Software as a Service (SaaS) for Orthodontics

Date of Article: May 2009

Author: Charles A. Lewis

In a technological world where acronyms are the norm, here’s one that deserves the attention of orthodontists who want to reduce expenses in their practice: SaaS. What is SaaS?

Software as a Service: SaaS, (pronounced 'sass' and first used publically in February 2001) is the accepted acronym for a delivery model in which a software firm provides its application over the Internet via an on-demand, pay-for-what-you-use basis. SaaS applications contrast with the traditional software model that requires each user to install, configure, manage and maintain the hardware, software and network services to implement and use the software in-house.

SaaS normally includes: All data center operation and maintenance costs necessary to deliver the software via the Internet; help desk support; and, program upgrades as they occur. SaaS providers often price their applications on a per-user/workstation basis and typically charge an additional fee for bandwidth and storage used above a stated amount.

Growth of the ‘Software as a Service’ Model

On January 30, 2009, market researcher International Data Corp. (IDC) published an upward revision to its market size projections for SaaS in 2009. IDC said, “At a time when most industries and economies around the world are slashing their growth forecasts into single digits or even negative territory, IDC now expects SaaS growth to surge by more than 40 percent in the current year. That’s a significant move up from its previous forecast of 36% growth, published back in July when most economists were still trying to deny the onset of recession.” IDC also said that “SaaS’s counter-cyclical boom is entirely due to the enhanced attractions of the model when times are bad.”

The reason that SaaS is so successful in the current economic climate is because users can opt to use state-of-the-art software through subscription services that allow them to pay only for what they use, when they use it. And, they achieve all this with zero capital expenditures! (Capital expenses must be deducted over a number of future years.)

In January 2003, Advanced Ortho Systems, LLC (‘AOS’) became the first orthodontic software company, worldwide, to offer a paperless-capable practice management system using the SaaS delivery model. (This model is also frequently referred to as Internet-based or Web-based software delivery.) Despite the rapid growth of the SaaS model around the world, and the fact that AOS is in its 7^th year of providing SaaS delivery, AOS is still the only orthodontic software company offering a SaaS application.

Advantages of SaaS for Orthodontics

• The end-user has network-based access to the software without having, and supporting, an expensive, internal local area network (‘LAN’).
• All the services required to deliver the comprehensive software to the end-user are furnished by the SaaS provider, i.e. servers, backup systems, universal printing solutions, data security, etc.
• Updates and/or ‘fixes’ (included in the pricing) to the application are provided from the data center; the end user is never required to download and install the application. help desk support is included.
• With an Internet connection, SaaS services are available 24x7x365 from anywhere in the world.
• The end-user pays only for what is used . . . when it is needed.
• System scalability is unlimited, immediately available, and carried out remotely by the SaaS provider.
• Because a single application is provided for all end-users, it is easier, and less costly, for the SaaS provider to support.
• The operation of multiple offices is simplified beyond what any alternative method can offer.
• SaaS offers levels of data security that could never be afforded by individual offices using a LAN.
• SaaS offers levels of system redundancy that individual offices using a LAN could never afford.
• Patient data is stored on multiple servers in multiple locations.

For all the reasons cited above (and others) SaaS can significantly reduce the expense of using a paperless orthodontic clinical / information / management system. In seven years of providing SaaS services, AOS has never raised any component of its fees: In fact, it has been able to reduce some of the fees (including those for software support) during that period!

Compare the above track record vis-à-vis SaaS fees with what you are now using. Have your support fees remained the same for the past seven years – or have they increased? Evaluate SaaS and you will find it to be the most efficient, cost-effective method for operating a paperless practice.

About the Author: Charles A. Lewis is the Chairman and CEO of CPI Technologies Corporation and CEO of its subsidiary companies; Advanced Ortho Systems, LLC and Advanced Dental Systems, LLC. His many published articles on paperless operations, practice automation, and Internet-based delivery of management software have worldwide readership. Charles lectures at seminars and dental colleges on increasing practice efficiency through paperless operation and the use of Internet-based systems. He can be contacted at 877.803.4412. 

© 2009 Advanced Ortho Systems, LLC