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Benefits of On-demand Supply Chain Solutions Touted
Web-based solutions seen saving time and money versus tradition, on-premises software
Atlanta — May 30, 2007 — New on-demand supply chain solutions can save significant time and money and do not require software or hardware to be installed on premises, according to recent research being highlighted by solution provider Deposco.
Many experts agree that the time and money required to benefit from on-demand software solutions is less than what is required to implement and use traditional, on-premises solutions. In addition, the market today offers solutions that provide users with "anytime, anywhere" access through the Internet, potentially providing greater visibility, control and savings of time and money than could previously be realized through traditional software investments.
Subscription rates for on-demand software vary based on the number of users and other specifics, but the total cost of ownership (TCO) of these types of on-demand solutions can be lower than those of traditional, on-premises software offerings, according to many industry analysts.
Accelerating Value
In a recent study titled "B2B Collaboration: How On-Demand Platforms Accelerate Value and Impact TCO," technology consultancy Aberdeen Group wrote: "On-demand technology platforms are playing an increasingly important role in enabling electronic communication and process collaboration. Companies seeking to improve their collaboration capabilities should take a strong look at on-demand solutions."
Compared to traditional on-premises software, newly available on-demand solutions typically require less up-front investments in software, hardware and professional services, as well as lower recurring costs such as maintenance, support personnel and upgrades. Furthermore, on-demand solutions often can be implemented more quickly than traditional software, so users can potentially realize the benefits of using them much sooner, sometimes within just a few weeks.
The benefits provided by on-demand supply chain execution solutions are similar to those of traditional on-premises solutions, including reduced physical inventory, improved productivity, reduced labor costs and increased accuracy. These benefits drive faster order-to-cash cycles, improved customer service levels, along with improved visibility and tracking of inventory, orders, and shipments. However, some in the industry suggest that, with on-demand delivery, these benefits can be obtained cost-effectively within a wider range of circumstances compared to on-premises software.
TCO on SaaS
In a recent paper on the TCO of on-demand applications, consultancy Yankee Group concurred that the benefits of on-demand solutions are significant, including faster implementation and ramp-up time to productive use of applications; lower upfront and ongoing costs; no additional IT infrastructure for servers, networks, and storage and IT resources to support these; no additional IT application support staff; and guaranteed service-level agreements (SLAs).
Many experts agree that the time and money required to benefit from on-demand software solutions is less than what is required to implement and use traditional, on-premises solutions. In addition, the market today offers solutions that provide users with "anytime, anywhere" access through the Internet, potentially providing greater visibility, control and savings of time and money than could previously be realized through traditional software investments.
Subscription rates for on-demand software vary based on the number of users and other specifics, but the total cost of ownership (TCO) of these types of on-demand solutions can be lower than those of traditional, on-premises software offerings, according to many industry analysts.
Accelerating Value
In a recent study titled "B2B Collaboration: How On-Demand Platforms Accelerate Value and Impact TCO," technology consultancy Aberdeen Group wrote: "On-demand technology platforms are playing an increasingly important role in enabling electronic communication and process collaboration. Companies seeking to improve their collaboration capabilities should take a strong look at on-demand solutions."
Compared to traditional on-premises software, newly available on-demand solutions typically require less up-front investments in software, hardware and professional services, as well as lower recurring costs such as maintenance, support personnel and upgrades. Furthermore, on-demand solutions often can be implemented more quickly than traditional software, so users can potentially realize the benefits of using them much sooner, sometimes within just a few weeks.
The benefits provided by on-demand supply chain execution solutions are similar to those of traditional on-premises solutions, including reduced physical inventory, improved productivity, reduced labor costs and increased accuracy. These benefits drive faster order-to-cash cycles, improved customer service levels, along with improved visibility and tracking of inventory, orders, and shipments. However, some in the industry suggest that, with on-demand delivery, these benefits can be obtained cost-effectively within a wider range of circumstances compared to on-premises software.
TCO on SaaS
In a recent paper on the TCO of on-demand applications, consultancy Yankee Group concurred that the benefits of on-demand solutions are significant, including faster implementation and ramp-up time to productive use of applications; lower upfront and ongoing costs; no additional IT infrastructure for servers, networks, and storage and IT resources to support these; no additional IT application support staff; and guaranteed service-level agreements (SLAs).
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