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Asset Structure


Traditional On-Premise Software


Visual representation of a traditional on-premises software data center linking Human Resources, Finance, ERP, CRM, DBMS, BI/PM, Portal and Email to the IT Service Portfolio which includes User Services, Help Desk, Integration Architecture, Network Management, Network Security and Project & Portfolio Management (PPM)

Software as a Service (SaaS)


Data Center with SaaS Solutions replacing on-premise Accounting, ERP, CRM and Bi/PM software. Human Resources, DBMS, Portal and Email are on-premise software. IT Service Portfolio, which includes User Services, Help Desk, Integration Architecture, Network Management, Network Security and Project & Portfolio Management  are connecting and supporting both on-premise and SaaS

Comparison

Asset / Cost Element (per application) On-Premise Software SaaS
Application SoftwareXIncluded in subscription fee
Application Server(s)XIncluded in subscription fee
Data Center FacilitiesXIncluded in subscription fee
Federation Server
(secure identity management)
 X
Authentication Server
(secure identity management)
XX
Directory Services
(secure identity management)
XX
Implementation Process ConsultingXX
Software ImplementationXIncluded in subscription fee
Software Asset ManagementXIncluded in subscription fee
Software UpgradesXIncluded in subscription fee
IT Maintenance SupportXIncluded in subscription fee
Help DeskXShared End User Support
End User Devices
(Desktops/Laptops/Mobile Devices)
XX

With on-premise software licensing, the customer owns, operates and maintains software applications and the hardware servers that support the applications. With a SaaS model, the SaaS provider owns, operates and maintains the software and supporting hardware servers, which also reduces the customer's data center floor space and utilities requirements. Effects on the major asset of talented, skilled IT staff will vary for customers depending on their enterprise objectives. SaaS will reduce IT workload for any application acquired or migrated, which often times will be leveraged to free IT staff to focus on more important tasks (since there are fewer applications, systems and data center facilities to maintain). It is important to note that asset structure changes are on a per-application basis, and will alter a customer's IT services portfolio only to that extent.