Page 75 - DCAP609_CLOUD_COMPUTING

Cloud Computing

Notes
Software is managed from a central location
Software delivered in a "one to many" model

Users not required to handle software upgrades and patches
Application Programming Interfaces (APIs) allow for integration between different
pieces of software
Where SaaS Makes Sense

Cloud Computing generally, and SaaS in particular, is a rapidly growing method of
delivering technology. That said, organizations considering a move to the cloud will
want to consider which applications they move to SaaS. As such there are particular
solutions we consider prime candidate for an initial move to SaaS;

"Vanilla" offerings where the solution is largely undifferentiated. A good example
of a vanilla offering would include email where many times competitors use the
same software precisely because this fundamental technology is a requirement for
doing business, but does not itself confer an competitive advantage
Applications where there is significant interplay between the organization and the
outside world. For example, email newsletter campaign software

Applications that have a significant need for web or mobile access. An example
would be mobile sales management software

Software that is only to be used for a short term need. An example would be
collaboration software for a specific project
Software where demand spikes significantly, for example tax or billing software
used once a month

SaaS is widely accepted to have been introduced to the business world by the Salesforce
Customer Relationship Management (CRM) product. As one of the earliest entrants it is
not surprising that CRM is the most popular SaaS application area, however email, financial
management, customer service and expense management have also gotten good uptake
via SaaS.
Where SaaS May Not be the Best Option
While SaaS is a very valuable tool, there are certain situations where we believe it is not
the best option for software delivery. Examples where SaaS may not be appropriate include;

Applications where extremely fast processing of real time data is required
Applications where legislation or other regulation does not permit data being hosted
externally

Applications where an existing on-premise solution fulfills all of the organization's
needs
Software as a Service may be the best known aspect of Cloud Computing, but developers
and organizations all around the world are leveraging Platform as a Service, which mixes
the simplicity of SaaS with the power of IaaS, to great effect.

SaaS Allows Groupon to Scale Customer Service
Launched in November 2008, Groupon features a daily deal on the best stuff to do, see, eat
and buy in more than 500 markets and 40 countries. The company has thousands of
employees spread across its Chicago and Palo Alto offices, regional offices in Europe,
Contd....

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