There is a lot of jargon in business and even more in IT. Put them together and you have an alphabet soup of three letter acronyms (or TLAs as they are known in the biz). What’s worse these terms often replace older terms meaning more or less the same thing, in short, the jargon is actually a fashion and it is simply trendy to use the latest buzz words.
But sometimes jargon actually encapsulates some fairly fundamental shifts in thinking. Take SaaS or “Software-as-a-Service” for instance. Although coined in 2001, the term has really only hit the mainstream over the last two or three years as the number of companies offering SaaS products has risen sharply.
SaaS means that instead of buying a piece of software and installing it on your own computer, you buy the service that the software offers by accessing the functions through a web browser.
Fundamentally SaaS is not technical term, but a new paradigm or “business model” that relies on a network delivery. It is becoming popular, both for companies providing the software and for companies using the services because it solves a lot of problems that have existed with shrink wrapped PC software.
Advantages that SaaS services offer include:
- License per person not per computer,
- One person can use multiple computers on one license,
- Where people work no longer matters,
- No software to download, install or update,
- Runs on Mac or Windows,
- Lower overall IT support costs,
- Data stored at service not on local computer so is safer,
- Service does regular backups,
- Can get back to work without disruption after loss or failure of local computer,
- Networked system gives everyone access to the latest data wherever they are,
- Allow remote access by outside partners or consultants,
- SaaS services offer expertise and functions to all company sizes that were formerly only affordable to large companies,
- SaaS services tend to be more in touch with users who shape development and improvements.
Most of the above will apply to all SaaS services. Pricing and terms will differ by supplier and service.
Brightpearl offers an extremely flexible payment options to give customers the best possible value.
First it is based on concurrent licenses, so even if five different people at a company use the system but only three use it at the same time, then the company only needs to pay for three licenses.
Second, there is no “contract” and since the service is “pay as you go” it is possible, to lower the number of licenses during quite periods like over Christmas, and add extra licenses for a short time, perhaps before Christmas when there might be extra staff doing order processing.
Safe, Secure and Available
Any responsible business owner will be concerned with the safety, security and availability of their data and systems because these are vital to their business. Rather than compromising on any of these issues, SaaS really does lower these risks to the business.
The system databases are maintained in state of the art data centres which are protected from intrusion, power failure and environmental problems like heat and dust. Hardware is routinely checked, serviced and since there is redundancy in the system faulty units can be removed and replaced without disruption to the service. Data is backed up regularly at the data centre which frees the customer from the laborious but essential task.
The high quality of the data centre also ensures the availability of the service to customers. Lack of access is more likely to be due to a failed or lost computer at the customer site, but since there is no installation required, a customer can simply use a new computer to access the system. Since the data is never stored on the customer’s computer, theft or loss of a laptop never presents a security risk.
All communications from the service and the browsers accessing it is done using secure html. The address in the web browser starts with “https” and often the browser gives other indications that communications are in secure mode. This is the same security system used when you enter credit card details for online purchases.
Start as you mean to go on
Because of the scalability of pricing, the lack of upfront expenditure, lower IT support requirement, the expandability of user numbers and functions, the sooner a company can start using SaaS services to run the business the less disruption it will face as it grows.
Changing systems, especially accounting systems, can be a daunting task and one not taken lightly even when the existing system is creaking and causing much frustration for a company and its customers.
Existing companies should be looking at moving to SaaS and new companies really should not be considering anything else.