
With global competition growing tremendously, its vital that small-to-midsize businesses (SMB) learn to leverage IT resources to meet the demands of its customers in a cost-efficient and timely manner. With the increasing options available on the IT market,
SMBs can now put their resources online or transform it into a web-based one. Information can be accessed anytime and anywhere. Hence, Computerworld has a great write-up on the reasons to choose between online or onsite software solutions. Read on:
Decisions on any technology closely tied to the financial health of a business should always be made carefully. This includes whether to select an on-demand or the on-premise model.Following is a rundown on some of the merits and challenges of these two software delivery models, with a focus on the needs of small-to-midsize businesses (SMB).
* Lower Cost of Entry: Many SMBs are attracted by the "pay-as-you-go" aspect of on-demand software, seeing on-demand as a way to avoid the large upfront investment required
* No Readiness Issues: Generally speaking, the smaller the business, the less likely it possesses the time, money or expertise to purchase, manage and maintain an IT infrastructure. An on-demand
*Shorter Time to Productivity: The competitive advantage for many SMBs is their ability to be agile in responding
*Support for Mobile Users: Whether employees are in the office, at home or in a hotel room in another time zone, access to an on-demand application is identical.






On-demand is certainly causing upheaval in the SW industry. Now couple this trend with managed open source vendors and you have a "perfect storm" that will significantly change the SW economics for companies and their SW vendors. Two examples are Spike Source (www.spikesource.com) and Appitas(www.appitas.com). Both provide best-of-breed open source applications with support. Spike Source does it via certified stacks for large companies. Appitas does it for the SMB market by offering on-demand open source solutions. Both models will have profound impacts on the companies currently competing in these spaces.
Posted by: Lena Chen | November 21, 2006 6:10 PM | Permalink to Comment