Software as a ServiceDigital Glasgow

Alistair Livingstone

Managing Director

October 2012

Eureka Solutions – Background

On-premise and Cloud ERP Solutions

Why me?

• Eureka Solutions - MD– Cheap – free!!– ERP – on-premise – too many years DOS,

Windows, .Net, SQL– 50% of staff – straight from University

• New technology

– Changing environment– On Premise and Cloud Solutions

• Sage, NetSuite, QlikView

On-premise v CloudSaaS – in a minute!

Do you know what you’re buying?

Cars?

Hire

Purchase

PPCLease

Rental

Balloon Payment

SaaS - What’s new?

• Do you know what you own– Sage 50

• You own it for life• No upgrades unless support

– Sage 200• You have an annual licence to use it• ‘Free’ upgrades – as long as you pay

annual fee• Shuts down

– No access to data

– Sage CRM• Annual licence• Keeps working if you don’t pay

SaaS - examples

• Microsoft Office 365• Exchange hosted server• SageCRM.com• NetSuite.com• Sageone.com

SaaS

• Software As A Service

Software as a service (SaaS) is software that is owned, delivered and managed remotely by one or more providers. If the vendor requires user organizations to install software on-premises using their infrastructures, then the application isn’t SaaS. SaaS delivery requires a vendor to provide remote, outsourced access to the application, as well as maintenance and upgrade services for it. The infrastructure and IT operations supporting the applications must also be outsourced to the vendor or another provider. The provider delivers an application based on a single set of common code and data definitions, which are consumed in a one-to-many model by all contracted customers at any time. Customers may be able to extend the data model by using configuration tools supplied by the provider, but without altering the source code.

Gartner

NOT - SaaS

• Hosted server– Your software– Even if its ‘licenced’– If you need to install it

• Apply updates etc

What is SaaS?

• You don’t own the software– Do you own the data?

• The software is not on premise• You make regular payments

– Annual/Monthly/Useage

• You don’t need to worry about updates– Customisation?– Access – 24/7– Location independent?

Why SaaS?

• Faster and easier deployment• Guaranteed Uptime• Faster return on investment• Lower Total cost of Ownership• Reduced IT resource needs• Less disruptive• More Flexible - Possibly

Don’t listen to

• No upfront CAPEX– Throw them out!!!!!!!!!!!!!

SaaS - ERP Options

• Traditional on-premise– Hardware updates/latest version– Configure and customise

• SaaS– Subscription based– Latest version– Less flexibility to customise

• Depends

• Hybrid– Your software hosted externally– Move inhouse– No data ownership issues

Small Business - SageOne

ERP/Business System SaaS

• Challenges– Customisation

• Single tenancy• Multi tenancy

– Integration• Biggest challenge – getting systems to speak

– Data Security• Trust the vendor

DATA

Cloud Mentality

• Generational– Data location– Focus on running the business

not running a network

• You need to adopt the correct mentality– Implications – connectivity– Location– Technology

Cloud Mentality

• Cloud Business– Arboricultural Association – cloud business– Customer interaction – dispersed organisation

Cloud Mentality

• Cloud Business– Kobe beef– RFID Tags

• Information• Diet• Health

– Direct to CRM/back office

Cloud Business - Integration/Duplication

• On-Premise ERP• E-Commerce web site• CRM

– Web site– On-premise – ACT, CRM, Salesforce

• Stock replenishment– Web – stock out– ERP – stock in and out

Integrated Business - ecommerce

The Cloud World

The NetSuite World – Evolved SaaS

Cloud World - Buzzwords

• Any Touchpoint Commerce– PC/tablet/in-store– Apple experience

• Frictionless Commerce– One page checkout– Anytime Anywhere

• Social Integration– Sharing experiences

Cloud v Web

• Is cloud same as Web?

– Web• Browser based• Device Independent

– App• Device dependant

Summary - SaaS

• Core Business Process – same• Charging mechanism, Delivery

Mechanism is different• Functionality – should be your focus

– Device and location– Customer interaction/expectations

• Costs – do the sums – buy what you need– Mercedes S Class or Transit Van

Thank you

Alistair Livingstone

Managing Director

October 2012

Software as a ServiceDigital Glasgow