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Other solutions that were born in the cloud may only be offered through SaaS. But some of these вЂ‹ вЂњcloudвЂќ choices are really hosted solutions, which contributes to the confusion. Many solutions that were once only available as traditional, licensed deployments (on your own computer or aВ trusted service providerвЂ™s) now offer aВ choice.

#Sage 500 erp label expert full#

And without this kind of knowledge, choices are being made without full understanding and some benefits are being left on theВ table.

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With almost every ERP software vendor hopping on the cloud bandwagon today and many of the largest claiming victory in the race to be the biggest and the best, IВ fear many business users are also hopping on that wagon without truly understanding the ramifications. Many non-technical users simply donвЂ™t know whether their organizations have licensed aВ specific version of the product (and perhaps pay maintenance in order to have access to updates) or if they subscribe to software as aВ service. Web-enabled user interfaces cloud the issue (pun intended). IВ find this to be aВ common misperception and therefore accepted the response, but IВ scrubbed out additional responses where SaaS was selected even though no SaaS option of the selected product was offered by the vendor or where on-premises was selected even though the participating company was running aВ solution offered exclusively asВ SaaS. It is not uncommon for aВ participant running aВ solution that is offered exclusively as SaaS to select the second option (hosted and managed by your ERP vendor). In addition to asking how aВ participantвЂ™s current system is deployed, IВ ask which solution isВ deployed. IВ constantly assess this potential for confusion by cross-referencing different questions in my survey. There is definitely some residual confusion over these options. In my annual enterprise solution studies, IВ have asked how the participantвЂ™s current solution is deployed and also asked which options they would consider in buying aВ new solution.

Hybrid: Parts are licensed and maintained on-premises and parts (e.g.

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Traditional licensed on-premises: You license the software and are responsible for managing and maintaining it on your ownВ premises.Hosted by an independent 3 rd party: Software is licensed by you, but you pay another party to manage and maintain (host) hardware andВ software.Hosted and managed by your ERP vendor: Software is licensed by you, but you pay your ERP vendor to manage and maintain (host) hardware andВ software.

It is not delivered on a CD or other media to be loaded on your own (or another partyвЂ™s)В computer

Software as aВ Service (SaaS): Software is delivered only as aВ service.

Of course, IВ canвЂ™t guarantee my survey participants read the definitions carefully, but IВ can try! Here are the options to chooseВ from: In the past, this was called Application Managed Services ( AMS) or, if you go far enough back in time, вЂ‹ вЂњtime sharing.вЂќ This distinction is important because whoever owns the license to the software takes on an added level of responsibility.ДЇor many years now in researching preferences for deployment options, IВ have been careful to distinguish between SaaS and hosting. Where you license the software and have the ERP vendor or another party host it for you, it is not. Where aВ vendorвЂ™s partner maintains aВ license to the software, hosts it (puts it in their own data center) and then offers it to you as SaaS, then indeed, it is aВ SaaS environment. This also causes some confusion, because aВ hosted model might be delivered to you, the consumer, as SaaS, but then it might not be. Oftentimes vendors will refer to hosted deployment models as SaaS. Using these definitions, we can confidently say all SaaS is cloud computing, but not all cloud computing isВ SaaS. It does not reside on your computers atВ all. It is accessed over the Internet and is generally paid for on aВ subscription basis. It is not delivered on a CD or other media to be loaded on your own (or anotherвЂ™s) computer.

SaaS is exactly what is implied by what the acronym stands for: Software as aВ Service.

Cloud refers to access to computing, software, storage of data over aВ network (generally the Internet.) You may have purchased aВ license for the software and installed it on your own computers or those owned and managed by another company, but your access is through the Internet and therefore through the вЂ‹ вЂњcloud,вЂќ whether private orВ public.

The distinction is quite simple and need not be over-complicated: Many use the terms вЂ‹ вЂњcloudвЂќ and вЂ‹ вЂњSaaSвЂќ interchangeably, but indeed they are not the same. There is still much confusion over cloud and Software as aВ Service (SaaS) delivery models and the more discussion in print and online, the cloudier the issue becomes.