I have been for years and remain steadfastly convinced that software as a service, or SaaS, can be a powerful contributor to competitive agility for a growing range of businesses. But there are a lot of so-called "SaaS solutions" out there that are neither.

Real SaaS is built on modern Internet/Web services technologies, and is not just an old application with a new, Web-based, "lipstick-on-a-pig" interface. Real SaaS supports rapid, easy configuration and customization as dictated by users' business needs and goals. And perhaps most important, real SaaS demonstrably, measurably improves business performance and responsiveness and user satisfaction while reducing costs.

Some of the Vendors that Get It:

Salesforce.com -- for the vision, the persistence, the philanthropy, the first-major-mover advantage, the partner ecosystem, the platform-as-a-service stuff, and all the other stuff they have gotten and are getting right better and/or sooner than almost any other SaaS vendor.

Astadia -- for understanding the value of services that help companies unlock and realize the business value of SaaS/on-demand solutions such as those from Salesforce.com and its partners.

Service-now.com -- for delivering on the promise of SaaS-enabled IT infrastructure management, helping companies focus even more resources on their core businesses and less on managing those IT infrastructures. (Full disclosure: Service-now.com has been a client of mine.)

Companies such as Akamai, Inforonics, OpSource, and Savvis -- for understanding that as SaaS grows, the need to enable SaaS provider infrastructures that are reliable, robust, and scalable becomes greater, in importance and market potential for them, their SaaS provider clients and partners, and the user companies they serve.

More Dortch on SaaS:

The Blog: Read, comment upon, and subscribe to my latest thinking on SaaS (which I see as inevitable for many businesses), here. (Link will open in new window or tab, to make it easy for you to return to this location.) BREAKING NEWS/OPINION: Sendside's solution for sales automation and acceleration as a service -- SaaaaS!

Practical Advice for SAP Users (and Others): Check out the recent on-demand Webcast in which I discuss "Understanding How SAP Managed Hosting Works."

SaaS and The Big Meltdown: In mid-January, I wrote my last significant work for Aberdeen Group, my former employer and long-time IT market-watchers -- an Analyst Insight entitled "SaaS and RFID: Key Business Value Enablers in 2009." Based on a survey I conducted in September and October 2008, I found that business users are pursuing SaaS primarily to meet increasing demand for new applications, maximize the ROI of their IT investments, and manage escalating IT infrastructure costs. You can read the entire Analyst Insight here (in a separate window or tab), if you are a subscriber to Aberdeen's Vault service. (And you can check out my recent blog entry for an updated, more cautious view of the whole thing.)

International SaaS: Business News Americas, which focuses on IT and business in Central and South America, interviewed me about opportunities in those regions, and I argue that those opportunities definitely include SaaS. Check out the Q&A here (in a separate window or tab).

Much more to come soon, including additional opinions and discussion of specific vendors and strategies at my SaaS blog. Meanwhile, feel free to write me at medortch@dortchonit.com with your suggestions and questions, or to schedule an initial, no-cost e-mail or telephone conversation about your specific SaaS-related challenges, whether you're buying or selling SaaS!