SAP Entitlement Management supports what is known as XaaS or Everything-as-a-Service. XaaS is a broad term encompassing various types of services and products delivered over the internet. Some of these products include Software-as-a-Service (SaaS), Infrastructure-as-a-Service (IaaS), Platform-as-a-Service (PaaS), and more.
SAP Entitlement Management helps companies manage and streamline their XaaS offerings. It helps companies track and fulfill customer entitlements, automate entitlement processes, and ensure accurate billing and recognition of revenue.
Let’s review a few examples of Everything-as-a-Service subscription business models:
Software-as-a-Service (SaaS): SaaS is the delivery of software applications over the internet on a subscription basis. Examples include Google Apps, Salesforce, and Microsoft 365.
Platform-as-a-Service (PaaS): PaaS provides a platform allowing customers to develop, run, and manage applications without the complexity of building and maintaining the infrastructure. Examples include Google App Engine and Microsoft Azure.
Infrastructure-as-a-Service (IaaS): IaaS provides virtualized computing resources over the internet. It often includes virtual machines, servers, storage, and networks. Examples include Amazon Web Services (AWS) and Google Cloud.
Function-as-a-Service (FaaS): FaaS, also known as serverless computing, allows developers to execute portions of an application's functions in response to specific events.
Storage-as-a-Service (STaaS): STaaS involves the delivery of data storage as a service, including database-like services, cloud-based storage, and more.
Database-as-a-Service (DBaaS): DBaaS allows users access to databases without having to understand physical requirements and other complex features.
Security-as-a-Service (SECaaS): SECaaS involves providing security applications and services via the cloud.
As-a-Service models provide the benefits of allowing businesses to pay only for what they use, reduce overhead and initial costs, and enable scaling as business needs change. These models provide regular updates, professional management, and a reduction in time-to-market.
Now that we better understand how SAP Entitlement Management supports XaaS subscriptions, let’s see why this management is so important.