Multi-tenant vs single tenant SaaS architecture - is one really better?
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Johanas
Sep 16, 2009, 7:33:57 PM9/16/09
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I've been implementing premise-based CRM system for years and am now
making my way in the software as a service world. I'm getting mixed
opinions on whether a multi-tenant or single-tenant SaaS architecture
is superior. Salesfoce.com says multi-tentant, SAP says single-tenant
and I've found separate white papers funded by Oracle in which one
claims multi-tenant is better and another claims single-tenant is
superior. Can somebody point out the relevant factors and benefits or
drawbacks of each architecture? Much thanks.
making my way in the software as a service world. I'm getting mixed
opinions on whether a multi-tenant or single-tenant SaaS architecture
is superior. Salesfoce.com says multi-tentant, SAP says single-tenant
and I've found separate white papers funded by Oracle in which one
claims multi-tenant is better and another claims single-tenant is
superior. Can somebody point out the relevant factors and benefits or
drawbacks of each architecture? Much thanks.
Katie
Oct 17, 2009, 2:16:54 PM10/17/09
to CRMforum
It has been my experience that SMB companies rarely find SAAS
architectures important and are not concerned with multi-tenant versus
single tenant architectures. In fact, these companies are often
adopting SAAS solutions as part of a business strategy to rid
themselves of technology issues all together. On the other hand, I
have also found that enterprise companies and organizations in certain
vertical markets such as Government and financial services are very
conscience of architectural differences and almost always prefer
isolated tenancy. When implementing an on-demand application, if you
have a choice to leverage your own autonomous database (isolated
tenancy) or share the same database with hundreds or thousands of
other companies (multi-tenant), I can't figure out why anybody would
choose that later and comingle their data.
architectures important and are not concerned with multi-tenant versus
single tenant architectures. In fact, these companies are often
adopting SAAS solutions as part of a business strategy to rid
themselves of technology issues all together. On the other hand, I
have also found that enterprise companies and organizations in certain
vertical markets such as Government and financial services are very
conscience of architectural differences and almost always prefer
isolated tenancy. When implementing an on-demand application, if you
have a choice to leverage your own autonomous database (isolated
tenancy) or share the same database with hundreds or thousands of
other companies (multi-tenant), I can't figure out why anybody would
choose that later and comingle their data.
Bart
Oct 28, 2009, 3:00:29 PM10/28/09
to CRMforum
The primary multi-tenant benefit is cost savings from a shared
services model. However, the multi-tenant CRM products do not cost any
less than the single tenant CRM software products. Unless multi-tenant
CRM solutions pass on the cost savings to the end user, there is no
benefit to the customer to comingle their data in the same database as
thousands of other customers.
services model. However, the multi-tenant CRM products do not cost any
less than the single tenant CRM software products. Unless multi-tenant
CRM solutions pass on the cost savings to the end user, there is no
benefit to the customer to comingle their data in the same database as
thousands of other customers.
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