More than one third of DDS Logistics clients have chosen outsourced hosting solutions. This is an underlying trend among the publishers of transport and international business software solutions, who have spent the last seven years developing SaaS (Software as a Service) applications in parallel with the sale of licences.
Is it better to buy a user licence for your software or would it be better to use it under a SaaS agreement? More than one in three new clients for TMS DDS Shipper and DDS Freight software solution packages have chosen the ’hosted‘ option. About 30 forwarding agents and 10 or so carriers, including small and medium sized businesses and multi-nationals, are already using the system to access their data via a web browser. Since its launch in 2000, SaaS has proven very successful with its customers. Not surprisingly, there are good reasons for this.
Freedom from constraints and increased autonomy for the customer
The way SaaS works is that DDS Logistics software packages are hosted by a third party service provider that makes them accessible via a unique internet server. They are available 24 hours, with customized options, from any internet-connected computer, without the need to install additional software. This is not the case for software under license. Maintenance is handled by the service provider, and the customer’s IT management need not be involved. This helps the IT department, which can obtain ’job-specific‘ software packages that are compatible and that can interface with internal ERP (Enterprise Resource Planning) and WMSs (Warehouse Management Systems) without ’upsetting‘ the in-house IT organisation. Furthermore, the process is very simply and hassle-free.
Clear and regular updates handled by DDS Logistics
Clients benefit from improvements and new functions incorporated into the latest versions of the software, continually and automatically as part of their monthly subscription.
Higher security
Operating under SaaS greatly reduces the risks of computer bugs and data pirating as maintenance is regularly carried out and the hosting is done outside of each customer company.
Both the number of users and the access to data can be limited, though the software packages can interface with various applications (ERP, WMSs etc.) and user access can be controlled through user profiles.
An economically sound solution
Access to software packages via SaaS is offered on a monthly subscription basis, allowing the client to avoid a large up-front investment. Similarly, SaaS involves only a small investment as there is no need to purchase special equipment; furthermore, software and data are installed on a unique server, ’shared‘ by several offices, thus enabling companies to pool their costs.
KWE, an SaaS pioneer at DDS Logistics
Kintetsu World Express France, an international air and sea import/export shipping company started using the DDS FREIGHT solution via SaaS in 2003. This subsidiary of a Japanese group was seeking a job-specific solution that could handle its transportation business, while following the Japanese and American accounting procedures used by the parent company. KWE France also wanted to outsource in order to devote more time to its core business. That is why KWE chose the DDS Freight solution with hosted management and the additional modules, “TMS Transfer Operations” and “Invoice Control”. “Using the SaaS package, KWE’s 4 French offices (Paris Charles de Gaulle, Lyon, Mulhouse and Toulouse) can access and update data 24 hours a day, from any internet station, while being able to calculate rates automatically. This means that reliable data can be transferred to Japan promptly in real time, to meet specific deadlines and presentation rules”, explains Mr Philippe Souloumiac, Operations Manager at KWE.
KWE France employs a workforce of 50 and had a turnover of 22 million Euros in 2006.
