AlphaDog will even source those services for clients. At the end of the month, clients receive a detailed breakdown of all their purchases. Crunching the data and spitting out detailed reports allows providers to counsel clients on further cost-cutting measures. Aberdeen's Degnan says going the ASP route also lets small and midsize companies benefit from quick setup with little or no capital investment. We found that people going the hosted route could set up in a little over a month, compared with about five months setting up on an intranet.
Some companies report being up and running in a day.
Not for Everyone Despite the instant savings and glowing reviews from industry watchers, there are a few caveats. According to Stovell, companies with fewer than 50 employees are probably better off purchasing discounted office goods online using a simple requisition and sign-off procedure. However, outfits with a work force that nears or exceeds 100 workers stand to gain substantially from an ASP solution. At that size, company purchasing tends to become a full-time job, Stovell says. Companies with no desire to build complex and expensive in-house systems are also likely ASP clients.