What are our collective perceptions of SaaS, Cloud computing, and Hosted solutions. Of course we are mainly interested in supply chain solutions, but the definitions appliy to any application. If you’re not completely certain, here is a primmer on the major differences and some discussion of the advantages of each. This falls far short of a full detailed explanation, but the basic concepts are accurate.
These are generally accepted definitions of the three types of services. That said, there is always some room for variance and exception based on the provider and the application. We are interested in your experience with these services, so please comment if you have something to add.
SaaS – Software as a Service
SaaS has been around for several years, and its most often cited example is Salesforce.com.
- The application is installed on a system that is accessible via the Internet.
- Generally Multi-tenant, meaning that each account exists as a segment of the system’s database rather than as a separate database in itself. Some systems may have discrete instances of identical databases.
- Setup is quick, typically only a matter of creating an account ID.
- There is generally only one instance of the software. This means that updates to the application affect all users at the same time.
- Customization is done by turning features on and off for each account rather than modifying the program separately for each account. This may limit the ability to customize the system for any particular customer.
- The computers hosting the application are usually located in a data center.
- These systems are infinitely scalable.