SaaS vs Custom Software - Choosing the Best Order Management Software for Your Business

Learn which option between SaaS and Custom Software is the best fit for your business needs and streamline your order management processes to boost productivity.

Swati Soumya
SaaS vs Custom Software - Choosing the Best Order Management Software for Your Business


Order management plays a crucial role in the success of B2B enterprises. Efficiently handling orders, tracking inventory, and ensuring timely delivery are key factors in maintaining customer satisfaction. When it comes to choosing the right order management solution, businesses often face the dilemma of Custom Software versus Software-as-a-Service (SaaS). Let's first start by understanding both of these.

All That SaaS

It is a popular model in which software applications are delivered over the internet by a provider.

With SaaS, businesses can:

  • Access and use powerful software without the need to build and maintain it themselves.
  • Configure the software to align with their unique processes and requirements, whether it's managing projects, tracking customer interactions, or handling other business operations.

And the best part is you don't have to worry about the technical nitty-gritty or hosting the software yourself. The company providing the service takes care of all the technical details, including updates, security, and infrastructure.

This is why SaaS has become so popular. It offers the benefits of powerful software without the need to invest significant time, resources, and money into building and maintaining it from scratch.

Do you know what sets SaaS apart from other solutions?

Continuous innovation and customer-centric focus

Customer satisfaction is at the forefront of their strategies. They actively engage with their user base, seeking feedback and incorporating it into their product development cycles. This iterative approach allows them to align their software with the specific requirements and pain points of their customers.

What is Custom Software Solution?

Custom software solutions, in contrast to SaaS, are tailor-made applications designed to meet the unique needs and requirements of a specific business or organization.

  • Custom software is built from scratch and personalized to fit the specific processes and workflows of the organization.
  • Unlike off-the-shelf software that caters to a wide range of users, custom solutions are highly targeted and customized.

While customization offers flexibility, it comes with certain drawbacks. Custom solutions can be time-consuming and expensive to develop, and they may require ongoing maintenance and support.

However, some businesses opt for custom solutions to address highly specific workflows and processes. Some examples of custom order management software include implementations for supply chain management in manufacturing companies or customized order tracking systems for wholesalers.

Custom Software vs SaaS - Pros and Cons

1. Cost-effectiveness

When it comes to cost-effectiveness, both custom software and SaaS solutions offer distinct advantages and disadvantages.

Custom Software

Custom solutions provide the ability to create software tailored specifically to the business requirements, which can result in improved efficiency and productivity. This level of customization can be highly beneficial for businesses with unique needs. However, it's important to consider that custom software development involves significant upfront costs for hiring developers, project management, and infrastructure setup. Additionally, ongoing investments in updates and maintenance are necessary, which can add to the overall cost.


On the other hand, SaaS solutions operate on a subscription-based model, eliminating the need for substantial upfront investments. This allows businesses to allocate their budget more efficiently. Moreover, SaaS solutions often offer cost savings due to economies of scale and shared infrastructure. According to Informationweek, SaaS solutions can be up to 77% cheaper than on-premises solutions.

However, it's worth noting that SaaS solutions require ongoing subscription costs, which may accumulate over time. This means, for businesses with highly specific requirements or long-term usage, it's worth carefully evaluating whether SaaS remains the most cost-effective option in the long run.

2. Scalability and Flexibility

Scalability and flexibility remain pivotal considerations as businesses aim to grow and adapt to changing market conditions.

Custom Software

Custom solutions offer scalability and flexibility as they can be tailored to specific requirements and workflows. This level of customization allows businesses to accommodate their unique needs and adjust their systems accordingly. However, scaling custom software requires additional development and infrastructure investments. This process can be time-consuming and may result in downtime during implementation. Additionally, adapting to new market trends or customer demands may require extensive development efforts.


