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SaaS Readiness
Evaluation (SRE)
    Services
     January 2009
Why Consider SaaS?

       According to a recent Gartner survey 9
        out of 10 companies plan to grow their
        use of software-as-a-service in the next
        year and more than 30% plan to replace
        on-premises software with SaaS to drive
        down TCO.




2   Scio Consulting International, LLC. All rights reserved.
Getting SaaS Right is Key




3   Scio Consulting International, LLC. All rights reserved.
SaaS Challenges for ISVs

       As a traditional software company,
        migrating your existing technology and
        revenue model to SaaS can be complex
       Without best practices, it can be costly
        or even detrimental to your business.
       Nearly every aspect of operating a SaaS
        model is different from that of a
        traditional software business.




4   Scio Consulting International, LLC. All rights reserved.
Top SaaS Considerations




    SaaS is different
    from on-premise
    software in more
    ways than one.




5       Scio Consulting International, LLC. All rights reserved.
SaaS Readiness Evaluation (SRE)

             Challenges for ISVs
      
             Objectives
      
             Key Benefits
      
             Approach
      
             Deliverables
      
             Cost / Duration
      
             Custom Engagements
      




6   Scio Consulting International, LLC. All rights reserved.
SRE Objectives

       SRE is a brief consulting engagement
        designed to facilitate the transition to
        the Software-as-a-Service model for ISVs
                » Visualize and validate your software
                  positioned as SaaS before you invest
                  significant resources in development.
                » Can be considered as the Product
                  Requirements Phase of the development
                  lifecycle




7   Scio Consulting International, LLC. All rights reserved.
SRE Key Benefits

       Quickly gain a good understanding of the
        technical and business implications of
        moving to SaaS
       Receive a personalized roadmap for
        moving to SaaS
       Receive un-biased expert opinions based
        on best practices and the state of the art
        technologies




8   Scio Consulting International, LLC. All rights reserved.
SRE Approach

       Conference call with consultants to gain
        an understanding of the challenges you
        face
       Preliminary analysis
       2-4 day onsite visit
       Post-visit analysis and report creation
       Presentation of report and
        recommendations for next steps




9   Scio Consulting International, LLC. All rights reserved.
SRE Key Deliverables
       In as little as 2 weeks, your company can have the following
           deliverables:
        A business case
            » An understanding of your target markets and the competitor
                landscape
            » Identification and prioritization of the business and
                technology gaps that you will need to address in order to
                deliver a successful, scalable and secure SaaS offering
            » Specific and measurable goals and objectives for your SaaS
                business
            » Financial projections with a cost/benefit and ROI analysis
            » Recommendations for next steps
        A functioning prototype
            » Reflects the look and feel of your SaaS offering
            » Can be used for internal or external funding efforts
            » Can be used to acquire early adoption clients

10   Scio Consulting International, LLC. All rights reserved.
SRE Key Questions Answered (1)
       Competitive position in the marketplace
              Will our target customers adopt a SaaS product?
       
              Will SaaS provide us with a key differentiator and give us a competitive
       
              edge?
              What are our competitors doing in SaaS
       


       Technology and Architecture
              How do we migrate to a multi-tenant structure?
       
              What existing code can be leveraged within the SaaS architecture?
       
              What will the new SaaS offering look like?
       
              What new functionality, modules or components will be necessary for
       
              SaaS?


       New pricing strategies
              Should we charge per transaction or per user?
       
              How much should we charge?
       
              Should certain services and/or functions be considered premium?
       

11   Scio Consulting International, LLC. All rights reserved.
SRE Key Questions Answered (2)
       Financial Implications
              How much will it cost?
       
              What is the potential for increased revenues?
       


       Sales Team
              How will earning revenue over time impact our existing sales
       
              compensation plans?
              How will SaaS impact our marketing approach
       


       Customer Service and Customer Training Processes
              How will the SaaS model impact the way we interact with our
       
              customers?
              How will we be able to maintain the high levels of customer satisfaction
       
              and customer retention that is required to sustain and grow our
              business?




