CataLOG
Catalyzing Logistics -INTRODUCTION TO SaaS
Though Software as a Service (SaaS) has been around for over 10 years now, its adaptation in the logistics space has been slow. In the manner of software usage, SaaS, when compared to traditional license based software, stands poles apart. SaaS implies a multi-tenant model where multiple companies share a single instance of a software application and associated hardware and infrastructure. From consuming logistics services available in the market on a transactional model, to minimizing the total cost of delivering services to your customers and partners, the SaaS model of delivery makes the greatest economic sense for logistics organizations. The evolution of SaaS and its adaptation by enterprises is an interesting journey. Initially software applications could be used only on the computers they were installed on. The client-server model was then introduced to allow software to be shared across multiple client-computers on a timesharing model. This ASP (application service provider) or ‘Hosting’ model that shifted the onus of managing and maintaining software, and associated hardware and infrastructure, to a third party service provider. SaaS further extends the ‘Hosting’ concept and provides it on a ‘multi-tenant’ model. SaaS, in simple terms, is the hosting and maintenance of software, hardware and associated infrastructure by a certain party, who leases out a single instance of the software to multiple companies and charges them on usage of the software on a transactional basis. The extension of SaaS is the concept of the ‘Cloud’ that provides for collaboration among the multi-tenant software users. Its essence is its openness to connectivity, mobility and collaborative endeavor.
THE CASE FOR SaaS IN LOGISTICS
SaaS makes a lot of sense in logistics for players of all sizes, depending on the method of usage. Some players are looking at SaaS only from the point of view of consuming software available in the market through the SaaS model. Others are looking at it to reduce their TCO in offering/sharing software with their partners, to bring efficiencies of collaboration and transparency in supply chains. With a large presence of Small and medium Enterprises (SME’s) -- consisting of suppliers, 3rd party logistics service providers, and carriers, not having a high potential for heavy capital investment and who do not require/use a lot of the functionality
offered by COTS product -- SaaS retains its high relevancy and is scheduled for a vertical take-off.
Using software through a SaaS platform eliminates large investments on traditional software implementation and also reduces the go-live time for using it. The user pays on a transactional basis after consuming the service. The software is also almost instantly ready for use which allows users to try out different software offerings in the market and settle with the one that suits their business requirements. Software delivery through SaaS also transfers the onus of support and maintenance to the vendor allowing the user to focus on the core business. Patches, upgrades, bug-fixes, and application up-time are now concerns for the SaaS vendor and not the software user anymore. With the industry also inclined towards inorganic growth, SaaS makes it easy to manage application landscape and software usage across newly merged departments or companies.
SaaS has been predominant in the Transportation Management and Global Trade Management spaces. Transportation Planning, Shipment Visibility, Order Entry/Tracking, Load Tendering, Yard Management, Dock Scheduling, Reporting, and Compliance form the core set of software services that are currently on SaaS stands.
CataLOG
CataLOG is a solution framework that enables delivery of software as SaaS. It provides functionality to manage software service offerings, provision customers for the software usage, and track service usage across the customer base to bill usage in certain cases. The platform provides a way for customers to track their subscription to software services, add/remove packages, and pay for corresponding usage.
The key functionalities of CataLOG are:
?Service Plan Configuration
úConfigure software modules to be offered as modules to customers in the form of appropriate subscription plans
?Customer Acquisition & Management
úCustomer registration, subscription, marketing campaigns/offers, customer provisioning to use services
?Metering, Billing & Payment
One set of target audience for CataLOG is logistics companies such as Carriers, 3PLs and Suppliers, wishing to utilize Logistics Software on a SaaS platform. HCL hosts Logistics software, manages associated hardware and infrastructure, and offers logistics IT services as SaaS to customers. An example of this is a Carrier using the 'Transportation Planning' functionality as a service. The other target audience group is companies such as Retailers, Distributors, and Manufacturers who want to share/deliver their software as SaaS with/to their partners in the supply chain. An example of this is a bottling company sharing the Load Tendering & Dock Scheduling services with their carriers for seamless yard management operations.
HCL hosting logistics software, and managing hardware and infrastructure to run the software is the Model 1 offering of the CataLog solution.
Model 2 offering of the CataLOG solution is the SaaS enablement of software delivery for a company through the deployment of the CataLOG solution in their environment.
MODEL 1: TRADITIONAL SaaS
This is HCL's SaaS delivery platform through which Logistics software are offered as services for consumption by logistics companies. HCL will manage the support, maintenance, upgrades, bug-fixes and service up-time of the application, hardware and infrastructure and will charge customers on a per-transaction basis of service consumption.
BENEFITS OF MODEL 1 FOR CUSTOMERS:
?Pre-configured application
?Customers can instantly begin using software functionality
?Nil capital investment involved for customers
?All Support & Maintenance activity responsibilities rest with HCL
MODEL 2: SaaS ENABLEMENT
Model 2 is the SaaS enablement platform through the deployment of the CataLOG framework in the Customer's application environment. Thereupon, customers will be able to offer custom/vendor software (owned by the customer) to their customers/partners on a SaaS model for enhanced collaboration and synchronization of processes. The aim is to reduce the cost of sharing software functionality by a company with their supply chain partners.
BENEFITS OF MODEL 2 FOR CUSTOMERS:
?Reduced cost to manufacturers/retailers/distributors in sharing software with their supply chain partners
?New business model for Logistics Service Providers (LSP’s) to offer logistics IT services as SaaS
HCL Technologies is a leading global IT services company, working with clients in the areas that impact and redefine the core of their businesses. Since its inception into the global landscape after its IPO in 1999, HCL focuses on ‘transformational outsourcing’, underlined by innovation and value creation, and offers integrated portfolio of services including software-led IT solutions, remote infrastructure management, engineering and R&D services and BPO.HCL leverages its extensive global offshore infrastructure and network of offices in 20 countries to provide holistic, multi-service delivery in key industry verticals including Financial Services, Manufacturing, Aerospace & Defense, Telecom, Retail & CPG, Life Sciences & Healthcare, Media & Entertainment, Travel, Transportation & Logistics, Automotive, Government, Energy & Utilities.
HCL takes pride in its philosophy of ‘Employee First’ which empowers our 54,026 transformers to create a real value for the customers.HCL Technologies, along with its subsidiaries, had consolidated LTM revenues of US$ 2.0 billion (Rs.9.84 cr.), as on 31st March 2009.
Contact Us:
HCL Technologies Ltd
330 Potrero Ave, Sunnyvale, CA 94085 Tel: +1 408-733-0480
Email: [email protected]
