by Pete Prestipino
Posted on 11.27.2006
According to a recent survey of CIOs by management consultants McKinsey and
company, 61% of North American companies with sales over $1 billion plan to
adopt one or more SaaS (software as a service) applications over the next year,
a dramatic increase from the 38% who were planning to install SaaS apps in 2005.
Some of the factors driving the increase in adoption are lower up-front costs,
lower total ownership costs and caster implementation that traditional licensed
software - all of which can lead to a more attractive return on investment. The
most popular SaaS business applications are for human resource management,
billing and order entry and sales management (these were also the most popular
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