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The Truth Behind the Hype Behind Software-as-a-Service (SaaS) LIMS, Part Two

There is significant interest in on-demand Software-as-a-Service (SaaS) solutions due to increasing dissatisfaction with the costs, complexities, and length of time that it takes to realize value from on-premise application investments. As a result, many LIMS vendors are now offering SaaS versions of their software. These SaaS LIMS replace large upfront fees and costs with periodic payments at a fraction of the price, thus offering cost-effective alternatives to traditional packaged applications. This is the second of a two part article that explores the issues involved with understanding and evaluating this new generation of LIMS.

Scalable, Multi-Tenant, and Configurable


While the burden of SaaS success resides with the vendor and not the user, there are consequences to the user organization if the application fails to meet their needs. A poorly executed SaaS solution can waste not only time and money, but also compromise user data. Thus, the viability of the SaaS LIMS depends not only on how well it addresses customer requirements, but also on how well the service is implemented and delivered.

When evaluating and comparing on-premise solutions and on-demand SaaS LIMS, a Functional Requirements Specification remains the guide for comprehensive planning and execution of the organization’s goals and objectives. Once defined, the software evaluation can begin, and certainly SaaS LIMS offer an attractive alternative.

The SaaS LIMS should address all the key characteristics of any SaaS solution: network-based access to, and management of, commercially available (not custom) software; activities that are managed from central locations rather than at each customer's site; and, application delivery based on a one-to-many model (single instance, multi-tenant architecture), including architecture, pricing, and management characteristics.

The application must be scalable, which means that it maximizes concurrency and uses application resources more efficiently. Scalability needs to be architected in to the application in three key areas: the business logic (stateless, pooled, etc.), the data access functionality (cached, pooled, asynchronous), and the database (partitioned).

Multi-tenancy means that multiple customers are running the same software but managing separate data. A multi-tenant architecture accommodates users from dozens, or even hundreds, of other companies—all completely unbeknownst to any of the users. The architecture maximizes resource sharing across tenants but differentiates data belonging to different customers. Because a multi-tenant application accommodates users from different companies simultaneously, the customers need to be able to configure the way the application appears and behaves, including the user interface, workflow and business rules, extensions to the data model; and, access control.

Finally, the SaaS features and functions need to be easy to configure to the laboratory’s unique processes and workflows. This should be done through a wizard(s) or through simple, intuitive menus that present all available options, and that clearly distinguish between options that can and cannot be changed within a given scope.

Once configured to the organization’s requirements, the SaaS application should be available 24x7. The service agreement signed with the SaaS vendor should guarantee application performance and availability, hence there should be mechanisms in place to deliver these criteria.

Note that while one of the key reasons for implementing a SaaS LIMS is lower cost, it is the functionality of the solution that must be investigated first. If it works as promised, then the cost savings can provide a compelling argument in favor of a SaaS LIMS. The cost for the service is not “free” as some vendors promise, but it will certainly be inexpensive compared to the costs associated with on-premise applications (Table B).

Evaluating SaaS LIMS

An evaluation of SaaS LIMS must include an evaluation of the criteria the SaaS vendor put into place to support the application, including not only the service delivery platform and data center, but also related issues such as how the vendor addresses change management, data retention and destruction, incident response and problem management, disaster recovery and business continuity, security, and privacy as well as personnel supporting the application and their training.

Ask about the vendor’s infrastructure, the data storage system they use, and the operating systems they support as well as the supported applications framework. Have the SaaS vendor explain their configuration so that you know how much RAM, CPU and storage will be used to support your organization’s needs. Because scalability is a key attribute, determine if there are any limitations.

Security must be examined, including how firewall settings, network access controls, SSL acceleration, etc. are addressed. Questions to ask include querying the relationship between the SaaS and in-house network environment and whether the SaaS functions can be disabled if a security issue is identified. Gain a clear understanding of not only the network, host and web security parameters, but also the physical security of the equipment running the application(s).

Redundancy, load balancing and IP addresses also need to be investigated since the robustness of these features will have a direct affect on their deliverability and hence application up-time.

Determine what SaaS application control panels and servers your lab administrator will be able to access as well as the development tools, preconfigured templates, and other add-ons that are available.

Research the SaaS vendor’s corporate expertise and history. Find out how long they have sold this application, both as an on-premise solution (if ever) and as a SaaS solution. Find out what steps the SaaS vendor took to launch their LIMS on this new platform. Ask for references from current SaaS LIMS users.

Keep in mind that most SaaS LIMS solutions are relatively new and will have been released recently.

The goal is to unearth a commercial SaaS LIMS that will enable your organization to better manage costs, increase productivity, and greatly reduce the software management burden on your IT department. Table C provides a list of SaaS LIMS vendors as of October 2009.

Summary

Due to the rapid pace of technological innovation, the requirements of today’s businesses are constantly changing. Thus, the rapid scalability and flexibility of the SaaS model can deliver an attractive alternative for the laboratory since it eliminates the risk of obsolescence associated with traditional on-premise software implementations while providing immediate access to required functionality.

SaaS LIMS can deliver robust functionality at a very low cost of entry, thus enabling laboratories to better control costs while leveraging the benefits of a enterprise solution.


End of Part Two. For a discussion of what SaaS solutions entail as well as ASP versus SaaS solutions and On-premise versus On-demand LIMS, please review part one.

References
1. CIO’s Guide to Software-as-a-Service: A Primer for Understanding and Maximizing the Value of SaaS Solutions, THINKstrategies, Inc., www.thinkstrategies.com, © 2008
2. Sciformatix Announces Laboratory Information Management System, Breakthrough in Samples and Storage Management for Small/Medium Labs, Corporate Press Release, www.sciformatix.com, January 26, 2009.
3. SaaS – Is a web hosted LIMS right for your laboratory?, LabLynx LIMS Journal, www.limsjournal.com, © July 12, 2009

     
           
        Table B.
Comparison of On-Demand Versus On-Premise Applications


On-Premise Software Solution
• software designed internally or purchased via a perpetual license
• up-front capital expense
• high cost of entry
• not everyone on same version
• on-going management performed in-house
• maintenance agreements costs
• infrastructure costs for hardware (servers, workstations, etc.) and networks
• requires in-house system administrator(s)
• manual one-on-one software updates during business hours
• end-user downtime when hardware or software crashes or network being serviced
• difficult to scale
• longer time to install and configure applications
• too costly for small and medium sized organizations
• long-range time to value ROI

On-Demand SaaS Solution

• hosted software purchased on a subscription or usage basis
• on-going operational expense
• low cost of entry
• all users on same version
• service management performed by vendor
• no maintenance agreement costs
• no infrastructure costs
• minimal in-house administration costs
• automatic global software updates after hours
• no end-user downtime
• easy scalability
• faster implementation and time-to-productivity
• affordable for small and medium sized organizations
• rapid time to value ROI
           
        Table C.
SaaS LIMS Vendors

Bika Lab Systems
GraphLogic, Inc.
LabHQ Ltd
LabLynx, Inc.
Quality Systems International (QSI) Corporation
Sciformatix Corporation