Posted by Peter Cervieri Sat, 14 Oct 2006 15:43:00 GMT
I know I wrote a little about this before, but one of our customers, the Missouri Conference United Methodist Church – hi monica :-) – asked me to summarize who we are and what we do as we are about to embark on a project together.
ScribeStudio is a Software-as-a-Service web application that makes it easy for subject matter experts to create and manage online courses. An expert can log into the ScribeStudio toolkit and create a course (with images, audio, video, tests, assessments and more), publish that course to a password protected learning site, control who can and cannot access the course, communicate with learners online, and charge for access.
The Software-as-a-Service (SaaS) business model has the Software industry buzzing. I should know. The Software and Information Industry Association is one of our customers. I’m not just the hair club president, I’m also a client…
SaaS turns the typical software licensing model on its head. Instead of paying an upfront license for an unknown return on investment, a SaaS customer only pays for what they use, when they use it, like a utility. In months of high usage, the customer pays more. In months of low usage, the customer pays less.
The metrics ScribeStudio uses to charge customers are 1. the number of learners who can log into a password protected learning site each month 2. the amount of storage your course uses and 3. the amount of bandwidth you consume. Use a little more of any one of these three metrics and pay a little more. Use a little less and pay a little less.
The benefits of SaaS from a technology standpoint are- 1. that there is no hardware to install or servers to maintain (everything is managed by the experts, the vendor) and
- 2. each time the vendor adds new, improved features of fixes a bug, every customer benefits, instantly.
- 1. it is easier and less costly for all (vendors and customers) to maintain because there aren’t multiple instances of the application to support and upgrade from (think windows 95, 98, 2000, xp…) and
- 2. vendors typically release updates / improvements every few weeks or months that all customers can immediately take advantage of (even little things like an improved user interface).
SaaS vendors typically try to create a tool that solves a business pain for business customers. Examples of SaaS applications can be found in sales force automation, customer relationship management, human resources, auto dealer management systems and more. In each case, the vendor tries to develop a user friendly, easy to use application that provides customers with immediate benefit as defined by less time to perform a task, increased efficiency, less costly to perform a task, improved sales, etc.
Typically, SaaS applications, in their infancy, target small customers. As their feature sets grow, they move up the corporate chain until eventually, the company that a year ago was only serving small to medium sized businesses is suddenly seeing large companies sign-on as customers. The goal, however, is to not keep adding so many features and trying to be all things to all people that the application, the interface and the customer experience become unsatisfactory. If I log into an application today and it looks simple, I will use it.
However if a year from now I log into that same application and it has buttons everywhere and can do everything from start my car to pay my bills, it is no longer the simple, easy, intuitive application I grew to love. It’s no longer the free love hippie idealist. It’s the adult corporate raider…cold, heartless, and destroying value rather than creating value.
The way we approach ScribeStudio is that it needs to have a certain feature set to satisfy our demanding customers, but beyond that, new feature development should happen outside the boundaries of ScribeStudio. I.e., we will develop other easy to use applications that perform the tasks desired by customers that need more features to solve their more complex business problems. However, if these applications can all work together, and are a joy to use in combination, then you have something special.
ScribeStudio was the first SaaS e-Learning toolkit. The reason we created it in the first place was because we had been developing large scale e-learning solutions for large customers: learning management systems, course authoring tools, testing applications, etc. However, we realized that if we could put all these pieces of the puzzle together, in one easy-to-use web-based solution, we would have a winner. So we took all these parts – the ability to author a course, the ability to create a password protected learning site, the ability to publish a course to that learning site, the ability to control who can and can’t log into the learning site, the ability to charge people to register for an online course, web conferencing, message boards, podcasting, polls and other community features – and created what I always call the Swiss Army knife of e-Learning. You may not always need the corkscrew bottle opener feature of the Swiss Army knife, but when you’re on that date and you can’t find a bottle opener, thank God you do!
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