Digital transformation has a way of changing not just technology but the entire way we do business. Such is the case with the lightning-quick development of the As-a-Service (aaS) model. It seems like overnight, XaaS has changed how numerous industries are running – from sales to transportation, and everything in between. In the aaS rabbit hole, we’ve moved far beyond software and data delivery. It seems as if aaS is becoming a preferred method of moving through life.
So why all the fuss about the “Anything-as-a-Service” (XaaS) market? Why is it different than any other tech trend seeking to disrupt today’s business landscape? The reasons are numerous, and growing. In fact, the global XaaS market will grow at compounded annual growth rate of nearly 40% from 2016 to 2020, with services ranging from storage to pet-sitting to food delivery. As one executive noted, XaaS is becoming a mindset as much as it is a strategy.
For a society that moves fast and likes to keep its options open for the next big thing, XaaS is the perfect solution. The following are just a few reasons XaaS is here to stay in the world of business:
As society moves further toward a mobile-first, cloud-focused environment, it just makes sense for business users to follow suit, keeping everything on the cloud where it is accessible and up-to-date 24/7. In doing so, they allow contingent and remote workers to work efficiently without sacrificing security or quality of work.
Democracy Is Still King
Face it: this is America. We like to level the playing field for the under-dog and allow the American dream to come true. XaaS allows for the “democratization of infrastructure” in almost every possible way. Anyone can choose the services they want, with little to no technical skills or knowledge. It’s changing entire business models, and opening a tremendous opportunity for both large and small businesses alike.
Flexibility Is Essential
Flexibility and agility are must-haves for any company’s digital transformation. Legacy systems simply can’t change fast enough to keep up with the changes currently facing the modern business world. Just like our customers want increasingly personalized services, businesses do, too. XaaS allows companies to change on demand, as they see fit – whether that means personalizing a process, choosing an entirely new XaaS vendor, or scaling up or down to fit a changing business season or climate. This is useful for businesses of any size, in any industry.
Cost Effectiveness Is Crucial
Businesses everywhere are zeroing in on the bottom line. The good thing about XaaS is that it usually requires little investment on the front end and allows users to grow or expand its level of service as needed as time goes on. As noted by Broadcom Ltd. Vice President and CIO Andy Nallappan, XaaS “liberates” IT teams from mundane daily tasks like management and monitoring. This allows companies to invest money in business strategy, rather than infrastructure and maintenance – infrastructure that will likely change quickly in today’s market regardless. In addition, XaaS does more than cut costs. It also holds the potential to drive growth and revenue for companies who can use it creatively and effectively.
The Latest And Greatest Are Easily Accessible
Digital transformation has created a business climate where no one wants to fall behind – not an easy task in an environment where tech changes daily. If a competitor is trying a new software or program to improve customer experience or employee engagement, there is a good chance you’ll want to try it, too. The great thing about XaaS is that you can easily do that – and you can also eliminate the risk of making that decision because you can cancel the service easily if it doesn’t deliver as you had hoped.
Now that I’ve hyped up XaaS, I do have one important caveat. Just as any network or database, you need to keep your cloud services clean and compatible. By getting too excited with all the new services available, companies will find that Anything-as-a-Service becomes Anything-as-a-Mess. A solid vision, tech strategy, and customer engagement plan should always accompany an XaaS trial or subscription – there is no substitute or replacement for good old-fashioned common sense and compatibility.