Originally, when you wanted to use an EDI solution you had no choice but to purchase a license and install an EDI station on your premises. This On-Premise EDI system has certain advantages since you manage your EDI independently. But that requires having the in-house IT skills to run the station. And that’s not the case for a lot of companies. In addition, the cost of acquiring this type of installation is greater when starting a project, which makes licensed EDI not the best solution for many companies.
To meet the needs of companies, software in SaaS mode has developed in recent years. Let’s see together what is a distributed software in SaaS mode and why it may be interesting for you to migrate your station solution to an On Demand solution.
What is software in SaaS mode?
The acronym SaaS stands for “Software as a Service“. We also talk about hosted software. But what is SaaS or hosted software and how does it work?
Definition and operation of SaaS mode
In SaaS mode, computer software is distributed via a subscription model. Clearly, companies subscribe to software remotely instead of buying it and installing it on their servers as explained previously for a traditional EDI solution, for example. Usually, the solution is accessible via the Internet with data storage in the cloud.
SaaS or hosted software is therefore installed and hosted remotely on the servers of a service provider, such as TX2 CONCEPT. Your service provider takes care of all the management of the software. You only need a computer and your access codes to use it.
As we explained, companies do not buy the solution but pay a subscription which can be monthly or annual. The price includes all service costs such as: use of the solution, data storage, security, maintenance, updates and customer support.
The development of software in SaaS mode has especially been accelerated by the rise of cloud computing.
Cloud computing and SaaS mode: what are the differences?
It is quite common to confuse SaaS mode and cloud computing. In reality, SaaS mode is using software through a subscription and an Internet connection. Cloud computing, on the other hand, encompasses application delivery, data storage, application execution and a complete remote IT infrastructure.
8 reasons to migrate to an EDI SaaS solution
The choice between EDI in station, hosted EDI or Web EDI must be taken according to your needs. But let’s see together the advantages of SaaS mode. Hosted mode software is:
- An agile and customizable solution: the subscription system allows for scalable offers that adapt in real time to business needs.
- Quick and easy to deploy: no software to install on your servers. With a few tests and adjustments carried out by your provider, the solution will be ready to use quickly.
- More economical than a traditional license solution. The costs of use and exploitation remain lower than those of an acquisition of software. It’s in particular a solution of choice for companies who must exchange a certain volume of EDI messages with their partners but who do not necessarily have or do not want to have the IT skills in-house to manage them.
- More secure: you no longer store your data internally. Generally, security is higher with a hosted solution because it’s the core business of IT providers like TX2 CONCEPT. In our SLA we guarantee a certain level of security in the management and storage of your data.
- Updates managed automatically by the service provider.
- A solution accessible from anywhere, anytime. This is an essential advantage today; in particular with the development of teleworking. Your employees thus have access to the same software and the same information, regardless of their workplace.
- Unlike licensed software, which is an investment to be amortized over the years, a subscription to a hosted solution is a charge that can be deducted immediately from the company’s operating result.
- It is also a greener option. Indeed, servers are very energy-intensive equipment. Going through a service provider makes it possible to mutualise resources and reduce the electricity consumption induced by these servers.
TX2 CONCEPT and SaaS software
At TX2 CONCEPT, all our solutions are available in SaaS mode. But beware, SaaS mode is not a light version of licensed software. In fact, the hosted mode makes it possible to offer the same functionalities without having to manage the software internally. You benefit from the advantages stated previously without worrying about the disadvantages represented by the internal management of this type of software.
In addition, you also benefit from a support service provided by experts in EDI and paperless.
We hope this article has helped you better understand what SaaS (or hosted) software is and why it may be relevant for you to use it. If you have any questions that we have not answered, please do not hesitate to contact us. We will be happy to assist you.
Telephone: +33 2 38 69 65 43