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May 22, 2008

Where SaaS May Lead You

Filed under: Data Integration — Alena Semeshko @ 12:33 am

Software-as-a-Service market only continues to grow, presenting a more and more efficient and reliable business model. According to Gartner, by 2011 25% of new business software will be delivered as SaaS. This SaaS boom makes more and more companies that have never before even considered moving to SaaS-type business model, make decisions in favour of adopting it. Howevever, as always with large and popular projects, the essence and the very milestones get trivialized, you get a wrong picture of it and end up somewhere totally different from what you planned.

William McKnight has a recent entry in his blog uncovering the essence and how-tos of the process of selecting a SaaS vendor.

The 3 hallmarks or selling points of SaaS he names are:

1) no IT involvement,
2) pay-as-you-go with little upfront cost
3) the vendor takes all responsibility for infrastructure and upgrades – those invasive and non-value-added activities.

And some rules of thumb to keep to when selecting a SAAS vendor/solution:

1. Check the value proposition of the application.
2. Ensure the ability to expand the core functionality of the application beyond the provided functionality (scalability).
3. Don’t sabotage IT plans.

For more details check out William’s post.

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