Software as a Service

Fundamentals of SaaS

Dr. Jay Sarraf

School of Computer Engineering
KIIT Deemed to be University
Introduction

What is SaaS?
SaaS stands for Software as a Service.
It is a cloud computing model where software applications are
provided to users over the internet. Users access the software

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through a web browser, eliminating the need for installation and
maintenance on their local machines.

With SaaS, users can remotely access the

software without the need for installation
on their local devices. This model allows

Software as a Service
businesses to subscribe to the software
service with a monthly fee and a pay-as-
you-go approach, providing flexibility
and cost-effectiveness.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

Cont…

How Does SaaS Work?

SaaS providers host and manage the software applications on their

servers. Users access the applications through a client interface, usually
a web browser. The provider takes care of software updates, security,
and infrastructure management, allowing users to focus on using the

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software rather than maintaining it.

Software as a Service
The future of SaaS

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

Benefits of SaaS

Benefits of SaaS
• Cost Savings: SaaS eliminates the need for upfront hardware and
software investments, reducing costs for businesses.
• Scalability: SaaS allows users to easily scale up or down based on

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their requirements, paying only for the resources they use.
• Accessibility: Users can access SaaS applications from any device
with an internet connection, enabling remote work and collaboration.
• Easy Updates: SaaS providers handle software updates and patches,
ensuring users always have access to the latest features and
improvements.

Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
Advantages of SaaS for Businesses

Advantages for Businesses

• Rapid Deployment: SaaS applications can be quickly deployed,
reducing time-to-market for businesses.
• Lower Maintenance: With SaaS, businesses don't need to worry

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about software maintenance, updates, or infrastructure management.
• Enhanced Collaboration: SaaS applications often include
collaboration features, enabling teams to work together seamlessly.
• Improved Security: SaaS providers implement robust security
measures to protect user data, often surpassing what individual
businesses can achieve.

Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
SaaS Applications

Examples of SaaS Applications

• Customer Relationship Management

(CRM) systems like Salesforce.
• Project Management tools such as Asana

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and Trello.
• Communication and Collaboration
platforms like Slack and Google Workspace.
• Accounting Software such as QuickBooks
Online and Xero.

Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
SaaS vs Traditional Software

SaaS vs. Traditional Software

• SaaS: Pay-as-you-go pricing, no upfront costs, automatic updates,
scalable, accessible from anywhere.
• Traditional Software: Upfront license fees, installation required,
manual updates, limited scalability, tied to specific devices.

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SaaS Adoption Considerations

Data Security: Assess the security measures implemented by the

SaaS provider to protect your sensitive data.
Service Level Agreements (SLAs): Review the SLAs to ensure the
availability and performance of the SaaS application meet your

Software as a Service
business needs.
Integration Capabilities: Check if the SaaS application can integrate
with your existing systems and workflows.
Vendor Reputation: Research the vendor's reputation, customer
reviews, and track record before committing to a SaaS solution.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

SaaS Maturity Model

What is SaaS Maturity Model?

The SaaS Maturity Model is a framework

that helps organizations assess and
enhance their capabilities in adopting and

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leveraging Software as a Service (SaaS). It
provides a structured approach to
understand the journey from initial
adoption to full utilization and
optimization of SaaS solutions. Let's
explore the different stages of the SaaS
Maturity Model.

Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
SaaS Maturity Model

Stage 1: Ad Hoc

At the initial stage, organizations have limited awareness and experience with SaaS.
Adoption is ad hoc, with sporadic usage of SaaS applications. There is a lack of
standardized processes and governance. The focus is primarily on solving immediate
challenges rather than long-term strategy.

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Stage 2: Defined

In the defined stage, organizations start formalizing their SaaS adoption. There is a clearer
understanding of business requirements and alignment with SaaS solutions. Defined
processes and governance frameworks are established, ensuring better control and security.
However, the usage of SaaS is still limited to specific departments or functions.

