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10/1/2008
Universities are moving some, but not all, applications to a hosted SaaS model. Here's why it may be time to get on board
PATCH MANAGEMENT, SECURITY, SERVER OPTIMIZATION, PERFORMANCE MANAGEMENT... These issues and others are no longer major concerns for the University
of Memphis' CRM (customer relationship management) system. The reason:
Back in 2005, the university moved its CRM system from an onpremise
solution to a hosted, SaaS (Software as a Service) configuration
from RightNow Technologies.
In 2005, "We had a problem with one of our local systems," recalls Joe Matesich, director of university web and portal services at the university. "We were using Windows Server and SQL Server, and had issues with patches not being secure." That's when the university made the move to SaaS. "Even without the past security issues, hosting the RightNow solution made sense for the university as a whole," says the web services director. "Because this vendor constantly provides updates to its products, we always have the best and most complete solutions available, with none of the usual implementation hassles."
The University of Memphis isn't alone in its move to SaaS. Across the globe, colleges and universities are discovering the power (and payoff) of this hosted application model and its cousin, managed services. Generally, SaaS involves applications (such as CRM, enterprise resource planning [ERP], and e-mail) offered by a hosting provider. Managed services, in contrast, involve IT consultants and integrators remotely managing university networks and applications, using a range of SaaS apps.
For either SaaS or managed services, universities pay a flat monthly fee instead of purchasing hardware and software outright, thereby reducing capital expenses for hardware, software, and data center build-outs. "Some universities are fed up with hidden fees, maintenance fees, and support fees from traditional applications," says Rich Baker, a consultant who serves community colleges in Florida and Georgia. "SaaS makes all of those headaches go away."
Many high-tech research firms agree with that assessment. According to Gartner, SaaS has gone from being an idea, four years ago, for early adopters, to representing a fundamental shift in the software industry today.
Watch the Hype
Still, SaaS isn't perfect. For one thing, not all applications are designed for deployment over the internet. What's more, inconsistent broadband connections, software bugs, and poor centralized management can knock out SaaS applications.
Poor ASPs! They tried to fine-tune their applications
for each one of their customers. Today, SaaS
providers offer a true one-size-fits-all approach.
During the late 1990s, many startup technology companies tried to position themselves as so-called Application Service Providers (ASPs). In some ways, ASPs paved the way for the current Software as a Service (SaaS) revolution. But ASPs should not be confused with SaaS providers.
Generally speaking, ASPs tried to fine-tune their applications for each one of their customers. But since customer needs can vary so greatly, it became impossible for many ASPs to maintain all of the different software configurations their customers were demanding. ASPs also stumbled because of inconsistent broadband connections and poorly written client code. While today's web browser-based applications run quickly, thanks to standards like AJAX, early browser-based applications required far more memory and often suffered from sluggish performance.
In stark contrast, today's SaaS companies offer a onesize- fits-all approach to their customers. Salesforce.com, for example, can scale from a small business up to a large university-- without requiring major code changes.
Now's the time to use online tutorials to streamline professional development and help desk management.