LMS on Demand

The benefits of "Software as a Service" (SaaS)

Many organizations find it difficult to decide which of the two most common approaches for designing an eLearning system is right for them. These two approaches are referred to as:

  1. Traditional approach — the software is sold as a license for an "on-premises", behind the firewall solution. In this scenario, the licensee will be hosting the system and therefore must possess the necessary IT infrastructure (i.e. hardware and software) and experienced technology experts to effectively run this system.

  2. SaaS approach — this involves a "hosted" approach where the eLearning solution is hosted by the service provider off of their own servers and where user access is usually gained via secure web access (i.e. "on demand").

There are many fundamental differences between these two approaches, but no more significant than who manages the software solution. In the case of the traditional approach, the firm that has purchased the software license runs it off of their servers and is therefore responsible for most of the maintenance and management of the system (24/7), with the exception of software updates for the most part.

With the SaaS approach, the software provider is responsible for the operation and maintenance of the system (24/7), including providing all the necessary updates and fixes to the software package. As well, with the SaaS solution, secure access to their servers must be provided for any and all users that are required to access and complete the required course work, or perform administrative responsibilities.

Clearly, there are trade-offs an organization must carefully evaluate before making a decision on their LMS solution. Essentially, it boils down to an issue of control and ownership — the traditional approach provides increased control for the business in managing their eLearning solution, but that control involves management and monitoring on a 24/7 basis to ensure that the software is functioning properly, is accessible to all users with an 'uptime' of virtually 100%, and that any issues or problems with the performance of the software are resolved by the business where possible or reported to the vendor for resolution.

In the modern lean firm where resources are often scarce, shared, non-dedicated, or perhaps non-existent due to outsourcing, the traditional approach could prove to be too costly and unrealistic for a business to implement successfully. In most cases, the SaaS solution offers businesses the best of both worlds.

Find out more about how Algario's innovative SaaS solution, PowerLearn™, can be the right approach for your organization.