It was not so long ago when most people preferred on premise installations. An installation where people build their own servers, install and configure the solution onsite, and test repeatedly. However, over the last couple of years, the Corporate Performance Management Industry has seen drastic changes in terms of the preferred method of deployment for a new software.
Many business users today prefer running things on the cloud which is why many vendors are also adapting to the changing demands of customers thus, arguably all CPM vendors today offer the cloud option.
Beyond just deciding whether or not you are certain you want to go for SaaS deployment instead of on premise deployment, there is also that decision to be made on whether you´d go for single tenant or multi-tenant SaaS.
Truthfully, how we see it is that it shouldn´t really matter from a business user perspective because the goal should always be that your solution runs every time there is a need to get work done.
Nonetheless, the question of whether or not single tenant or multi-tenant software as a service is more suitable is a rather complex question that requires a closer look at how a company prioritizes.
Single tenant SaaS
Single tenant SaaS architecture basically means a company has its own application and necessary infrastructure. The best way to explain is like having a village or subdivision with separate houses where the entire community is designed and maintained by the same architect and engineer. In the village or subdivision, you have different houses that was built in the same manner but as an owner, you can customize or redesign it to suit your needs or desires.
Multi-tenant SaaS architecture on the other hand means several companies share the same instance for data storage. This “instance” is divided to protect each company´s information against unauthorized access. Instead of multi-tenant being a village, think of it more as a building whereby floors are earmarked for specific purposes/businesses. It is not to say that you cannot customize each floor to how you need or want it to be, just that changes especially major changes come at a very hefty price tag for the company.
What works best for me?
As mentioned earlier, deciding what works best for a specific company requires a closer look at how that specific company thinks or prioritizes. Nonetheless, here are some things worth knowing for each option.
Single tenant SaaS
- Choosing single tenant option means you have a dedicated environment that is designed specifically for you taking into consideration your company´s strict security requirements.
- Reduced risks of unauthorized data access because you have your own application and supporting infrastructure, your data is never mixed with that of other companies
- Other people´s tasks have no impact on someone else´s tasks
- Companies that have intensive computing requirements can benefit greatly from single tenancy
- Features or functionality upgrades are more focused on what your company wants or needs
- Companies that want to run cloud on premise will pay a higher price because doing this means bearing the costs of the entire system
- Single tenant SaaS costs more than multi-tenant SaaS
- Single tenancy is less effective use of resources
- Choosing single tenant means paying less because you there will be significant savings in terms of hardware and power. There is no need for separate physical machines for each company.
- Easier upgrades because all companies or customers are upgraded simultaneously
- Minor customizations still allowed
- Multi-tenant SaaS means many companies are running simultaneously on the same database which means there is very limited ability to customize the software
- Significant changes needed in the software will be expensive to the company
- There can be changes to the application that can be implemented without needing authorization from your company
- New features or functionalities are typically also only focused on requests and bugs submitted by the biggest customers
Performance Canvas is one of today´s most modern and affordable CPM software that offers on premise, SaaS or a hybrid deployment.
Performance Canvas focuses on intelligently automating and streamlining financial reporting, budgeting, planning, consolidation, and the performance management of your organization.
DSPanel offers cutting edge technology platform for business analytics, planning, and visualization. DSPanel designs, builds, and operates with the end users in mind. Performance Canvas was created by DSPanel to answer the unarticulated needs of the market not addressed by previous available solutions. With Performance Canvas, information is transformed into valuable business insights for the business executives to utilize in their decision-making process. DSPanel currently has over 2500 organizations deploying their solutions.