The Lighter Side Of The Cloud – The Personal Computer
The Lighter Side Of The Cloud – Privileged
The Lighter Side Of The Cloud – Storage Space
The Lighter Side Of The Cloud – Microsoft Updates
The Lighter Side Of The Cloud – Waiting For The PS4

Accounting Software As Software-As-A-Service: Advantages And Disadvantages

Accounting Software As Software-As-A-Service

In the mid-80s, accounting software became very popular with midmarket companies. Personalized accounting became an indispensable tool for businesses as personal computers became cheaper. Users took advantage of computer technology because financial report preparation was easier with the help of accounting software. Automated accounting also began to attract users who had previously shied away from inflexible and restrictive time-sharing computer systems. Now, a majority of companies are still using accounting software installed on computers at the office. With technological improvements and the opening of branch offices in various parts of the country, users are becoming increasingly interested in shared remote computing.

Because company workforces are becoming scattered, there is now a growing need for mobile computing that can access records even when the user is in a remote location. This new kind of technology makes use of the Internet, which is now relatively cheap—connection of remote offices does not require T1 communication lines nowadays. Through the Internet, connection can be dependable and fast. Because of the high cost of maintaining a backup system, workstations, and hardware (usually required by previous versions of accounting software), software-as-a-service has emerged as a popular choice for clients who find maintaining software and hardware systems tiresome.

Software-as-a-service can be defined as any kind of hosted software which can be the same as a remote computing environment. A user needs to login through a remote connection to a company-owned computer that is maintained and reserved by a third party for the exclusive use of that company’s users. Another kind of software-as-a-service is an application used by various companies which share the same software. Because this software is shared, it can’t be customized to fit the needs of a particular company. Any software upgrade is usually deployed automatically and does not require any intervention from the user.

One of the pressing problems software-as-a-service faces is that when there is no Internet service for whatever reason, the users will not be able to access the accounting software. They have to wait for the Internet connection to be restored before they can access the software again. It is possible for a company to be forced to stop its operations when there is no Internet service.

Security is also another concern which is brought up every time there is discussion about the possibility of using software-as-a-service. The company’s data is often stored in a remote location, and the company has no way of protecting that data against theft or hacking. Hackers could gain access to the accounts data, which in turn makes it possible for the company to lose that accounts data.

However, software-as-a-service also has its benefits. A primary benefit is that the company does not have to buy hardware, because the SaaS provider will be shouldering such costs. The accounting software can be accessed using an Internet browser, access does not require any computer memory or special hardware, and upgrades are automatically deployed. There is no need for a company to spend money on consultants, and neither are the company’s operations disrupted when the SaaS provider deploys a software upgrade.

As the software-as-a-service model is becoming more popular, a lot of technology experts are suggesting that companies switch their accounting operations to a purely online SaaS, while there are also some who suggest that the operations be divided by having some applications installed locally and some applications hosted remotely. This approach, known as the hybrid approach, is being adopted by a growing number of companies. It is widely believed, however, that for small- and medium-scale businesses, the traditional on-premises accounting software will still be popular.

By Florence de Borja

One Response to Accounting Software As Software-As-A-Service: Advantages And Disadvantages

  1. Accounting information is “Sensitive”, ” Private” and “Confidential” for most organization’s. So trusting a SaaS Accounting System may be a difficult ordeal for them.

Recent

Mobile Connectivity Rises – 24 Billion Networked Devices By 2019

Mobile Connectivity Rises – 24 Billion Networked Devices By 2019

Mobile Connectivity Rises Mobile Technologies such as BYOD, Wearable Technology and Internet of Things are the cornerstone to strong cloud computing adoption and will continue to be the case as the number of connected devices continue to climb. In May 2015, Cisco released the complete VNI Global IP Traffic Forecast, 2014 – 2019. Global highlights…

9 Pitfalls of Providing Cloud-Based Online Government Services

9 Pitfalls of Providing Cloud-Based Online Government Services

Cloud-Based Online Government Services Pitfalls When the US government designed the Affordable Care Act, a key part of the program was to encourage enrollment through the Healthcare.gov website. This online service was supposed to make it easier for citizens to learn about the ACA, compare their health insurance options, and take full advantage of this…

IOT, Intelligent Sensors, And The Change That Is Coming…

IOT, Intelligent Sensors, And The Change That Is Coming…

Intelligent Sensors And The Future What is or isn’t connected: In the end, that is the internet of things. They, the things, represent stuff that has been around for the past 30 years. It was only recently that we have developed a way to consistently connect those devices. Despite the increasing awareness of IoT, it…

Popular Archives

4 Different Types of Attacks – Understanding the “Insider Threat”

4 Different Types of Attacks – Understanding the “Insider Threat”

Understanding the “Insider Threat”  The revelations that last month’s Sony hack was likely caused by a disgruntled former employee have put a renewed spotlight on the insider threat. The insider threat first received attention after Edward Snowden began to release all sorts of confidential information regarding national security. While many called him a hero, what…

Cloud Computing – A Requirement For Greater Innovation

Cloud Computing – A Requirement For Greater Innovation

Cloud Computing Innovation Sao Paulo, Brazil has had trouble with both energy and water supplies as of late. Despite it is the rainy period. Unfortunately Sao Paulo is very dependent on its rain as a majority of its power is generated from large dams. No water, no energy. Difficult situation for a city of some…

Sponsors

The Many Hats Of Today’s IT Managers

The Many Hats Of Today’s IT Managers

The Many Hats of IT Managers In years past, the IT department of most large organizations was much like a version of Middle Earth: a mysterious nether world where people who seemed infinitely smarter than the rest of us bustled around, speaking and typing languages that appeared indecipherable, yet, which made our world work. They…

Selling Your Business To Your Employees

Selling Your Business To Your Employees

Mobility For Your Employees It may seem a radical notion, the idea of selling your business to the people who work for you, but this is the era in which we now work. Employees of all levels are all incredibly aware of their options when it comes to mobility and employability. This doesn’t mean that…

Established in 2009

CloudTweaks is recognized as one of the leading influencers in cloud computing, big data and internet of things (IoT) information. Our goal is to continue to build our growing information portal, by providing the best in-depth articles, interviews, event listings, whitepapers, infographics and much more.

CloudTweaks Comic Library

Advertising