The New Paradigm Defined

With a new paradigm comes new terminology.  On-Demand, On-Premise, SaaS. What do these phrases mean?

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From its beginning, Datacom has had the vision of the internet’s potential impact on how business transactions are conducted and how businesses would relate to their customers, vendors and all trading partners.  With this vision Datacom proceeded to develop one of the first native on-demand applications for the manufacturing industry.  Today Datacom is a leader in the development, marketing and supporting fully on-demand enterprise applications for the manufacturing industry.

Paradigm shift is all about moving from the “old” to the “new” as it is with the ubiquitous nature of the internet and how it is replacing the old way of doing business.  Datacom's on-demand (or web-hosted) delivery model provides end users with enterprise-level capabilities they can implement rapidly and more affordably without additional IT infrastructure or staff.  Datacom’s on-demand delivery model drives a significantly better Return on Investment when deploying a business application solution.

Shifting the Paradigm:

From Time Consuming and Costly to Dynamic and Affordable

Traditional On-Premise Model Datacom's On-Demand Model
Implementation Cycles 6-24 months As little as 8 weeks
Implementation Fees 1-3 times the cost of initial license Included
Hardware Costs As much as 100% of license fee to cover server, maintenance and IT staff
No server to buy or maintain.  Access solution from any internet accessible computer.
Annual Maintenance Fees 18% - 25% of initial license 18% - 25% of initial license - Includes Hosting and New Releases
Off-Site/Catastrophe Security
Not included or not available Included
Frequency of Upgrades Varies by vendor.  User responsible for install
As needed and automatic
Cost of Upgrades Varies by Vendor
Included
Cost of Support Varies by Vendor Included in Maintenance & Hosting

 

Today business enterprises are recognizing this shift and adopting on-demand solutions at a growing rate.

According to a 2008 Gartner survey of 258 enterprises worldwide, 61% of those who have transitioned from on-premise to an on-demand application (or are considering doing so in the next 12 months) made the change because of the lower Total Cost of Ownership, while 57% chose on-demand solutions because they deemed they were easier and faster to deploy than on-premise alternatives.

Top Motivations for On-Demand Adoption Include Cost-Effectiveness and Ease/Speed of Deployment

Survey Question: Why is your organization currently using or planning to use On-Demand in the next 12 months?

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But that is just part of the story of this significant paradigm shift.  Learn how Datacom's on-demand solutions deliver true business value.