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Document: SSR-545
Software-as-a-Service
(SaaS) is increasingly considered “enterprise grade” by many IT
buyers, and a viable choice to achieve reduced costs, improved
service, and ongoing timely functional currency.
As a result, many established independent software vendors
(ISVs) are faced with strategic questions that will determine the
future of their companies: Will buyers continue to purchase and
deploy new perpetual licensed-based software? Should our company
begin developing SaaS-based offerings? – If so, when? What is the
best roadmap to follow to “SaaS-ify” my business? Not surprisingly, most software providers are eager to avoid mistakes by learning from others who have already made the transition to SaaS. This Research Report provides guidance to ISVs in transition, with a goal to share the key critical success factors and best practice learning from the 300+ ISVs, system integrators, hosting providers, and pure-play SaaS providers that Saugatuck has either conducted deep-dive briefing as part of our on-going research agenda (over the past 18 months), or with whom we have conducted various engagement work. Saugatuck research indicates that the decision by a traditional ISV to invest in SaaS should be approached the same as any other strategic business investment. Any such evolution or transition will no doubt affect every aspect of the ISV’s business, and will require development of – and most likely, partnerships for – new competencies and capabilities. Our research indicates that for many software providers, the technical aspects of the transition are often fairly well understood – even if the roadmap for success may take some time. However, what is less understood are the changes that are required in other areas of the business that are typically much deeper and harder to execute, and often entail much more risk. What many do not understand is that making the transition is more than just re-architecting the software. It is often a fundamental re-examination of the business itself to fully understand the organizational and cultural transition issues that are required for a company shifting from a product- to services-based focus. Press Release / Media, BLOG and Podcast Coverage:
Executive Summary: Transition to SaaS: An ISV Cookbook
Research Highlights:
About The Research: The research for this report was developed as part of Saugatuck’s ongoing Software-as-a-Service market research programs. Saugatuck conducts primary research survey, briefing and interview programs as an integral part of our IT market and strategy consultancy practice. Since 2002, Saugatuck has performed a series of user executive and vendor executive research programs, including web-based surveys, telephone interviews, and briefings, on the most disruptive and influential IT developments in the marketplace, including: IT Virtualization, Cloud Computing, Software-as-a-Service, and Open Source software. In addition, Saugatuck annually surveys more than 500 business and IT executives as part of its annual user IT trends research program. This report represents key analysis and insights developed from our ongoing research and in-depth vendor briefings dedicated to the adoption and evolution of Software-as-a-Service. The core research for this report was developed from Saugatuck’s 2007 and 2008 Software-as-a-Service research program. The program included interviews and briefings with more than 300 traditional on-premise ISVs, system integrators, hosting providers, and pure-play SaaS providers and dozens of user IT executives. We also incorporated data and analysis from associated Saugatuck research program, including our open source and cloud computing research. Table Of Contents:
List of Figures and Sidebars:
Related Research : |
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