Online software just won an endorsement from the U.S. government. And while that’s not going to send private sector businesses flocking to Salesforce.com, NetSuite, or other companies that sell software using this model, we have a feeling that the argument will resonate with most businesspeople out there.

Speaking at a conference in Washington D.C. yesterday, Karen Evans, the White House official who oversees information-technology work throughout the federal government, said that government agencies need to look more closely at online software, which workers access over the Internet through a Web browser rather than on servers that the organization operates itself. The reason: “We’re not very good at deliveringour own software in the time frame set,” Evans said according to IDG News. “We’re also not very good at managing large projects.”

We’re shocked – shocked – to learn that the government has a hard time completing projects on time and on budget. But while it’s easy to dismiss the government as a bastion of bureaucracy, the fact is that the same could be said about most businesses. Last month, we wrote about a survey that found 62% of tech projecs take longer than expected and 49% go over budget. (The survey was sponsored by a consulting company hoping to win these projects from businesses, so take the results with the appropriate grain of salt.)

In theory, online software – also known as software as a service or on-demand software – reduces the time it takes to implement a project because an organization doesn’t have to buy tech equipment or install software on its own. The model is catching on somewhat, but many tech departments — both in the government and out — are reluctant to turn to online software because they fear it isn’t as secure as software they install themselves or they don’t like to give up the control that comes with owning and operating their own equipment. Evans’s endorsement could help government agencies get over their fears.

It’s hard to imagine that most non-techies care whether they access the software their organization uses over the Internet or on business-owned tech equipment. It’s more important that it works. But if online software can lead to shorter deployment time and keep projects on budget – and Evans seems to think it can – well, that’s the sort of thing businesses like.