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SaaS and the IT Organization Circa 2017 by Vaughan Merlyn on Apr 17, 2008 - 08:01 AM read 2150 times Source: http://itorganization2017.wordpress.com/?p=232 |
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I’ve speculated before in this blog that Software as a Service was a significant force of change on IT organizations. A colleague just turned me on to a (new to me) blog called Think IT Services, and its latest post Why IT Now Sees SaaS AsA Savior. In his post Jeff Kaplan cites several indications that SaaS is gaining acceptance by IT organizations.
I think that it’s difficult at this time to predict exactly how and how quickly the SaaS movement will spread, but it clearly is already a sourcing strategy worthy of considering. And I have no doubt that by 2017 (the time-frame this humble blog tries to consider) it will be a dominant form of sourcing.
I’d also urge that IT leaders formulate their SaaS strategies in conjunction with their SOA strategies. I’ve recently posted on the business implications of SOA (see Part 1, Part 2 and Part 3) that came out of the recent BSG Alliance multi-company research project on SOA Business Implications. I believe that SaaS, viewed in the context of SOA, is one of many new sourcing strategies, and that much of the future software and its sub-components that run our companies and agencies will be “pulled from the ether”. We will care far more about business functionality and results, and less about who write it and where it runs.
I acknowledge that there are still many issues to be worked out, and all sorts of questions about security, privacy, and vendor business models, but I believe these will be worked out satisfactorily in fairly short order (i.e., over the next 3 years). It could also be, as Mr. Kaplan hints, that the economic climate into which we seem to have slipped, will provide additional incentives for CIO’s to be more open to SaaS possibilities.
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By: itorganization2017
a reply to SaaS and the IT Organization Circa 2017
by itorganization2017 on Apr 18, 2008 - 11:40 AM read 69 times
Source: http://itorganization2017.wordpress.com/?p=232#comment-240
Nicely stated - especially the “end up in phone support” warning. Thanks for the comment!
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By: Tony Zuanich
a reply to SaaS and the IT Organization Circa 2017
by Tony Zuanich on Apr 18, 2008 - 11:06 AM read 58 times
Source: http://itorganization2017.wordpress.com/?p=232#comment-239
There is a bigger picture in play right now that many people may not see. Simply follow the money of where and why the large software companies have made money for the last 3 decades. SaaS has forced many “incumbents” to take a hard look into the future. What is clear they have all come away knowing if we dont move to the improved economic model of SaaS for the consumer, someone else will and un-ravel the licensed software revenue of the past. Let the race begin ladies and gentlemen! The money has been made in large business applications, and there is no reason why these applications cant be SaaS other than lack of vision, or arrogance. The fight will play out as Oracle, SAP, MS, and Google proliferate their SaaS models. Then, adding functionality will become the chess game of acquiring smaller SaaS business. The next 5 years should see an interesting time of M&A activity. Place your bets on the best business applications that solve real problems, and the guys with the most money. As for the IT department, get with a SaaS or end up in phone support.
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