Businesses investing in Software as a Service (SaaS) to save money and decrease IT complexity are in danger of realising the exact opposite result.
Stephen Mann, analyst at Ovum, says that unless it is underpinned by a clearly defined plan, the use of SaaS to deliver vital business services can lead to applications being slower and more expensive than if the software is replaced. ”SaaS is now becoming a mainstream part of the corporate IT mix but using it for the right reasons, in the right places and in the right way within an organisation is crucial. CIOs need to establish this before embarking on an implementation project,” argues Mann.
The report also states that well managed SaaS projects can offer a wealth of benefits, giving customers access to the latest technologies, flexible pricing and freeing the IT department to focus on more specific work to help the business.