SaaS - software on tap

Text: Gerben Bloemendal

SaaS – Software as a Service – sees us at the forefront of radical changes in the area of commericial software. SaaS is software offered as an online service, as opposed to locally installed software. It is no longer necessary to purchase, install, maintain and update software. SaaS offers flexibility for a fixed rate per month.



Vacuuming, watching television, washing, cooking and charging your mobile phone – all these activities are a matter of course. An appliance works as soon as you plug it into the wall. Yet not so long ago, you had to chop wood for heat, handwash everything, and iron shirts using an iron full of glowing coals. Nowadays, electricity ‘on tap’ is something we take for granted.

A matter of course

SaaS can be compared to electricity from the power outlet. You no longer need to mess around with CDs, licences and hardware, but you can directly login via the web. The SaaS model means you don’t need to install software yourself, nor set it up, update it or maintain it. The application is provided and used via the web. Data are saved on central servers, which are located in data centres and maintained by specialised third parties. You pay a fixed amount per month for the service to the provider via a subscription. The only thing you need is a PC with an internet connection. Software from an internet cable however, is not yet a matter of course. The adoption of SaaS in Europe is still somewhat behind the uptake in the United States, where SaaS is already widely accepted.

Get used to it

Research shows that SaaS is not just a trend. The SaaS concept is gaining increasing acceptance in organisations and among software producers. The report titled ‘SaaS Delivery Challenges On-Premise Software’ compiled by research bureau Gartner revealed that in 2005 SaaS made up around five percent of spending on business software. Gartner anticipates that by 2011 this percentage will have increased to 25 percent. IBM even expects that in 20 years time all software will be SaaS. Xander Orth, who examined the use of SaaS within the SME for his Master’s thesis at TOPdesk, also sees an increasing interest for it. “Despite the interest, there is still a lot of anxiety”, claims Xander. “Many organisations are still hesitant to accept and use it. In the United States, everyone is talking about SaaS – in that regard, they are way ahead of us. It is also a question of getting used to the idea and gaining knowledge of the subject matter.”

The success of SaaS is the reason why organisations like SAP, Oracle and Microsoft are currently developing web services. One example of a SaaS service already known to many is online bookkeeping and salary records applications such as Asperion and Salesforce.com. Individuals may be more familiar with web service applications like Gmail and MSN Hotmail. The number of SaaS providers worldwide is increasing on a daily basis.

Own database

SaaS services offer a standardised application that can be used simultaneously by multiple clients on the same server. Each client has his or her own database for the data. Although SaaS services offer a standardised application, the application can often be set up specifically for organisations, depending on the individual wishes and requirements. Just as electricity is no longer a standard product – nowadays you can choose between a number of different providers, green energy, grey energy, day and night energy – SaaS enables the user to choose from the range of functionalities that they need. For a monthly rate, free use of the product can be made.

The SaaS principle combines the advantages of a large-scale product with the benefits of individual applicability. Each client can configure and use the software according to their own needs, in combination with consultancy services if desired.

Benefits compared to classic software

SaaS offers benefits above the ‘classic’ form of software licenses. Software as a Service means that organisations no longer have to worry about installation, licence and activation codes, hardware and updates. No additional investments are required in infrastructure and maintenance. Extensive implementation routes are a thing of the past. Each user can begin using the software immediately - this is often regarded as the biggest advantage of the SaaS model. In real terms, IT management costs are greatly reduced.

There are also advantages to be gained at the users’ level. One of the most important of these is risk advantage. Users experience less downtime, therefore more continuity can be offered. Implementations and updates do not interrupt the work processes. The organisation profits from always up-to-date software, as the SaaS provider works on the newest version of its software. As a result, every user works with the same, most recent version of the software. The nature of SaaS services also means that working together within one application is easier; the application will always be accessible from any given location.

Apprehension

Drawbacks of SaaS include the reliability of the service and the protection of data. A SaaS service provider should be able to prove itself in this area. Support can also be seen as a disadvantage. By making the application both transparent and user-friendly, and by providing good documentation, part of the support is made superfluous.

Xander’s research reveals that many disadvantages are not always supported by academic research. “There is an assumption that when using a SaaS service you become very dependent on the provider. Many also assume that SaaS services offer few functionalities. Several of the organisations researched also questioned the security and privacy of SaaS – what about the hardware and infrastructure used and how are data dealt with? SaaS suppliers need to inform their customers well on these assumptions.”

Demand

The number of SaaS services is increasing every day. The challenge for many organisations will then also be finding the right supplier with the right application. Applications based on the SaaS principle ensure that the installation and maintenance side of things is completely taken out of the customer’s hands. The biggest advantage of SaaS is that organisations can save time and money by focusing on their core tasks.

SaaS versus ASP?

SaaS seems to be a new (marketing) term for what was once called ASP (Application Service Providing). Yet, there are some differences. ASP was created by technologists who simply wished to make software available on a central server via a web application. SaaS on the other hand is better tailored to the wishes of users. SaaS offers a complete service for which an application has been developed especially for the web. Software as a Service fits within an IT strategy, which strives towards offering both cost optimisation and quality improvement.

TOPdesk as a Service

TOPdesk also offers its service management application as an online service. ‘TOPdesk as a Service’ means that service management application TOPdesk is made accessible worldwide via the internet. It contains all the functionalities as that of the classic TOPdesk applications. The modular build up makes it entirely adjustable to the user’s wishes. The application is carefree – in other words, no installations, management and maintenance are required for the user. What’s more, TOPdesk provides the same support as for the other applications.

TOPdesk as a Service uses servers of quality brands such as Dell and every user has his or her own protected environment. The user also remains the owner of the data. The connection runs via Secure Socket Layers (SSL), which are also used for internet banking. VPN, a so-called virtual tunnel between the company network of the user and the servers is used to establish a direct link for data transfer.

By offering ‘TOPdesk as a Service’, TOPdesk is meeting the wishes of many users. ‘TOPdesk as a Service’ is a valuable addition to the range of TOPdesk products and consultancy services.

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