Software as a Service has been instrumental in harnessing the benefits of productivity of man and organization in the working environment by delivering a range that is diverse of maintained applications over the Internet. Unlike the Traditional Software Licensing Model, SaaS strives to resolve the inflexibility of software that arises during evolution and maintenance. Software as a service model is user-friendly and incurs a comparatively lower cost.
SaaS vs. Traditional Software Licensing Model: Technical features and Support
Multiple Users: The SaaS model can be used by multiple users at a time, and operates on a subscription per user per basis month. It is quick to deploy as your only requirement is a connection that is the internet and you are ready to use your new software. The conventional model cannot be deployed immediately as software needs to be installed and user training is required on the other hand
Work from Anywhere: SaaS can be accessed from any computer or device at any time, the only requirement is a connection that is the internet. This gives the freedom of working from anywhere and results in a more output that is productive. The application is mobile friendly and unlike Traditional Software Licensing Model applications, the learning curve for SaaS solutions is very low. Also, training that is online SaaS applications can be generated on demand.
Latest Updates: one advantage that is major of Software as a Service is that at all times you will be using the most updated version of the software. There is no need for managing and installing software updates. And unlike on-premise, you don’t have to wait for getting hold of the latest features and upgrades.
Reliability & Security: With SaaS, you can obtain guaranteed levels of performance and service. This model also offers automatic data backups and recovery, which is a process that is meticulous regards to Traditional Software Licensing Model users. Automatic recovery and backup of information deliver a sense of security while using SaaS data centers and it becomes more reliable than the data management offered by in-house systems in the organizations.
SaaS vs. Traditional Software Licensing Model: Financial implications
Less Costly: SaaS customers do not have to pay large upfront cost as it is based on a subscription fee that is monthly. This results in a better and term that is a long relationship and a focus on customer satisfaction. Whereas in the case of the Traditional Model, the costs that are initial very high but there are no subsequent periodic payments required.
Less Investment: In case of on-premise the higher costs include the costs of hardware, software and resources. However, as the SaaS software can be hosted from distant locations, no hardware that is additional is there, which further minimizes the costs. This implies that the investment that is initial organizations in the Traditional Software Licensing Model is way more than in the SaaS model.
No Installation & Maintenance charges: Moreover, the installation and maintenance charges are nonexistent in SaaS, unlike the software that is a traditional model where the organizations have to include the set-up and installation costs. Management of IT infrastructure and hardware becomes a concern for organizations while using the set-up that is traditional. SaaS offers freedom from these concerns, as it is based on using services and software via the internet and no infrastructure is required.
Organizations should move forward in using the SaaS application, as by using it they get the freedom of investing in their projects better, rather than maintaining the infrastructure for on-premise software which is both expensive and complex. Outsourcing the licensing part to SaaS providers makes the process much easier, as the security, hardware and performance management, all are dealt with by the provider. SaaS provides the freedom of access as it is a web-based application delivery system that is software. It can be used both as a business application and a development tool, and equipped with fresh ideas that are innovative SaaS will soon outperform the Traditional Software Licensing model.