SaaS or Software as a Service is a process that is used to provide the software to the users through the Internet. The websites will provide access to the users for the programs including supply chain management software. Even though, this is known as a very efficient way of providing software there are few disadvantages involved with it.

1. Modification is not possible by the user because it is hosted by another server. In such case the software will become outdated and must be updated.

2. The data which is used in the SaaS software will be stored on the servers that are not controlled by the user of the software. The company which is using particular accounting software through SaaS they must have all of the data stored on the off-site server which is not used by the company.

3. As the data input in the SaaS software is stored off site, knowing the appropriate amount of backup servers is not possible in case of a data corruption.

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