12   Scio Consulting International, LLC. All rights reserved.
SRE Cost & Duration
              Typical engagements last 2-3 weeks
       
              2-4 days of onsite work for 1-2 people
       
              Investment ranges from $5,000 - $20,000
       




13   Scio Consulting International, LLC. All rights reserved.
Does Your Company Need SRE?
        Do you have:
                » Technical experience with multi-tenancy and
                  SaaS development platforms
                » A solid understanding of the business and
                  operational differences between traditional
                  licensed software and software as a service
                » Knowledge of relevant pre-built components and
                  services that can be used to save development
                  time




14   Scio Consulting International, LLC. All rights reserved.
SaaS Business Model Implications

        New sales & marketing approach
                 » Greater emphasis on web-centric cycle
        New sales & marketing compensation
        New release cycles and maintenance
         model
        New deployment/delivery approach
        New/higher expectations on customer
         service
        Uptime and SLA
        Professional Services

15   Scio Consulting International, LLC. All rights reserved.
Why Choose Scio for SRE?
        Consulting and Development Services
                » Ability to assist in the creation of your product vision in a
                  creative fashion, leveraging our expertise and knowledge of
                  best practices
                » Ability to develop and deliver your product all the way to
                  launch and beyond
        Focus on Software as a Service and Web 2.0
                » Highly scalable/available Web-delivered
                  applications
                » SaaS Model, Infrastructure and Service issues
                » UI Design Optimization
                » Full IT Lifecycle Services




16   Scio Consulting International, LLC. All rights reserved.
Full Lifecycle IT Services
         From Ideas to Product
                                      Idea Lab
                                              » Software product design consulting

                                      Development Center
                                              » Design, Development, Testing, Launch

                                      Support and Maintenance Services
                                              » Maintenance, Training, User Support


                                      Dedicated Teams
                                              » Long-term custom-built teams

17   Scio Consulting International, LLC. All rights reserved.
Jeremy Beck
VP of Business Development
     408.404-3897 x301
    jbeck@sciodev.com

 http://www.sciodev.com

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Scio Saa S Readiness Evaluation Sre V1.0

