With the intention to improve office administration through proper applications and solutions, a group of 12 enterprising individuals from Singapore Engineering Software set up JustLogin.

Launched in February 2000, the portal www.justlogin.com offers applications-on-tap, a comprehensive suite of office collaborative applications that enable companies to conduct internal surveys, manage human resources and allocate office resources and other office functions.

The company targets mid-sized to large companies and institutions. 75 percent of its customers have more than 100 employees and the remaining 25 percent include Singapore Chinese Chamber of Commerce, AT&T Asia Pacific, Singapore Technologies Electronics and CCH Asia.

Its CEO and Founder, Kwa Kim Chiong, strongly believes ASP is here to stay. He explained, "They are here to stay because of their value propositions -- quick implementation and cost effectiveness due to shared resources and expertise. With the right business model and effective marketing plan, ASPs that avoid the mad rush and operate at a smooth pace will experience a successful business growth."

Viable for SMEs

According to Kwa, SMEs can lower their operations costs by adopting the ASP business model. But many SMEs do not have the expertise and know–how to decide or evaluate which ASP services to adopt.

He added, "The adoption of the applications depends on the nature and the need of the business. There are many different applications and solutions available in the market ranging from simple email to complex applications such as customer relationship management and human resource management systems. To achieve the best results from the applications, users need to evaluate their business requirements, IT needs and capabilities before deciding on the type of applications to deploy."

While many companies are deterred from adopting an ASP model due to issues such as data security and reliability of service, he believes that with proper education and awareness, more companies will adopt this business model. "The scenario is similar when online banking was introduced and the adoption rate was slow. Today, the number of online banking users is increasing and consumers trust their data with the banks. Similarly, it will take time for users to build up similar trust with the ASPs."

Benefits of application-on-tap

With the applications available on the Net, interested users are able to test the applications before adopting it. In addition, applications can be implemented quickly as the company eliminates the time taken to integrate the software as this is outsourced to the ASPs. Since the company does not own the software and the network, they can eliminate the costs incurred to maintain and upgrade them.

In addition, as the applications are delivered to the users on usage-based or pay per transaction basis, per-user or per-month, it enables companies to control their expenses, as maintenance and support costs are almost predictable.

As the applications are delivered via the Net, companies can expect 24x7 access anywhere. Kwa also stated that end users are ensured of getting the best-of-breed solution providers with the expertise and knowledge to integrate the applications with their existing traditional solutions.

While there may be benefits, there are issues at stake as well. Some end users are concerned about system availability and reliability due to the lack of control of the software, hardware and network. These issues have to be reflected in the service level agreements.

According to Kwa, the ASP market will be largely driven by ASPs like JustLogin. He explained, "We need to enhance the credibility and reliability of ASPs by demonstrating and educating the benefits that we can bring to the market place. Another key accelerator will be government agencies such as the IDA. They play a crucial role in creating an environment that is conducive for ASPs, such as providing grants to encourage ASP adoption, organizing conferences and seminars to educate and create awareness for the market."