ECM: The On-Demand Versus On-Premises Debate

SaaS (software as a service) versions of ECM (enterprise content management) software are gaining popularity, but security and scalability concerns still surround these applications.

These days, the term ‘on-demand' is most readily associated with the world of cable television — defining a service where your favorite programs can be accessed for your viewing pleasure at any time convenient to you. While not quite as widespread, the term ‘on-demand' has also been popping up recently in ECM circles. In this case, ‘on-demand' is used to refer to ECM software hosted by a third party where users pay a monthly fee to access the features of the software on a service basis. Basically, it's like renting an ECM software package rather than investing in an on-premises ECM infrastructure. Much like SaaS versions of CRM (customer relationship management) software (e.g. Salesforce.com) offered business users a compelling alternative to in-house solutions, SaaS ECM options are generating their fair share of interest in the business community — but not necessarily with seasoned ECM users.

"On-demand ECM services appeal to a decidedly different audience than traditional on-premises applications," says Jim Till, VP of marketing for Xythos Software. "For the most part, SaaS ECM options interest SMBs that handle a great deal of documents, but historically have not been able to afford an in-house ECM solution or didn't have the IT staff to support one. The companies desire to create electronic collaborative workspaces that possess the authentication and version control features that e-mail lacks. For this reason, many SaaS solutions are designed to make ECM more readily consumable by the layperson and don't necessarily appeal to ECM experts that work inside Fortune 500 companies."