SaaS solutions provide seamless scalability, allowing businesses to scale their operations up or down based on demand. They offer a wide range of features and can adapt to changing business needs without requiring extensive coding or development work. This flexibility can be highly advantageous for businesses that need to quickly adjust to market conditions. However, it's important to consider that SaaS solutions may have limitations in customization compared to custom software. Businesses may need to adapt their processes to fit the predefined features and workflows of the SaaS solution. However, this trade-off can often be outweighed by the ease of scalability and the rapid adaptability offered by SaaS solutions.

3. Implementation and Support

The ease of implementation and the level of support available are crucial factors when selecting an order management solution.

Custom Software

Custom software solutions can be designed to perfectly align with existing business processes, providing a familiar and efficient user experience. They can also be integrated with other systems or legacy software, making the transition smoother. However, it's important to acknowledge that developing and implementing custom software is a complex process that often requires extensive time and resources.

This includes activities such as requirements gathering, design, development, testing, and deployment. Ongoing support, bug fixes, and user training are the responsibility of the business, which may require additional resources and expertise.

According to research, the ability of developers to deliver a software solution with basic features within a span of two months is limited to less than 10%.


SaaS solutions are typically ready for use right out of the box, with minimal setup and configuration required. This streamlined implementation process allows businesses to start using the system quickly, accelerating time to value. SaaS providers also offer dedicated support teams that handle maintenance, updates, and user assistance. This reduces the burden on internal IT teams and ensures that the system runs smoothly.

However, businesses should consider that they may have less control over the customization and support aspects of the SaaS solution compared to custom software.

4. Security and Reliability

Security and reliability are paramount when it comes to order management, as businesses handle sensitive customer data and rely on uninterrupted operations. Let's examine how custom software and SaaS compare in terms of security and reliability:

Custom Software

With custom software, businesses have more control over security measures and can implement tailored security protocols based on their specific requirements. This level of control allows for better protection of sensitive customer data and intellectual property. Additionally, since the software is built specifically for the business, reliability can be high if it is properly developed and maintained.


SaaS solutions often have robust security measures in place, as security is a top priority for service providers. SaaS providers really go above and beyond to keep their clients' data safe. They understand the importance of security, and that's why they invest so much in protective measures. In fact, according to Gartner, 95% of cloud security failures are actually caused by human error, rather than any flaws in the technology itself.

It just goes to show that proper data handling and user education play a vital role in maintaining a secure environment within the SaaS framework. So, if you're a business looking to keep your sensitive information safe in the cloud, partnering with a reputable SaaS provider is the way to go. One such order management platform is Decorum, it takes advantage of all the benefits the cloud has to offer to keep your data secured.

Final Thoughts

Today, the majority of enterprises have embraced SaaS as their preferred software delivery method. According to Fortune Business Insights, the global SaaS market value will reach $716.52 billion in 2028, growing at a CAGR of 27.5% during the forecast period of 2021-2028.

The advantages it offers are truly compelling, making it the more favorable option. SaaS companies understand the unique needs of businesses and, after speaking to several enterprises, they make efforts to ensure that their software is customizable to suit different requirements. This focus on research and customization sets SaaS companies apart. They continuously analyze market trends, gather feedback from users, and update their software accordingly to address evolving business needs.

While custom software may seem enticing with its extensive customization options, the truth is that most businesses don't require highly specialized solutions. The flexibility and extensive features provided by SaaS solutions are often more than sufficient to meet their needs effectively. When we consider the time, effort, and costs associated with building and maintaining custom software, it becomes clear that SaaS is the more practical and efficient choice for order management.

SaaS solutions eliminate the need for businesses to hire dedicated IT teams or spend valuable time and resources on software development and maintenance. Instead, they can rely on SaaS provider's expertise, infrastructure, and ongoing support to ensure smooth operations.

As the SaaS industry continues to innovate and grow, it remains at the forefront of empowering businesses with efficient, cost-effective, and scalable solutions for their order management needs. In fact, embracing SaaS has become a strategic imperative for B2B enterprises, enabling them to streamline their operations, stay agile in a dynamic marketplace, and drive their digital transformation journey forward.