5 reasons why you need SaaS!

In our last module, we analyzed what SaaS is and why the B2B SaaS market is so popular. Let’s summarize SaaS once again. SaaS stands for Software as a Service, and it’s a service that hosts applications in a cloud-based environment, allowing users to access and use them directly over the internet with just an internet connection. SaaS services are popular with many users and businesses because they allow users to easily utilize the latest technology at a lower cost without having to install, maintain, and manage the software on their own servers. Common SaaS services include MS office 365, Slack, and Salesforce.

So, what are some of the benefits of SaaS? In this article, we’ll take a more specific look at the benefits of SaaS and how it’s already bringing a lot of convenience into our lives.

SaaS advantages

Compared to traditional software, the advantages of SaaS are pretty evident. Not only is the service available anytime, anywhere with an internet connection, but it’s also cheap and scalable. SaaS services are increasingly in demand by businesses because they are easy to update and improve work efficiency.

Cost savings

The most obvious advantage of SaaS is cost savings. You won’t have to buy expensive hardware or software licenses in bulk and spend money on maintaining them. Instead, you can subscribe to a service for a low cost to access the software you need along with periodic updates.

Plus, you can choose a plan based on your business size and needs, so you only pay for what you use. This makes it great for small businesses with limited budgets.

Excellent flexibility and wide scalability

The second advantage of SaaS is that businesses can tailor their SaaS service subscription options to meet their needs, and they can do so with relative freedom. The traditional way of buying software licenses may not be adaptive enough to respond to rapid changes, but cloud services are.

Excellent accessibility

The third advantage of SaaS is that you can utilize the service from anywhere in the world with an internet connection. SaaS services don’t require you to use them only on specific devices or install the software on individual computers every time as traditional software does. And because the data is stored on cloud servers, you don’t have to back it up and individually transfer it all around.

Data Portability

The fourth advantage of SaaS is the ease of sharing and transferring data between SaaS and on-premises or private cloud applications, allowing you to work more efficiently. You will be able to quickly prepare and visualize the data you need for analysis and identifying trends and patterns. The ability to integrate third-party data is another plus, further optimizing data analysis and portability.

Automatic updates and easy usability

The fifth advantage of SaaS is ease of use as cloud-based services support automatic updates, so you won’t have to manually install anything. This makes it easy to gain access to the latest features and technologies every time. It’s also useful for connecting and optimizing business processes across departments, making collaboration within an enterprise more convenient.
Of course, there are downsides to SaaS services. You will have to use the program as it is, and the performance of the service may vary depending on your internet connection. Strict management is also required due to the possibility of data leakage occurring from negligence. However, as long as you have a good internal management process in place, the benefits of greater efficiency and convenience will outweigh the drawbacks.

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The need for SaaS services from a DX perspective

So far, we’ve covered five specific advantages SaaS offers. Adopting SaaS (software as a service) has almost become a necessity in the conversation of enterprise digital transformation (DX) Now, let’s look at the necessity of SaaS services for enterprise DX.

Enterprise DX

DX, or digital transformation, may seem abstract and vague to many of you. In fact, the definition of DX varies from company to company because it depends on how each company views digital transformation. This is because the variations stem from how each company perceives digital transformation based on their individual perspectives. Global corporations such as Salesforce, AT Kearney, and Red Hat have provided the following definitions of DX:

• Salesforce: DX is the process of using digital technologies to create new business processes, cultures, and customer experiences in response to changing circumstances.
• AT Kearney: Increasing efficiency and profitability by migrating the existing enterprise towards digital practices and continuously developing innovation capabilities.
• Red Hat: The effort of incorporating new technologies, processes, and culture with the goal of improving business performance.

Although slightly different, each of these definitions emphasizes the need to adopt digital technologies to improve your business. Successful DX is based on the application and utilization of digital technologies. While it is not easy to introduce and apply new digital technologies all across the board, SaaS services can make this process relatively easy and efficient.

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Cases of SaaS Service Usage

Although the core tenet of enterprise DX is about adopting digital technologies, you may struggle to get started if you don’t have enough IT professionals in your organization. In such circumstances, SaaS services make it easier to adopt digital technology and facilitate the automation of various tasks. Hence, many businesses, including startups, small to medium-sized enterprises, and large corporations, are actively utilizing SaaS services. Now, let’s explore two examples of implementing SaaS services to achieve digital transformation and enhance operational efficiency.

HR sector

FLEX, a specialized HR platform, provides a SaaS service that integrates and manages workforce management functions from hiring to time and attendance to payroll. Efficient workforce management is made possible by integrating and managing pertinent HR data through the FLEX platform. For example, SK Chemicals adopted the FLEX platform to automate the onboarding process for new hires, thus increasing work efficiency by shortening the onboarding period and allowing new employees to focus more on their main tasks.

Education Platform Sector.

In order to adapt to an ever-changing marketplace, it has become crucial to strengthen digital capabilities. Elice provides a SaaS education platform that meets the needs of every organization, including leading enterprises, educational institutions, and startups. From coding labs to video lectures to progress management, the Elice DX education platform can be implemented and used immediately without the need to build a separate system. Crowdworks was able to send SMS, connect ChannelTalk, integrate logins, and check learning data all on the Elice platform, making it easy and quick to manage training for its trainees. SMS sending, ChannelTalk integration, login integration, and learning data verification were all managed easily and quickly on the Elice platform.

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In this module, we’ve discussed the benefits of SaaS services and the need for SaaS in enterprise DX. We’ve also looked at successful cases from the field of HR and training platforms. If you’re an organization interested in educational SaaS services, we recommend that you try out Elice’s LMS solution. We provide SaaS services for effective DX training, including cloud-based real-time code feedback, libraries, AI dashboards, platform customization, and learning tied to internal company data that can be accessed anywhere and anytime, with no further installations needed. If you’re interested in adopting a customized DX training platform, we encourage you to speak with one of our expert consultants today.

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