SirsiDynix Software as a Service 2008. SaaS 101.
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Software-as-a-Service (SaaS) is one of the fastest growing segments of the IT industry because it often provides a more cost-effective alternative for enterprises to achieve their institutional objectives than traditionally licensed, locally installed applications.
Customers do not pay for owning the software itself but rather for using it.
Software-as-a-Purchase has been the model used by most of us until now
The term SaaS has become the industry preferred term, generally replacing the earlier term Application Service Provider(ASP).
The concept of "software as a service" started to circulate in 2000/2001, associated with firms such as WebEx and SalesForce.com.
The acronym "SaaS" came into wide use in the spring of 2005.
SaaS is generally associated with business or enterprise software and is typically seen as a low-cost way for organizations to obtain all the benefits of traditional licensed, internally operated software without the associated complexity and high initial cost.
Many types of software and many kinds of entities are well suited to the SaaS model. Where customers may have little interest or capability in software deployment, but do have substantial computing needs, SaaS is an attractive option.
I believe, more than any other macro trend in progress today, SaaS will allow libraries to focus more on providing quality information & empowerment tools to the public they serve, and focus less on the “back office” infrastructure that can often detract from this mission.
The notion that SaaS is primarily a solution only for small-to-medium enterprises is not supported by the data. Larger institutions are increasingly deploying SaaS solutions.
The largest current deployment of SaaS is by Wachovia, using a solution with 85,000 users, with an anticipated additional 25,000 users over the next two years. (Deployed March 07)
Research by industry analyst Saugatuck Technology showed "a dramatic increase in the percentage of executives who plan on using SaaS for mission-critical operations."
[From 2006 to 2007 the number of companies planning to use SaaS for mission-critical applications tripled.]
Even more striking was the surge in acceptance of SaaS among $1B+ enterprises in which the number saying they'd adopt SaaS actually quadrupled from one-in-eight to more than half!
A separate study of first-time SaaS implementers showed that in a single year, the number of businesses who plan to implement at least one SaaS application have more than doubled, from less than one-third of respondents one year ago to nearly two-thirds this year.
Only about 14% of businesses were not pursuing SaaS solutions in 2007
Of the 119 SirsiDynix systems implemented in 2007, 55 customers opted for a SaaS solution.
This is a dramatic increase from only 12 months ago.
SaaS applications are typically priced to accommodate a relatively small minimum number of users.
SaaS capital requirements are therefore much lower initially than traditional software license fees, and are subscription-based, therefore more predictable and budget-able, much like maintenance fees for licensed software.
SaaS was originally considered a potential security and operational risk. Many businesses wish to keep their information & technology operations under internal control.
There is a counter-argument that the professionals operating SaaS applications often have better security and redundancy tools available to them, and therefore the level of security may be superior in many cases.
Not available via SaaS
* Will run standalone and communicate with a SaaS environment
Over 275 Unicorn / Horizon customers
Over four million patrons
Over 20 million in holdings
Averaging 40% customer growth rate since inception