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Having one's ‘head in the clouds' used to be considered a bad thing: the person in question had unrealistic, impractical ideas. However, today, the opposite is true. Clued-up business owners are clambering to get into the cloud thanks to the benefits it offers. But these aren't fluffy tufts of moisture of the nimbus or cirrus variety - this is cloud computing, the latest buzz phrase to excite tech-heads across the globe.
Put simply, cloud computing is when shared resources, such as software, are provided to computers and other devices on-demand via the internet. The print industry already has one high-profile example of cloud computing in the form of MagCloud, HP's cloud computing system for magazine publishers. What's had less of a profile has been the number of print software providers offering their products via the cloud on a ‘software as a service' (SAAS) basis - until now.
At Ipex a number of software firms are launching SAAS versions of their products in response to growing demand. It's all part of a wider push towards cloud-based computing driven by businesses looking to provide and take advantage of flexible financial alternatives in the wake of the global downturn, says Gareth Parker, production print solutions marketing manager of Ricoh UK.
"Globally we are witnessing improved access to high-speed internet, coupled with significant advances in virtualisation and distributed computing, which have accelerated interest in cloud-based solutions. The move towards this new phenomenon is inevitable and many print providers looking for a greater deal of financial flexibility, when it comes to creating new business offerings, are keen to exploit this."
Flexible financing is important, but it's not the only attraction - the benefits of SAAS are numerous, according to Paul Deane joint managing director at Shuttleworth, which recently announced that it was offering a new module called Supply Chain Manager on a SAAS basis.
"Rather than purchase the hardware and software to run an application, customers need only a computer or a server to download the application and internet access to run the software," says Deane. "Also, as the software is centrally hosted - not installed at the customer's or the supplier's premises - and managed through the internet, it means no infrastructure cost, minimum set-up, no initial outlay and the customer is charged on a pay-as-you-go basis."
A model for all
As a result the model is suitable for companies of all sizes - from print behemoths through to one-man band operations. For SMEs in particular, SAAS is a good fit, argues Mark Hilger, director of product management at Printable, which offers a number of SAAS web-to-print (W2P) products. "They don't have to buy hardware and devote IT resources to maintain it and they don't experience downtime when updates are issued."
This latter point is key on a number of different levels. New improved versions of software are constantly released not to fill the coffers of the software developer, but to make sure that their product is as up-to-date as possible. However, this causes endless frustration for software purchasers. Some vendors provide updates for free, but many do not. But with SAAS regular updates are all part of the service, according to Ricoh's Parker. The firm recently started offering its W2P product NowPrint on a SAAS basis and offers "upgrade paths and easy integration with back-end systems, allowing customers to maximise previous technology investments".
Also, anyone who has ever attempted to download a piece of software onto their personal PC knows how fraught the experience can be but this is magnified when it's a business product, and it's potential lost business trading hours that are at stake. However, with SAAS the software provider bears the strain, explains Hilger.
"When we recently put out a new release of our software with 100 enhancements, we gave our customers advance notice that we were going to update it. Then, late one night, our engineers updated the system and the next day our customers all had new enhancements. There were no problems, no downtime and they didn't have to pay anything."
The ability of SAAS to operate seamlessly 365 days a year, 24/7, is one of the service's major selling points. Hilger says that Printable's uptime per year is in the region of 99.9%, thanks to the company's massive network of servers. However, if you self-host, not only do you have to shell out for host servers, back-up servers and IT staff to man them to avoid unnecessary downtime, but there are also associated security issues that a SAAS product avoids.
"The [SAAS] system is very secure as we are hosting the software in a much safer environment than a customer's building," explains Marian Stefani, chief executive of RedTie, which offers software on a SAAS basis. "Any external access to that server means security issues. Also the customer does not have to employ their own hardware or IT person and have security or access issues should that person leave."
This all sounds great but how does it work in practice? "Easily," responds Stefani. "Customers sign up, get their access information and training and they are live."
While her explanation may appear overly simplistic, it really can be as easy as Stefani makes out. Once a printer decides which product to opt for they sign up, receive log-in details that allow them to access the software and after training from the service provider they're ready to go.
Pricing models vary depending on the provider. Most operators charge an initial fee, then a fee for unlimited or limited usage and there might be an annual subscription on top.
The equipment that printers need to power this technology is equally as straightforward and affordable. "All they need is a computer with internet access, a sound business plan and some basic common sense," says Stefani.
Seamless operation
As for whether end-users will notice the difference using a SAAS product compared with software that they have bought and host outright, Shuttleworth's Deane says "only if the internet goes down". Parker adds that "print buyers will see little if any difference when using a SAAS [W2P] model compared to licensed software. As long as they can gain access to the internet they will be able to order print".
There should be no discernible downside to opting for SAAS, with Stefani only able to offer the potentially negative perception that the customer "does not ‘own' the software. In fact no-one ‘owns' Microsoft Word on a disc," she adds.
Like Stefani, Parker struggles to come up with any potential chinks in SAAS' armour. "The nature of SAAS is to ‘pay for what you use' therefore users should understand what they can and can't control," he explains. "With SAAS, print providers naturally abstain from the ability to control the IT resources required to offer the services. They relinquish control of the infrastructure and pass the responsibility to the supplier. If a print provider needs to control the entire facility they can opt for an alternative licensed model."
Due to this control issue SAAS may not be quite right for every company. Printable's Hilger says that a number of its customers would never consider going down this route.
"We have some customers that have a very mature IT team that oversees all their equipment and servers. There's often a preference to self-host from these companies because they have made a large investment in IT," he explains.
But for increasing numbers of printers SAAS is an attractive option so expect more people to stick their heads in the clouds over the months ahead. "Ten years ago there was a fear that if somebody else manages something then you lose control, but IT folks are becoming more accustomed and more comfortable with moving into the cloud," concludes Hilger.
IPEX: Where to check out SAAS
Printable 9/F313
Printable offers W2P systems (available in both SAAS and server versions) and scalable personalisation software to produce powerful, customised marketing campaigns. Its FusionPro product has built up a strong following in the US and a recent tie-up with email provider ExactTarget is seen as a major coup for the firm.
RedTie 9/E365
W2Pspecialist RedTie, which is exhibiting for the first time, will show its RedTie Template (RTT) and RedTie Quotation (RTQ) SAAS products at Ipex. RTT simplifies the process of ordering marketing materials and print collateral online and RTQ, which is targeted at more experienced print buyers, is an instant online quotation tool.
Ricoh 12/D130
The firm will be showcasing its web-to-print NowPrint product which is available on a monthly pay-as-you-go basis. Ricoh is also offering customers a free trial of the basic ASAP version so that users can get their heads around it before they have to start paying.
Shuttleworth 9/C364
New at the show will be Supply Chain Manager, the MIS company’s first foray into SAAS. Paul Deane, Shuttleworth’s joint managing director, says that the SAAS model sits well with the transactional nature of the new product, so it seemed a logical concept to use the internet as a platform which provides easy access for both customers and suppliers.
