Why SaaS Makes Sense for Construction Technology
David Talks ConTech
Why SaaS makes sense for Construction Technology
SaaS (Software as a Service) has transformed the way we see, use, and sell software. For decades, technology companies developed their products for a very specific size of company because software was not as dynamic as it is today. If they wanted to sell their product to a $500M business, they developed features that met those companies’ needs and nobody else’s. Plus, once software was sold to companies, they had to manually download the product to each device that needed it.
Through SaaS, customers have received a lot of buying power because many of these software providers price their product related to business revenue, workforce size, and project count allowing for more flexibility for customers. These products also make it easy to pick and choose what modules companies would like to use for their business. Overall, SaaS is a great benefit for consumers.
Things to consider
Successful use of SaaS products often depends on how a company values technology and efficiency. If business leadership does not value either, they are usually turned off by the pricing models of SaaS solutions. Many products are priced based on the assumption that:
- customers will view technology as an asset to their operation
- the overall return received from the software will be much greater than the cost
Customers should develop a strategy for their software and keep these pricing structures in mind when negotiating.
SaaS benefits for construction
SaaS makes sense for construction because construction businesses and markets are different and change every year. Our industry is full of flexible metrics:
- the number of projects completed by a company
- the number of projects in a geographic region
- the number of manpower needed by a company
Whether a company hires union labor, tracks certified payroll and the way they conduct HR, they are going to be different. Wouldn’t it make sense to use software that is flexible and able to accommodate these changes and differences?
Cloud-based SaaS products also allow users to access their software remotely. Construction has a mobile workforce, and the growth of work-from-home for office employees has made this capability even more necessary. Fortunately, all of these SaaS program features benefit the customer most.
Getting started with SaaS
Joining JBKnowledge’s consulting division after graduating from Texas A&M’s Mays Business School, David started as a coordinator, then a project manager, then to a consultant. He has cultivated a formula for realizing the best solution for each company using analysis, goals with tangible results, and nurturing ongoing relationships.