While the benefits of SaaS for customers are numerous and the business potential for vendors rapidly increases, challenges exist for software companies planning to move to a SaaS business model. Many vendors are struggling with their traditional application software. In order to successfully implement the concept of SaaS, they must provide an application platform that will ensure configurability; multi-tenant efficiency; scalability; and ensure consistant, end-to-end operation of business-critical applications with the same quality of service as before.
Most vendors are faced with upgrading their (aging) traditional systems or building new applications to support the new concept. Traditional systems were often developed with programming languages (3GL and 4GL environments) and database systems that are difficult and time-consuming to change. New development lifecycles on these systems are too slow and too rigid to meet the rapid changing business demands of SaaS. Therefore vendors need to re-evaluate the programming language, especially for those applications that are hard to upgrade to the new concept, as the SaaS model itself requires adaptive and continuous fast changes. A new development tool must be considered -- one that allows organizations to build software applications faster, better and cheaper.