How SaaS Pacesetters Are Gaining an Advantage

By Dennis McCafferty  |  Posted 02-18-2014 Email Print this article Print

Software as a Service (SaaS) is serving as more than merely a cost-savings tool. It's helping organizations gain a competitive advantage through enhanced business processes, innovation and customer experiences, according to a recent survey from IBM. The accompanying report, "Champions of Software as a Service: How SaaS is Fueling Powerful Competitive Advantage," also depicts how SaaS is enabling the IT department and the business side to improve mutual communications and collaboration. Given that alignment with business remains a top priority for CIOs, this added benefit only supports the argument for SaaS investment. In terms of presentation, the IBM report focuses primarily on organizations divided into the categories of "pacesetters" and "chasers." Pacesetters demonstrate the highest level of SaaS adoption, and are reaping the rewards. Chasers are companies which are slower to adopt SaaS and, therefore, have lagged behind on competitive advantages. Clearly, demand will only grow for these tools, as worldwide spending on SaaS is forecast to reach $45.6 billion by 2017, according to Gartner. More than 800 global IT and business decision-makers took part in the research. For more about the survey, click here

  • Bond Building

    70% of IT and business decision-makers at "pacesetter" organizations say SaaS is strengthening the IT and business relationship, compared to just 39% of those at "chasers."
    Bond Building
  • Robust Collaboration

    71% of those working for pacesetters say there's strong collaboration between IT and business for SaaS selection and deployment, as opposed to only 36% of those who work for chasers.
    Robust Collaboration
  • A Protective Posture

    35% of those with pacesetters say IT and business collaborates strongly on SaaS security issues, while 24% of those with chasers say the same.
    A Protective Posture
  • Better Self-Service

    Three-quarters of those with pacesetters say they've significantly improved self-service capabilities through SaaS, compared to just 26% of those with chasers.
    Better Self-Service
  • Productivity Increases

    70% of those with pacesetters say they're optimizing business processes and workflows through SaaS, as opposed to 31% of chasers.
    Productivity Increases
  • Big Data Analytics

    Nearly three-quarters of those with pacesetters use SaaS to leverage analytics and gain insight from large masses of data, while barely one-third of those with chasers claim the same.
    Big Data Analytics
  • Game Changer

    71% of those with pacesetters say SaaS has changed their organization's business model, as opposed to 30% of those with chasers.
    Game Changer
  • Top Customer-Facing Benefits of SaaS Among Pacesetters

    Shortened time to market for products and services: 71%, Improved customer experience: 68%, Increased innovation and new and improved products: 66%
    Top Customer-Facing Benefits of SaaS Among Pacesetters
Dennis McCafferty is a freelance writer for Baseline Magazine.


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