At a high level, SOA is a technological platform that organizations employ to standardize the interaction and collaboration of disparate applications. Although this can be achieved through various means, web services have become popular methods employed by ERP for services vendors when implementing an SOA framework. Numerous organizations implement SOA in which web applications interact with each other with standard protocols that can include extensible markup language (XML) running over hypertext transfer protocol (HTTP), universal description, discovery, and integration (UDDI), and simple object access protocol (SOAP). The benefits of SOA include a cost-efficient way of responding to changes in an organization by reusing services to modify business processes as needed without re-architecting entire systems. In addition, the incremental modular deployment and platform independence of an SOA framework is another advantage that is commonly promoted by vendors.
From a cost and benefit point of view, the SaaS business model delivers similar advantages to the SMB marketplace. By leasing software from vendors as needed via the Internet, organizations can implement a full-blown ERP system in a cost-effective manner. Similar to an SOA philosophy, SaaS enables SMB organizations to quickly implement or modify applications by using the Internet as a single source (platform) to run their businesses. The main difference lies in the management of an organization's infrastructure and applications. For vendors offering ERP for services, SOA is typically designed for organizations to manage their ERP systems internally. SaaS, on the other hand, is fully managed remotely by the vendor delivering the ERP system to SMB organizations, many of which do not have the expertise, infrastructure, or financial means to manage these systems themselves.
From a cost and benefit point of view, the SaaS business model delivers similar advantages to the SMB marketplace. By leasing software from vendors as needed via the Internet, organizations can implement a full-blown ERP system in a cost-effective manner. Similar to an SOA philosophy, SaaS enables SMB organizations to quickly implement or modify applications by using the Internet as a single source (platform) to run their businesses. The main difference lies in the management of an organization's infrastructure and applications. For vendors offering ERP for services, SOA is typically designed for organizations to manage their ERP systems internally. SaaS, on the other hand, is fully managed remotely by the vendor delivering the ERP system to SMB organizations, many of which do not have the expertise, infrastructure, or financial means to manage these systems themselves.
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