rather than something you install and manage in-house. How can SaaS benefit your organization?

Evaluating the Cost

One of the main reasons cloud applications, such as IT service management solutions, have become so popular is the cost. Software that costs thousands of dollars to buy and install can be accessed for a comparatively nominal fee via the cloud. Additionally, businesses don’t have to spend days testing and troubleshooting. Another factor is the pay-as-you-go model. With SaaS, you pay only for what you use. This also keeps businesses out of hot water when it comes to software licensing.

Evaluating the Equipment

As businesses grow, it takes a lot of hardware to accommodate more and bigger applications, data sets, and users. The SaaS model grows with the business, without having to make huge investments in servers and other equipment to make it happen. This hardware isn’t the only cost; organizations also have to invest in larger facilities to accommodate the growth, higher maintenance and power bills to keep all of the hardware running, etc. With the SaaS model, you can eliminate all of this overhead entirely.

Evaluating the Ease of Upgrading

When was the last time you had to upgrade a large or important software package in-house? It’s almost as difficult and time-consuming as installing new hardware. With the SaaS model, upgrades are virtually instantaneous, and most cloud services offer their upgrades at no additional charge. Your business always has access to the latest features and security updates, without the installation, testing, and debugging associated with in-house software upgrades.

Evaluating the Training & Support

Companies can easily spend thousands or even tens of thousands of dollars above the cost of their software packages to get employees adequate training and access the support they need to make the most of the software. Comparatively, most cloud solutions are easy, intuitive, and come with the support you need to make it work and get the most out of the features and functionality.

Evaluating the Issues of Integration and Compatibility

As a bonus, utilizing software applications via the cloud means you don’t stumble across any compatibility issues with the software and hardware you already own. This means less downtime and frustration for the IT help desk to resolve compatibility issues. As software and systems become more complex, this will become increasingly important to businesses.

SaaS is especially helpful to growing companies that don’t have the funds or workers to build and maintain their own IT infrastructure. With the cloud, you can access the latest and greatest software and apps instantly for a fraction of the cost of purchasing similar functionality. SaaS becomes the clear winner among growing organizations.