Software-as-a-Service is nothing more and nothing less than enabling capabilities via a subscription
SaaS (Software-as-a-Service) enables capabilities through a subscription model. Providing users with access to software applications over the internet without the need for local installation or maintenance.
In the past, a product’s capabilities were embedded within the device’s operating system.
All features were available to the device owner, and new capabilities were only added through OS upgrades.
To monitor device performance, information could be obtained using protocols like SNMP. However, steering or managing the devices based on this information was rarely possible.
Times have changed, and the intelligence of devices has shifted to the cloud.
When acquiring a device, core capabilities are enabled, and additional intelligence can be accessed through a subscription (Software-as-a-Service).
If a capability no longer meets requirements, the subscription can be terminated.
This approach allows the device owner to decide which additional features are needed, rather than the vendor controlling the options.
I remain surprised that as private individuals, we readily subscribe to additional capabilities on mobile devices without hesitation. Yet, in the context of business solutions, there is still an expectation that all functionalities should be embedded within the device itself.
2. SaaS can be compared to a library service, where you rent a book for a fee and return it or extend the rental when the time is up.
Introducing SaaS in a hardware-driven organization is often perceived as challenging and met with significant resistance. Not only from internal sales staff but also from partners and customers. Educating all stakeholders with real-life examples can facilitate a breakthrough and demonstrate the value of the transition.
1. The easiest step to help everyone become comfortable with subscription-based solutions is to include them in every offer. Even if the initial quantity is set to zero.
