What is a SaaS LMS?
A SaaS LMS—also known as an on-demand LMS or cloud LMS—is a learning management system that’s hosted in the cloud. SaaS stands for “software as a service,” a business model whereby the software is offered on a subscription basis and hosted in a central location that’s accessible from any device.
A SaaS LMS is accessible to anyone with an internet connection. Some may use an internet browser like Chrome or Edge while others have native apps on iOS and Android.
The cloud model has become the dominant delivery system for most digital media in recent years. Consider music as an example. In the past, if you wanted to listen to music on demand, you needed a physical medium such as a CD, record or cassette tape. And when music started going digital, you needed to either copy the media to a computer (e.g. burning a CD) or download it from a place like iTunes. But now there are hundreds of millions of songs hosted online and accessible via platforms like Spotify, Apple Music and YouTube. You don’t even have to download the songs. Just click and enjoy.
A SaaS LMS brings the same convenient, streamlined experience to the world of digital learning.
What is a hosted LMS?
In the early days of online training, all learning management systems were hosted on-premises. This means the entire digital experience, including software and content, was installed on a company’s local computer network. Desktop computers then accessed the LMS via the company network. However, this did not require access to the outside internet.
Think of a hosted LMS like an old version of Microsoft Office. To use programs like Word or Excel on your computer, you had to use discs or CDs to install the programs. Now, with Office 365, you can access your Word and Excel files on any device using a browser.
The infrastructure required to move large amounts of digital content between devices simply didn’t exist in the ‘90s and early 2000s. So everything was handled within the company’s walls. Today, hosted solutions are less popular because they don’t offer the same capabilities as SaaS solutions.
Why a SaaS LMS is superior
A SaaS LMS offers several benefits over the hosted alternatives, including:
- A more powerful, streamlined experience for your frontline workforce
- Easy deployment
- Easy customization
- Infinite scalability
- The preservation of valuable server space
- Affordability
- Access on any device
- Integration with third-party applications
A more powerful, streamlined experience
Cloud-based systems offer a convenient, streamlined experience for both users and administrators. Just log in and go. The infrastructure is already there, very little setup is required, and the system isn’t limited by a company’s operating systems or available network resources.
All learning materials are stored in one central location, and all updates are instantaneously available to all users—no installations or updates required. It’s as easy and flexible as using a social media platform.
SaaS LMSs are notable for their low learning curve. Whether the user registers on their own or is registered by the administrator, they’re able to get up and running almost immediately. In addition, the layout and user experience are comparable to cloud-based systems that the user is already familiar with (including social media platforms, online word processors and streaming services). System updates are pushed automatically to the user in real time, and progress reports are automatically pushed to the administrator.
Easy deployment
By some estimates, it can take 6 to 12 months to deploy a hosted, on-premise LMS, and you’ll usually need the help of reliable IT resources to ensure a smooth deployment. There are complex back-end configurations to execute, and everything has to be manually implemented and tested. New configurations must be carried out every time you want to update your system, and those updates must be installed to every device where the software is stored.
With a SaaS LMS, deployment can be completed in a matter of weeks (or even days), not months. All you have to do is author the training materials and import them into your system (and there are even tools that can assist with the authoring process). No buildout is required. And whenever you want to update your training courses, it’s as simple as logging into your admin panel and adding/editing modules. All updates are instantly accessible on any device.
Easy customization
With a cloud-based LMS, there’s generally no development work required. This means that your learning and development (L&D) and HR professionals can manage the system with streamlined precision while also training other team members (like team leads) to create and edit their own modules.
The administrator manages all user permissions and can grant access to any user who wants to author or share their own training materials and quizzes. And because a cloud-based LMS can be customized with a wide range of third-party integrations and authoring tools, it’s possible to add infographics, videos, podcast streams and other interactive materials.
It’s important to note that, while hosted LMSs are more customizable overall (since you have the freedom to build them from the ground up and incorporate your own visual and functional flourishes), SaaS LMSs are more customization-friendly since anyone can modify them with no technical expertise. And newer cloud LMSs offer so many point-and-click customization options that it’s easy to match the system to your branding and workflow preferences. And if you do have developers on hand to fine-tune the system, custom CSS options are often available.