Insights: The Core Value of SaaS in Business - FlashCloud Intelligence

“Users do not need to install any software on their own computers, as long as they are connected to the Internet, they can use the functions of various software through a browser."

The above paragraph is the disruptive software model recognized by the Oracle Vice President. With the continuous practice and upgrading of this model, SaaS business model has been a truly practitioner and now Salesforce has become a leading enterprise in the SaaS industry.

SaaS has gone through 23 years, and its business model, logic, and value have been widely recognized. However, the acceptance of the SaaS model by Southeast Asian enterprises has always been in an embarrassing situation of “polarization", so after being hit by the new crown epidemic, many enterprises began to seriously examine SaaS and try to understand its value. Affected by the new crown epidemic, SaaS has grown to vary degrees in various countries, not only on the B-side where SaaS originated but now even SaaS is frequently seen in the eyes of consumers on the C-side. However, the real market feedback is that the vast majority of B-end companies have not yet understood SaaS, let alone accurately interpret the proposition of why their own companies need SaaS. This has led to the continuous outbreak of the SaaS industry in the fields of investment, entrepreneurship, and concept, but the actual progress has been slow and tangled.

Based on its own actual combat experience and market observation, FlashCloud believes that based on the current and foreseeable market game, SaaS can help enterprises to reshape the complete value chain of products, markets, sales, implementation, and services. The Internet characteristics of the SaaS model are for enterprises It provides much more than a simple “cost reduction and efficiency increase".

High-Value Benefit of SaaS

  1. Effectively reduce enterprise costs which enterprise requires to pay huge upfront costs, as well as long-term costs such as maintenance and post-service, and this cost is full of unpredictability. SaaS services can save enterprises this huge amount of expenses, as well as achieve the most with the least money.
  2. Improve efficiency which is able to understand and use new technologies at any time, and these technologies have been verified in the actual market, and these technologies can help enterprises to improve efficiency stably and efficiently.
  3. Promote rapid informatization which allows small and medium-sized enterprises to quickly realize informatization and customization without increasing IT investment. This model can greatly reduce the risks brought by informatization to enterprises.
  4. No further cost for enterprise maintenance and the maintenance and update of the management system is handed over to a special SaaS service provider. The enterprise itself no longer needs to be equipped with relevant personnel. While reducing the cost of operation and maintenance personnel, it can also obtain advanced technology applications to meet the needs of enterprises for informatization.

  1. Fast deployment and short lead time. In principle, SaaS uses the plug-and-play mode, which greatly saves the time and cost of system deployment.
  2. “Try before buying" reduces the risk of informatization implementation. Communication between the suppliers and customers will be more transparent which increase the consumer experience and greatly reduces the implementation risk of enterprise informatization.
  3. No additional payment is required for any new function or modules. In traditional enterprise software applications, enterprises must pay corresponding fees for each function and module. Once there are new customization requirements, a large development fee must be paid.
  4. Flexible choices, allow the full dominance Enterprises to choose independently, but also flexibly turn on/off the selected services. In this way, enterprises can not only completely avoid being burdened by infrastructure and resources, but also flexibly configure required services according to business development.

The ultimate mission of SaaS

The ultimate benefit of enterprises purchasing SaaS should be to achieve digital transformation, and its essence is to achieve organizational upgrade. Therefore, helping enterprises complete organizational upgrades is the ultimate mission of SaaS.

  1. Comprehensive organizational reformation upgrading cannot be accomplished simply by executive orders. A “User thinking" is the strength of SaaS. Pay more attention to experience and use efficiency, help employees solve problems and achieve employee upgrades by motivating and empowering employees. Comprehensive employee upgrades will definitely drive organizational upgrades.
  2. Digital empowerment Digital transformation is the core of SaaS, and SaaS is the weapon of digital transformation. Therefore, in the digital age, enterprises can only achieve organizational upgrades by making full use of SaaS to empower employees and empowering small teams with the combat effectiveness of large companies through digital arming.
  3. Digital collaboration Compared with issuing some text-style executive orders, SaaS can provide employees with better digital collaboration tools, thereby promoting organizational collaboration. Because once employees get a taste of it, they voluntarily spread the tool across the company, even partners. By improving synergy efficiency, speeding up the operation efficiency and response speed of enterprises, so as to improve the competitiveness of enterprises. This is the unique advantage of SaaS.
  4. Efficiency is the king and lifeline of an enterprise. Due to the unique characteristics of the SaaS model, SaaS can start from any link in the industry chain, which can be the core link or refined details. The improvement will eventually pool into a huge amount of energy, thereby improving the operational efficiency of the enterprise.
  5. Security In the digital and intelligent market environment, the importance of data security is self-evident! SaaS can provide a fast and elastic recovery management solution for user data in multiple data centers, as well as achieve the purpose of protecting enterprise user data.

In the long run, efficient and stable organizational upgrading is the core subject of enterprise development and growth. For most enterprises, the application of excellent SaaS systems will be the only way to achieve high-value organizational upgrades.