3. Software governance improves life for IT and the business
Locally-installed software makes it hard for IT to balance visibility of deployed applications with flexibility for the end user. But hosted services are now enabling IT to retain control of applications without locking down personal choice for end users.
As the guards of corporate policy and security standards, IT must often restrict download rights and application permissions for desktop software. But with growing adoption of IT-deployed cloud applications, the need to lock down software is falling away.
Hosted applications allow administrators to monitor usage and manage features at any time. This allows IT to maintain fine-grained control of things like authentication, data security, and user permissions.It also helps reduce restrictions placed on end users.
Business users are allowed to choose and customize their applications. Access to cutting-edge technology is now recognized as a top contributor to overall employee satisfaction. And with newfound autonomy over their software, many employees are becoming more productive and satisfied with their workflow. Organizations making the shift to hosted applications are poised to win big as they fight for top talent.
4. Hosted applications streamline internal business ops
Business operations require significant investments in software, hardware, and people to manage it all. But enterprises are now looking to SaaS in their quest to cut costs and boost agility.
Today, SaaS is beginning to replace monolith on-prem applications (that were traditionally expensive and time-consuming to deploy). According to Statistica, SaaS and PaaS portions of cloud hardware and infrastructure software spending are projected to reach US$12B in 2016 and grow up to US$55B in 2026. Furthermore, IDC predicted that by 2020, penetration of SaaS versus traditional software deployment will be over 25%.
SaaS provides specialized solutions without the challenges of on-prem deployment. Hosted products help businesses gain operational flexibility by way of cutting deployment burdens and eliminating the need to manually maintain and upgrade software. With less time and budget earmarked for on-prem deployments, IT is now free to focus on business insights and innovation.
5. Long-term customer success and adoption are top priorities
Cloud platforms have eliminated many upfront challenges associated with on-prem deployments. Today, cloud software vendors are extending their focus far beyond the point of sale. They're working with customers to ensure product adoption and business value.In the world of cloud, software deployments require fewer initial investments of time and money. Customers evaluating software renewals no longer have to worry about large sunk costs. This shift is placing satisfaction rates and business value front and center.Sales engagements increasingly span the entire lifecycle of a buyer's journey. Cloud vendors are focusing on their customers' long-term success and developing a strong working relationship with both IT and the business. They're offering higher levels of customer support, more robust training resources, and deeper guidance on product adoption. This new timeframeis leading to mutually beneficial partnerships. Enterprises realise more value from their investments, and vendors build long-term customers rather than one-time buyers.
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