Software as a Service
Stage 3: Managed
At the managed stage, organizations have a comprehensive strategy for SaaS adoption.
SaaS applications are managed across the organization with standardized processes and
controls. Integration with other systems is prioritized, enabling data flow and
collaboration. Cost optimization and vendor management strategies are implemented.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

SaaS Maturity Model

Stage 4: Optimized
In the optimized stage, organizations have fully embraced SaaS and maximize its potential.
SaaS solutions are strategically aligned with business goals. Continuous improvement and
innovation are emphasized, leveraging analytics and insights to drive optimization.
Scalability, security, and performance are key considerations.

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Key Benefits of the SaaS Maturity Model:

Clear Roadmap: The model provides a roadmap for organizations to progress from initial
adoption to optimized utilization of SaaS, ensuring a strategic approach.
Governance and Control: It helps establish standardized processes and governance
frameworks, enabling better control and security.
Integration and Collaboration: Organizations can focus on integrating SaaS applications

Software as a Service
with other systems, fostering data flow and collaboration.
Cost Optimization: The model facilitates cost optimization strategies by evaluating SaaS
investments, avoiding redundant applications, and optimizing vendor management.
Innovation and Optimization: It encourages organizations to continuously improve and
innovate, leveraging insights to drive optimization and gain a competitive edge.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

Consideration for SAAS Application development

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Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
Important factors for good design of SAAS model

A well-designed SaaS application can be distinguished from a poorly

designed one based on three key factors: scalability, configurability,
and multi-tenancy efficiency.

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• Scalability: A well-designed SaaS application focuses on maximizing concurrency and
efficiently utilizing resources. This involves optimizing factors such as locking duration,
statelessness, utilizing shared resources like threads and network connections, caching
reference data, and partitioning large databases.

• Configurability: In a well-designed SaaS application, customization and configuration are

achieved without the need for code changes. Each customer should be able to configure the
application to meet their specific needs, without affecting other customers. The application

Software as a Service
should provide simple and easy-to-use tools for customers to configure the appearance and
behavior of the application for their users, without incurring additional development or
operational costs.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

Important factors for good design of SAAS model

• Multi-tenancy: A well-designed SaaS application embraces a multi-tenant architecture,

allowing multiple companies to use the same application instance simultaneously while
ensuring transparency. The architecture should enable efficient sharing of resources across
tenants, ensuring optimal utilization and performance.

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Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
Challenges & Future Trends

SaaS Implementation Challenges:

• Data Migration: Transferring data from existing systems to a SaaS application can be
complex and time-consuming.
• Internet Connectivity: SaaS applications require a stable internet connection for
uninterrupted access.

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• Customization Limitations: SaaS applications may have limited customization options
compared to on-premises software.
• Vendor Lock-in: Evaluate the contract terms and exit strategy in case you decide to
switch or terminate the SaaS service.

Future Trends in SaaS

Software as a Service
• Industry-Specific Solutions: SaaS offerings tailored to specific industries will continue
to grow.
• Artificial Intelligence (AI) Integration: SaaS applications will increasingly leverage AI
capabilities for enhanced functionality and user experience.
• Internet of Things (IoT) Integration: SaaS solutions will integrate with IoT devices to
enable data-driven insights and automation.
• Hybrid SaaS Models: Hybrid models combining SaaS and on-premises solutions will
emerge to meet diverse business requirements.
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
Conclusion

• Software as a Service (SaaS) offers numerous advantages, including

cost savings, scalability, and accessibility.
• Businesses can leverage SaaS to streamline operations, improve

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collaboration, and focus on core competencies.
• As technology continues to evolve, SaaS will play a crucial role in
driving digital transformation and innovation.

Software as a Service
Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University
Remember

• Scalability: Plan for growth and optimize resource usage.

• Security: Prioritize data protection and implement robust security measures.
• User Experience: Focus on intuitive interfaces and seamless workflows.

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• Integration: Provide APIs for seamless integration with other systems.
• Monitoring: Implement monitoring and analytics for performance tracking.
• Documentation: Offer comprehensive user guides and support resources.
• Continuous Improvement: Gather feedback and iterate for ongoing

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enhancements.

Dr. Jay Sarraf, School of Computer Engineering, KIIT Deemed to be University

THANK YOU