SaaS 'great for sister companies and small teams'

Businesses looking to get the most bang for their buck when it comes to the distribution of cash around an IT department may want to consider the use of software-as-a-service (SaaS), according to an expert.

Ann All, a dedicated blogger for ITBusinessEdge.com, spoke to Carl Gammon, the director of information systems for Minneapolis-based medical device producer Minntech Corp, which has found that traditional outsourcing is being superseded by SaaS and business management software.

He explained: "With what we've looked at, it's more expensive, and in some cases quite a bit more expensive, for us to outsource than to have internal staff provide services."

Mr Gammon asserted that instead of outsourcing certain other IT functions, he prefers SaaS because it is a much less expensive point of entry for smaller companies such as his own that want have plenty of new functionality or applications.

It follows comments from Eric Berridge, the chief executive officer of Bluewolf, who said that the cost of getting the wrong solution in SaaS is very much lower than it always was, and still is, with traditional offerings.

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