  • 1. SaaS Readiness Evaluation (SRE) Services January 2009
  • 2. Why Consider SaaS?  According to a recent Gartner survey 9 out of 10 companies plan to grow their use of software-as-a-service in the next year and more than 30% plan to replace on-premises software with SaaS to drive down TCO. 2 Scio Consulting International, LLC. All rights reserved.
  • 3. Getting SaaS Right is Key 3 Scio Consulting International, LLC. All rights reserved.
  • 4. SaaS Challenges for ISVs  As a traditional software company, migrating your existing technology and revenue model to SaaS can be complex  Without best practices, it can be costly or even detrimental to your business.  Nearly every aspect of operating a SaaS model is different from that of a traditional software business. 4 Scio Consulting International, LLC. All rights reserved.
  • 5. Top SaaS Considerations SaaS is different from on-premise software in more ways than one. 5 Scio Consulting International, LLC. All rights reserved.
  • 6. SaaS Readiness Evaluation (SRE) Challenges for ISVs  Objectives  Key Benefits  Approach  Deliverables  Cost / Duration  Custom Engagements  6 Scio Consulting International, LLC. All rights reserved.
  • 7. SRE Objectives  SRE is a brief consulting engagement designed to facilitate the transition to the Software-as-a-Service model for ISVs » Visualize and validate your software positioned as SaaS before you invest significant resources in development. » Can be considered as the Product Requirements Phase of the development lifecycle 7 Scio Consulting International, LLC. All rights reserved.
  • 8. SRE Key Benefits  Quickly gain a good understanding of the technical and business implications of moving to SaaS  Receive a personalized roadmap for moving to SaaS  Receive un-biased expert opinions based on best practices and the state of the art technologies 8 Scio Consulting International, LLC. All rights reserved.
  • 9. SRE Approach  Conference call with consultants to gain an understanding of the challenges you face  Preliminary analysis  2-4 day onsite visit  Post-visit analysis and report creation  Presentation of report and recommendations for next steps 9 Scio Consulting International, LLC. All rights reserved.
  • 10. SRE Key Deliverables In as little as 2 weeks, your company can have the following deliverables:  A business case » An understanding of your target markets and the competitor landscape » Identification and prioritization of the business and technology gaps that you will need to address in order to deliver a successful, scalable and secure SaaS offering » Specific and measurable goals and objectives for your SaaS business » Financial projections with a cost/benefit and ROI analysis » Recommendations for next steps  A functioning prototype » Reflects the look and feel of your SaaS offering » Can be used for internal or external funding efforts » Can be used to acquire early adoption clients 10 Scio Consulting International, LLC. All rights reserved.
  • 11. SRE Key Questions Answered (1) Competitive position in the marketplace Will our target customers adopt a SaaS product?  Will SaaS provide us with a key differentiator and give us a competitive  edge? What are our competitors doing in SaaS  Technology and Architecture How do we migrate to a multi-tenant structure?  What existing code can be leveraged within the SaaS architecture?  What will the new SaaS offering look like?  What new functionality, modules or components will be necessary for  SaaS? New pricing strategies Should we charge per transaction or per user?  How much should we charge?  Should certain services and/or functions be considered premium?  11 Scio Consulting International, LLC. All rights reserved.
  • 12. SRE Key Questions Answered (2) Financial Implications How much will it cost?  What is the potential for increased revenues?  Sales Team How will earning revenue over time impact our existing sales  compensation plans? How will SaaS impact our marketing approach  Customer Service and Customer Training Processes How will the SaaS model impact the way we interact with our  customers? How will we be able to maintain the high levels of customer satisfaction  and customer retention that is required to sustain and grow our business? 12 Scio Consulting International, LLC. All rights reserved.
  • 13. SRE Cost & Duration Typical engagements last 2-3 weeks  2-4 days of onsite work for 1-2 people  Investment ranges from $5,000 - $20,000  13 Scio Consulting International, LLC. All rights reserved.
  • 14. Does Your Company Need SRE?  Do you have: » Technical experience with multi-tenancy and SaaS development platforms » A solid understanding of the business and operational differences between traditional licensed software and software as a service » Knowledge of relevant pre-built components and services that can be used to save development time 14 Scio Consulting International, LLC. All rights reserved.
  • 15. SaaS Business Model Implications  New sales & marketing approach » Greater emphasis on web-centric cycle  New sales & marketing compensation  New release cycles and maintenance model  New deployment/delivery approach  New/higher expectations on customer service  Uptime and SLA  Professional Services 15 Scio Consulting International, LLC. All rights reserved.
  • 16. Why Choose Scio for SRE?  Consulting and Development Services » Ability to assist in the creation of your product vision in a creative fashion, leveraging our expertise and knowledge of best practices » Ability to develop and deliver your product all the way to launch and beyond  Focus on Software as a Service and Web 2.0 » Highly scalable/available Web-delivered applications » SaaS Model, Infrastructure and Service issues » UI Design Optimization » Full IT Lifecycle Services 16 Scio Consulting International, LLC. All rights reserved.
  • 17. Full Lifecycle IT Services From Ideas to Product  Idea Lab » Software product design consulting  Development Center » Design, Development, Testing, Launch  Support and Maintenance Services » Maintenance, Training, User Support  Dedicated Teams » Long-term custom-built teams 17 Scio Consulting International, LLC. All rights reserved.
  • 18. Jeremy Beck VP of Business Development 408.404-3897 x301 jbeck@sciodev.com http://www.sciodev.com