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Reducing Operational Costs through Software as a Service (SaaS)

Reducing Operational Costs through Software as a Service (SaaS)

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Reducing Operational Costs through Software as a Service (SaaS)

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  1. Reducing Operational Costs through Software as a Service (SaaS) 22 March 2009 QAD Midwest User Group Meeting (MMUG)

  2. Market Definition • On Demand/Software as a Service (SaaS) • (SaaS, typically pronounced 'Sass') is a model of software deployment where an application is hosted as a service, provided to customers across the Internet. • Eliminating the need to install and run the application on the customer's own computer, SaaS alleviates the customer's burden of software maintenance, ongoing operation, and support. • Using SaaS also reduces the up-front expense of software purchases, through less costly, on-demand pricing.” Source -

  3. Consumer Web Platforms

  4. Word Office Graphics Spreadsheets many others… many others… many others… many others… Database Documentation Contacts Project Mgmt. many others… many others… many others… many others… SaaS is Pervasive • “the appeal is obvious, SaaS is quicker, easier, and cheaper to deploy than traditional software” • The Economist September 2006

  5. SaaS Drivers & Predictions for 2009 • PREDICTIONS • SaaS Move From ‘Why’ To ‘How’ ... • New Hybrid Models Emerge • Venture Capital & Private Equity Retrenchment • Industry Shakeout and Consolidation • Acquisitions/Alliances Continue • The "Google Generation" Becomes Mainstream • Software / Business / Information / Managed Services Converge • Source:, January 2009 DRIVERS • Subscription pricing reduces capital expenditures (CAPEX). • Rapid deployment. • Version Control managed by the software vendor. • Business leaders drive software decisions. • Vendor success generates buzz and increased interest. Source: “Shape Your Apps Strategy To Reflect New SaaS Licensing And Pricing Trends”, Forrester Research , January 2009

  6. Opportunities and Challenges • Pressure to grow revenue and profits through: • Process improvement • Global expansion • Acquisition and Divestiture of business segments • Quickly implement core business applications: • Limited resources • Aggressive deadlines • High service levels expected from user community

  7. QAD On Demand Offering Hybrid Traditional SaaS Ownership/Perpetual License Flat fee subscription On Premise Anywhere Corporate IT SLA for availability & support

  8. QAD On Demand c c c c c Application Lifecycle Management Systems Management Help Desk Support Service Delivery Management Infrastructure Management • Flexible model offers standard and optional services • Global, agile resource pool provides expertise when and where you need it • Regular reporting gives full visibility and accountability to SLA adherence 8

  9. QAD Service Delivery Management Structured Governance Model Single Point of Contact for performance, quality and escalations Strategy Planning Pooled Resource Team Off-shore & Near-shore resources Service Level Control Reporting and Review Meetings Budget Reviews c c Service Delivery Management z c c c

  10. QAD Help Desk Support User Assistance – Level 1, 2 and 3 How To’s & Remote User Training Online Issue Management System 24 x 7 Support Third Party Product Support Regional Centers offering local language support Customization Support Remote Diagnostics c c Help Desk Support z c c c

  11. QAD Global Support • Proven track record of deep industry experience and superior knowledge of QAD products and solutions • 160experts • Averaging more than7 years of QAD solution experience • 94%customer retention rate • Multi-lingual support • 92% Customer Satisfaction Rating • Largest support provider for QAD • 20 call centers around the globe • 24x7 coverage • 25,000 calls annually • Direct line into QAD R & D organization • Industry-recognized certification for quality standards and processes • ISO 9001:2000 certification

  12. QAD Americas BRAZILSao Paulo MEXICOMexico City UNITED STATESCaliforniaGeorgia Illinois New Jersey QAD Global Support 20 QAD Support Centers – Local Presence, Global Reach QAD EMEA BELGIUMAntwerp ITALYMilan NETHERLANDSSchiphol-Rijk POLANDWroclaw QAD Asia/Pacific AUSTRALIASydney CHINAShanghai HONG KONG Hong Kong JAPANTokyo INDIAMumbai THAILANDBangkok SOUTH AFRICADurban SPAINBarcelona UNITED KINGDOMDudley IRELANDLimerick

  13. Application Lifecycle Management Customizations and Change Management New Integrations, Interfaces & Reports Service Pack & Patch Integrations Application Configuration Output Management Security Maintenance Core Model Support Enhancement Migrations c c Application Lifecycle Management z c c c

  14. Systems Management Database Administration Systems and Application Monitoring Service Pack & Patch Installations Performance Monitoring and Tuning Application Installation and Set Up Batch Processing & Reporting Upgrade Technology stack c c Systems Management z c c c

  15. Infrastructure Management Server Management Network Management Data Center Management Storage Management File Management Disaster Recovery Operating System Support c c Infrastructure Management z c c c

  16. Metrics • Metrics tool helps proactively analyze client system performance and capacity.

  17. QAD On Demand Deployment Options Optional Service Default Service * Server can be on customer site or other non-QAD hosted site

  18. Advantages of On Demand • Implement rapidly with minimal effort • Establish global standards and version control • Reduce local resource allocation significantly • Leverage deep and broad IT and application talent • Focus more on your core business • Requires minimal infrastructure onsite

  19. Customer Case Study • Founded in 1994 • Headquarters Fountain Valley, CA United States • 300 employees globally • Global Manufacturing, Distribution, and Sales • Ho Chi Minh City, Vietnam (manufacturing) • Copenhagen, Denmark (manufacturing) • Development of pH Catheters for diagnostic use • #1 pH Catheter supplier in US and Europe • Food and Drug Administration (FDA) registered

  20. Business Goals and Timeline • Vision Statement • Create the world leader in Neurology and Gastroenterology Diagnostic products and services. • Growth through acquisition • 2007 • Medtronic’s GI Diagnostics Product Line • Water Street Health Care Partners Equity Financing • Medtronic’s Neurodiagnostic Product Line (Dantec) • 2009 • Stellate Advanced Neurodiagnostic Systems

  21. QAD On Demand Solution • QAD Enterprise Applications 2007.1 • Life Sciences Business Solution • Supply Chain Planning • Compliance • European Accounting • Trade Management (TrM) • Service and Support Management • Integrated Customization Toolkit (ICT)

  22. Value of On Demand • Reduced capital expenditure • Predictable expense structure • Experienced 24x7x365 global Support • Rapid implementation • Industry-specific software editions • Guaranteed high systems availability