When to change to SaaS from in-house software development

What holds your team up most in terms of software? Installation, troubleshooting, training, program run speeds, locating files? When these issues start outnumbering your staff, it’s time for a change.

SaaS meaning

SaaS, or software as a service, is cloud-based software that’s fully managed by the provider. Some SaaS examples include Google Apps, Salesforce, Dropbox, Slack, DocuSign, and Hubspot. These SaaS companies are among the most popular software used by businesses. It’s no coincidence, SaaS is linked to efficiency and affordability.

Consider Adobe’s jump to the cloud. The company recognized its high costing and bulky software was weighing them down. Adobe’s entire suite is now more affordable and efficient.

Any software development company should recognize that customers want accessibility. And they’ll get it. Adobe was among the top pirated programs. They realized their loss and turned it around to give customers what they want.

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Alternate SaaS definition: a solution for overtasked managers

But how?

SaaS companies are known to benefit businesses and individuals and can alleviate certain responsibilities for managers. SaaS also sheds the costs associated with maintenance, which is handled completely by the provider.

Your clients will either love or hate this change. If you’re typically providing for software giants, with technologically educated staff, this lack of control can be a curse. The limitations can be undesirable to managers who understand software development and prefer having a handle on the processes.

But team leaders who seek to keep tech management out of their hands can rid themselves of the responsibility of maintaining and updating the software.

Consider the pressures pushing companies to go cloud-based. If your company is hoping to develop external ties, or even smooth your internal team’s competence, SaaS is a big community promoter.

Also, to better understand the differences between on-premise, LaaS, PaaS, and SaaS, check out TechTarget’s clever infographic.

What’s clouding over your development company?

Look at it from the users’ perspective. Switching from on-premise, or in-house software development, to cloud-based software has many benefits. It keeps teams connected, saves businesses time and money, ensures security, and increases accountability.

It might take some work to make a switch. But if it’s the difference between a reroute and a capsize, isn’t it worth it?

Businesses also turn to SaaS to avoid training. Most platforms offer tutorials and well-rounded instructions to help integrate their product and service into businesses’ everyday processes. But change takes time, especially when a system has been relied on for so long. From here, team leaders will just have to designate time and offer extra support while adjusting.

Furthermore, you may consider switching from in-house software to SaaS if your business is attempting to do any of the following.

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Keep up with changing demographics

Technology changes fast. So when considering SaaS, consider both the workers and the buyers. Targeting a younger generation that is used to having access to programs and apps on any device? Customers understand that technology is cannibalistic, with new programs and updates devouring and replacing the old. Do they want to continue paying for bulky, in-house software?

For this reason, brand loyalty isn’t so strong for Gen Y and Z. They’re on the go, and they expect constant changes. Whether a team is working from home, in-house, or both, SaaS may fit the lifestyles of young workers and buyers.

Yes, it’s the same for software development companies that have already made the shift. On-premise software development jobs are shrinking as more companies turn to cloud-based solutions. They’re ready to invest. Software leaders and their developers need to roll with the times and the new professionals that follow.

Enhance collaboration and scalability

It’s not just a transition to better your own business operations. Think about your connections with business partners. SaaS integrations make sharing data, files, and entire projects very easy. There won’t be any groans or sighs because of incompatible files or installation hold-ups.

Scalability is a startup owner’s favorite word. If a platform is limiting a company’s ability to grow, it’s time to make a change. Startups fail when they have the wrong fit for tech. In such a sensitive time in a business’ life cycle, they know to be prepared to break through glass ceilings. Don’t let your software development company be one of those ceilings.

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Avoid liability

SaaS companies are recognized for their security and the accountability they allow. Many businesses avoid homing data banks on their own servers, for cost and security reasons.

That’s one reason security is a SaaS company’s biggest selling point. The protection of their business’ data is their main concern.

Additionally, within their teams, they’ll be able to pinpoint any changes. Aside from accountability, SaaS customers love being free from any technical errors. Their teams don’t require any technical knowledge and can therefore focus on what they do best.

Power surges are an outdated threat. Most SaaS companies operate using autosave. SaaS companies promise their customers foolproof, easy to use, secure programs. Although they’re big promises, they’re necessary to business teams and their leaders. How does your development company compare?

When should you not switch to SaaS?

Again, it’s important to consider your audience. You know better than anyone who needs and uses your product and service. Scope out your competitors. Although SaaS companies are offering more and more, it’s important to keep your customer base satisfied.

Ask yourself: is SaaS something your customers can handle, will it appeal to the customer base you’re seeking, and do you have what it takes to transition and maintain a SaaS company?

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* This blog provides general information and discussion about global business payments and related subjects. The content provided in this blog ("Content”), should not be construed as and is not intended to constitute financial, legal or tax advice. You should seek the advice of professionals prior to acting upon any information contained in the Content. All Content is provided strictly “as is” and we make no warranty or representation of any kind regarding the Content.