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ERP Software as a Service
- by Dickens A S
Modern ERP Software
The beauty of modern ERP packages is that you have options to choose from during your ERP software selection. You can either deploy a solution by hosting it internally on your own servers ("Traditional ERP"), or perhaps you would rather not deal with the software and have it hosted somewhere else ("Software As A Service" or "SaaS").
ERP Software as a Service
Also called as:
- On-Demand ERP.
- Web Based ERP.
- Online ERP.
- ERP Software as Subscription.
- ERP Hosted Model.
- SaaS Model ERP.
Benefits
- Simplicity:
In general, SaaS is simpler to deploy from a technical perspective. Because you don't need to purchase additional servers or physically install the software in yourself, it can be an easy and quick means of deploying the software.
- Accessibility:
Since SaaS is entirely accessed through the web, the system can be operated on any authorized system with a client license installed. The system can even be accessed while travel through laptop.
- Cost:
SaaS helps to reduce the large-up front expenses associated with software purchases by offering less costly monthly pricing and reducing the investment on server hardware. Any way to save a small amount of software. This is a great option because your organization will become familiar with the software that is available and can be making lists of all the items within the system which need to be updated once the system is purchased.
- Decreased implementation risk:
Eliminating the computer hardware and platform software components (such as relational databases, operating systems, security appliances, maintenance management tools, etc.) and decreasing the overall implementation time lowers the probability for project delays and implementation failure risk.
- Accelerated software implementations:
Without the incurred time and technical issues associated with the installation and configuration of data center appliances, hardware servers, platform software and related computing hardware, ERP system implementations generally achieve a jump-start and a decreased implementation period.
- Outsourced skills and expertise:
Outsourcing the IT (Information Technology) management of ERP systems and related business applications to experts allows internal IT resources to focus their time on core competencies, higher priority projects and strategic services. ERP software hosting companies also provide data center and equipment redundancy with fail-over generally not matched by companies outside the hosting industry. These software as a service hosting enterprises also retain IT and security specialists with deep skills such as high availability operations, performance optimization, information security, disaster recovery and business continuity.
- Hosted software delivery:
The more reputable SaaS business systems guarantee anytime, anywhere access and back up that guarantee with a Service Level Agreement (SLA) backed by financial penalties for system down time. ERP browser-based system access is especially valuable to highly decentralized companies who have staff accessing the business system from multiple office locations, home office locations or while traveling. SaaS also permits scaling on-demand as the business grows and thereby eliminates the need to purchase additional hardware and bandwidth just in case its needed.
- Subscription pricing model:
The market has enthusiastically embraced the pay-as-you-go software utilization pricing model over the pay-and-pray procurement method. Subscription pricing also delivers a foreseeable future payment schedule while eliminating the all too common cost overruns associated with on-premise ERP systems implementations.
Points to be taken care when designing for small and medium enterprises
- SME Segment:
- Client specific Business strategy
- Many industry-specific solutions, based on proven best practices, are designed specifically for small business and midsized companies.
- Budget and time lines
- Modern pay and use licensing and subscription options enable affordable and predictable implementation within weeks.
- IT expertise and preferences
- On-demand web based deployment allows you to match your IT strategy.
- End user
- User friendly interfaces provide all users the information they need to run your business better.
- Client specific Business strategy
Chennai, India -- May 24, 2009
About the Author
Name: Dickens A S
Company URL: www.valgeninc.com
Company Name: Valgen Business Solutions Pvt. Ltd.
Job: Project Lead
Programming Expertize: Java, J2EE, .NET, JavaScript, C, C++, VB, PHP.
Country: India
City: Chennai
