Why you have to buy Saas

( From Editor: This was translated from a personal blog of Koichiro Sumi, CEO of SideCI. Some expressions may sound too dramatic, but he needs to have fun sometimes. We encourage you to read this article as his personal opinion. )

Photo by Pepi Stojanovski on Unsplash

Life is short. Time is limited. Time is most valuable for companies and individuals. I often see questions like “What would you do if you could buy time?” Many people buy time after considering the Return on investment (ROI).

I highly suggest that you do so. As long as you are happy with the ROI, buy time.

SaaS lets you buy time due to its time-efficient nature. Why not use more SaaS?

For example, GitHub is a well-known SaaS for engineers. Being stingy by setting up a Git server to manage the source code, or doing the hosting maintenance of a GitHub clone, GitLab, is a waste of time. On the other hand, planning to hire more engineers to do those tasks defeats the purpose of saving money.

A SaaS for the sales department, SalesForce is a well-known service. You can use Excel and file sharing to replace tools like SalesForce. But, by using SalesForce, you can eliminate the communication cost (time) and reduce the number of errors. As a result, you can have more time to allocate for other tasks. Therefore, I suggest switching from Excel to SalesForce. SalesForce is just one example. There are other CRM SaaS with the monthly cost starting around 9 USD, such as Agile CRM. By using those SaaS, you can buy time for your sales team. If you are still using Excel, let’s switch now!

I hear strong expressions with a sense of humor on using SaaS such as “paying for SaaS,” “money talks,” and “buying time.” I honestly think all these phrases are correct.

At my work, we are using many SaaS: GitHub, TravisCI, Bugsnag, New Relic, Mackerel, deppbot, StatusPage, Slack, geekbot, Trello, Intercom, Mixpanel, Optimizely, Qiita:Team, freee, bizer, SpyFu, Google Apps, Hatena Blog Pro, etc.

By the way, we use PaaS/IaaS such as AWS, Heroku, etc.

We also have software products such as IntelliJ, Adobe programs, etc.

Physical products we use are 4K 40” monitors, wide desks, high-performing PCs, high-speed network that runs faster than 300 Mbps (measured with fast.com on an iPhone7), etc.

Great software products let you buy time at affordable prices. The price you pay is way lower than the labor cost. You can avoid spending time, which is the most valuable asset for people, on tasks that machines and software programs can do. It is a win-win for your organization and employees.

For instance, you use a SaaS that automates code review in the below situations. (I’m not disclosing the product name here because it is not for a marketing purpose.)

  • You have ten people working on code review
  • It takes an average of an hour a day for code review.
  • The cost of one person is $45 per hour including the welfare and overhead cost.
  • You can automate 30% of the code review.

The below shows how much time and money you can save with the SaaS.

10 people x 1 hour x 20 business days x ¥5,000 x 0.3(30%) = ¥300,000

The cost for this SaaS ranges from ¥3,200 to ¥50,000. The ROI is incredible.

Time is precious. It is always an excellent choice to pick a SaaS when the time you gain from it equals to or greater than its price.

If you can buy time at the price of SaaS, just do it since it is inexpensive. SalesForce is on the high-price side compared to other SaaS, but it costs only ¥ 18,000 per month, which is way lower than the labor cost. While an employee is motivated at work but not efficient, the company still needs to pay the labor cost. It is better to invest in SaaS ASAP! You might know this already, but you don’t need a ridiculous amount of budget to use SaaS.

If your company has a budget for recruiting but not SaaS or is willing to pay the overtime cost but not SaaS, it might sound extreme; I highly suggest that you reduce the budget for recruiting and the overtime cost because it is more efficient and logical to invest in SaaS.

Of course, I understand companies and individuals have their reason for what to spend on. I want to end this post with my strong recommendation of using SaaS as much as possible.

For more information about Sider, please go to our website.

Aki Asahara

CEO of Sider. Aki joined Fixstars in 2008 and served major clients such as the US Airforce, MIT, USC, Toyota, and Hitachi High-technologies. After his successful tenure, he was appointed CEO of US operations in 2012. He was appointed CEO of Sider in 2019. He holds a Ph.D. in Astrophysics from Kyoto University and is a Certified Scrum Master.

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