What is Saas? | The best ally for digital transformation

What is Saas? The best ally for digital transformation

We have been hearing about SaaS for a long time (let’s remember, Software as a Service) as an accelerator in the transformation of many industries, but there is still a high degree of ignorance about its enormous potential and some skepticism around this model that needs to be clarified. The commitment to a solution of this type must be approached in a comprehensive way, focusing on when it is necessary to bet on this model and, above all, how we are going to do it beyond the substitution of on-premise (proprietary) systems that it entails. Do you want to know more about what is SaaS?

Without a doubt, SaaS offers enormous guarantees to face the many opportunities in a future defined by innovation and speed, but it is necessary to be right in choosing the solution that best suits the needs of our organization.

SaaS: to host or not to host in the cloud, that’s the question

Let’s start by explaining what SaaS is. The software as a service or SaaS its acronym in English, gives users the ability to connect to hosted cloud applications over the Internet. Also to be able to operate with them without the need for client systems support. By opting for this model, the employees of an organization can remotely access the entire infrastructure of the organization simply through the Internet.

This requires trusting a cloud service provider that provides a comprehensive software solution that is given control to host the entire company’s infrastructure in its data center. By hiring this service. We will forget to manage hardware and software. It will be the provider who guarantees the availability, security and proper functioning of the different applications and data of our company. 

Cloud solutions have been a deeply ingrained concept in business for years. Even so, there are several models that can offer different advantages to our business and that it is necessary to know. Therefore, the choice of the specific architecture for deployment in the cloud and the service model that we choose will define whether a company’s commitment is truly transformative or simply a medium-term solution without too much strategic support. In short, SaaS means going far beyond the simple “Cloud”.

Loss of data security and control, two false myths

This question drags a frequent debate in organizations. Cloud-based hosting and deployment models often run into two common objections: loss of security and loss of control. Both aspects are relevant for any company. But the truth is that they are widely established myths for fear of betting on truly innovative solutions and issues that have been resolved by the industry for a long time.

First, some organizations are often reluctant to replace existing on-premises systems, taking refuge in the fact that deploying in the cloud makes their organization more vulnerable to security risks that would be avoided in a local environment. Something uncertain since hosting software platforms requires the participation of the strongest business partners such as Microsoft Azure or Amazon Web Services. These offer measurements far superior to what most companies maintain in their own server rooms or data centers.

In the case of Microsoft Azure, for example, its cloud hosting houses 90% of the world’s largest Fortune 500 companies, so its security measures in information protection and data privacy through firewalls, encryption, and other measures are the most robust to meet the rigorous regulations required by different national and international regulatory bodies.

THE FEAR OF LACK OF CONTROL OVER DATA

On the other hand, there is the fear of losing control over the data. But again there is no basis for it. Deployment in the cloud would be comparable to hosting in a local environment. In fact, the control of applications, data or any other information is complete with the added advantage that by betting on the cloud we will be entrusting the security and maintenance functions to the best professionals in the world, being able to modify the necessary capacity immediately.

This feeling of lack of control responds in many cases more to intangible than tangible factors. The feeling of ownership entails innumerable restrictions, maintenance costs, additional investment requirements, and ultimately, a concept of “technical debt” that is growing by leaps and bounds and only allows to have a technological platform in operation instead of investing in the necessary innovation to ever-changing business requirements.

IaaS, PaaS, or Saas, which model should I bet on

Once both conflicts have been resolved, we will have to decide on which model of deployment in the concrete cloud we bet. Not all clouds are the same. The three most popular basic terms that differentiate them are:

  • Infrastructure as a service (IaaS)
  • Platform as a service (PaaS)
  • Software as a service (SaaS)

In the latter case, SaaS is the cloud deployment model that requires less resource involvement by a company. This is because the vendor deals directly with server maintenance, security measures, platform management, system updates, and support.

SaaS products take care of the most demanding aspects of general systems maintenance for organizations by freeing up their own resources dedicated to keeping the software running and providing regular updates, assigning them to other value-added tasks. In this way, your teams can focus on the core of their activity and on a purely business strategy aimed at creating new products and customer experiences, among other issues.

SAAS IN THE INSURANCE SECTOR

In the case of the insurance industry, for example, our SaaS solution, Duck Creek OnDemand, helps our clients launch new products and anticipate market changes and demands to capture new opportunities before their competition. By leaving IT responsibility in our hands, our clients can focus exclusively on their future growth: innovation and speed. In an environment as volatile and changing as the current one, launching a new product in weeks instead of months can mean for a company to be in the market or, outright, to be excluded from it.

SaaS models are a strategic aid since they allow all the resources of an organization to be directed completely to the epicenter of the business, thus avoiding spending time maintaining and updating software platforms in internal systems. Companies need speed and agility to react to the opportunities presented by the current context and relying on technology is a safe bet to face the challenges of the future.

What do you think of this article on why bet on the Saas model? Leave your comments and share!

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