Payroll Metrics is Built for the Cloud.
As organisations direct their IT deployment towards cloud-based implementations, the question about the pros and cons of “cloud-native” software vs “cloud-hosted” software requires closer investigation by software buyers.
There are some vendors who brand their software by associating the word “cloud” with it, to give the impression that their cloud delivered software-as-a-service offering is cloud-native. This practise is called “cloudwashing” and is a misleading attempt to rebrand old products.
Payroll Metrics is built for the cloud and utilises the signature cloud-native architecture, multi-tenancy. Multi-tenancy produces efficient cloud delivered software by effectively leveraging today’s cloud platforms.
What are the disadvantages of single-tenant, cloud-hosted software?
Single-tenant architecture requires each customer to operate a unique software code base that results not only in higher technical support costs, but makes software implementations and upgrades more difficult to deploy than multi-tenant architecture. This approach also limits the frequency of functional upgrades to release cycles once every 12 – 18 months.
Cloud-hosted software is on premise software hosted by the vendor on behalf of the customer. Contrary to cloud-native applications, cloud-hosted applications come with longer Initial implementation times, requiring software installation, and customization. Cloud-hosted software upgrades are manual and specific. Not all customers are upgraded simultaneously, and it causes customers to be locked-in to older versions of the product.
What are the advantages of multi-tenant, cloud-native software?
Multi-tenant solutions allow software updates to be rolled out to all customers simultaneously. Because each customer operates with the same software version, they benefit from more stable software and less disruptive service operations. Support staff can more efficiently respond to maintenance issues resulting in fewer customer service backlogs.
With multi-tenant architecture, every new Payroll Metrics customer is installed on the same software instance rather than on individual instances. As a result, Payroll Metrics requires far less data centre resources compared to a provider offering a single-tenant solution supporting a comparable number of customers.
Multi-tenancy enables Payroll Metrics to develop, test, deploy and update applications at faster rates, reducing the time between software releases. Customers benefit from short lead times for customisations. Also, customers get quicker access to new capabilities and realise faster time-to-value.
Efficient operating practices are essential to the success of cloud-delivered software.
On-premise software vendors have been attracted by the apparent low barriers to enter into the cloud delivered software-as-a-service market, allowing software companies to offer subscription-based services to their customers. This multi-instance approach to cloud delivery does not scale economically and cannot compete in the long term with cloud-native software.
Because a single instance of the application can be leveraged by all customers, the “true” multi-tenant application is the de facto cloud architecture for the highest level of SaaS efficiency.