5th May, 2022
•8 mins
TABLE OF CONTENTS
After the pandemic, SaaS adoption and usage have grown tremendously. Since the time organizations went to work from home model, their reliance on SaaS has increased multifold.
Though with all its goodness, SaaS brings financial, security, and compliance risks to organizations. Issues like SaaS sprawl give rise to shadow IT and SaaS wastage, making SaaS management difficult.
For IT teams, tasks like providing and revoking the access of SaaS apps to employees during onboarding and offboarding, or when their role changes are very time-consuming.
It's the IT teams' responsibility to ensure that organizations take advantage of SaaS while minimizing the risks.
Small organizations can manage their SaaS applications in spreadsheets.
But this is not an efficient method for large organizations having 100s of employees using 1000s of SaaS apps.
There is a need for SaaS governance to mitigate SaaS risks.
The first step requires a diagnosis of the problem. So, you need to conduct an audit on your SaaS stack to find which apps are giving the business value and which ones are problematic.
SaaS operations managers can automate app provisioning and deprovisioning tasks to provide a seamless employee experience. This means employees always have access to apps they need when required.
The right strategy and tools make it easy for IT teams to manage SaaS chaos.
Procuring SaaS in the right way helps you eliminate these challenges at the first step itself. Now, only employee experience plays a key role in software selection. This is because, unlike before, employees do sign up for other SaaS than the one provided by the IT teams giving rise to shadow IT. If you want to prevent shadow IT, you have to improve your SaaS procurement.
A lean SaaS stack is an optimized one. This means there should be no duplicate apps or apps with overlapping functionality. Furthermore, the license numbers and tiers should be rightsized based on requirements.
According to Gartner's report, one-third of the software cost gets wasted. An optimized stack ensures you there is no budget wastage of IT budget.
There are both insider and outsider threats associated with SaaS apps. According to a OneLogin report, 25% of ex-employees may retain access to SaaS apps and organizational data residing in those apps.
The existing solutions in the market are not sufficient to make sure that no employee has access to SaaS apps after they leave.
You can go through the below reports to understand how different enterprises are managing their SaaS stack.
SaaS management platforms are key to discovering, optimizing, managing, and securing your SaaS stack.
The discovery engine is the foundation of any SaaS management solution. Any SMP can only be as good as its discovery engine. Zluri, an SMP, has the world's largest app library with over 2,25,000 apps. Furthermore, this database keeps on expanding every day. With its five discovery methods, Zluri can discover 100% of the SaaS applications.
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10% of company revenue is spent on SaaS. It’s a staggering metric, and a high percentage of income is wasted inefficiently on business tools. In comparison, companies spend, on average, 15% on employees annually.
With this explosion of SaaS at companies, there arise SaaS challenges caused by apps getting out of your control. These SaaS challenges varies in three dimension: spend management, security and complance risks, and various SaaS operations tasks like automating SaaS procurments, renewals, employees onboarding and offboarding.
‘Muda’ is used to describe any activity that uses resources but doesn't generate value. It is the Toyota system for identifying and eliminating waste in all forms. It is the same thing that helps Toyota sell more cars than Ford, General Motors, and Honda at a higher margin.
An obese SaaS stack leads to SaaS wastage. It's a disease! It not only causes financial issues but also gives you security and compliance problems. That's why you must keep tight control on your SaaS stack. And it begins with managing your SaaS vendors.
In this post, we've discussed 7 symptoms of an unoptimized SaaS stack and solutions to optimize the same.
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It can be tracking renewal dates, managing application usage, tracking users, etc. To avoid letting this happen, there are specific SaaS reporting metrics that you must continually monitor. But which metrics should you rely on?
Spend analytics is designed to identify areas that could use more attention so that valuable insight can be found in real-time, ensuring organizations can prioritize projects and streamline their entire process.
Due to the increased purchasing of Saas applications, it is becoming time-consuming to evaluate the organization's existing software and determine how it can be used effectively. This results in a need for more visibility into the SaaS stack, and businesses continue to make wasteful purchases, increasing SaaS expenses.