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The growing problem of SaaS sprawl in SME and how to address It.

SaaS sprawl: definition, consequences & solutions

March 28, 2023
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5 min
The growing problem of SaaS sprawl in SME and how to address It.

The adoption of Software-as-a-Service (SaaS) solutions has brought numerous benefits to businesses, including cost savings, increased productivity, and improved collaboration. However, the widespread use of SaaS applications has also led to a growing problem known as SaaS sprawl. SaaS sprawl occurs when an organization loses control over the adoption and use of SaaS applications, leading to inefficiencies, security risks, and higher costs. In this article, we will explore the definition, causes, consequences, and solutions to address SaaS sprawl.

What is SaaS sprawl ?

SaaS sprawl is the uncontrolled proliferation of SaaS applications across an organization. It happens when various departments and individuals within an organization subscribe to different SaaS applications without any centralized oversight or governance. This can lead to several problems, such as increased IT complexity, reduced security, and higher costs.
The growing popularity of SaaS applications is one of the primary causes of SaaS sprawl. With so many SaaS applications available on the market, it is easy for departments and individuals to subscribe to different applications without any centralized control. This can lead to an unmanageable number of applications, making it difficult for IT teams to keep track of them all.

Another cause of SaaS sprawl is the lack of proper IT governance within an organization. When IT governance is not in place, it can be challenging to monitor the adoption of SaaS applications and ensure that they are aligned with the organization's goals and objectives. This can result in a scattered approach to SaaS adoption, leading to SaaS sprawl.

What are the impacts of SaaS sprawl in organizations?

SaaS sprawl can have several negative consequences for an organization. One of the most significant consequences is increased IT complexity. With so many SaaS applications in use, it can be challenging for IT teams to manage and maintain them all. This can result in inefficiencies, delays, and increased costs.

Another consequence of SaaS sprawl is reduced security. When an organization has many SaaS applications in use, it can be challenging to ensure that they are all secure and compliant with relevant regulations. This can put sensitive data at risk, leading to potential data breaches and other security incidents.

Finally, SaaS sprawl can also lead to higher costs for an organization. With so many SaaS applications in use, it can be challenging to keep track of them all and manage their costs effectively. This can result in wasted spending and increased overall IT costs.

How to address SaaS sprawl?

To address SaaS sprawl, organizations need to take a proactive approach to SaaS adoption and management. Here are some solutions that can help:

Establish IT governance: Implementing proper IT governance can help ensure that SaaS applications are aligned with the organization's goals and objectives. This can help prevent the adoption of unnecessary or redundant applications and ensure that all applications are properly managed and maintained.

Consolidate applications: Identifying and consolidating redundant or unnecessary applications can help reduce the number of SaaS applications in use, making it easier for IT teams to manage and maintain them.

Use a SaaS management tool: Implementing a SaaS management tool like Boza can help organizations gain visibility and control over their SaaS applications. Boza provides a centralized platform for managing SaaS applications, enabling organizations to track usage, monitor spending, and optimize their SaaS portfolio.

Educate employees: Educating employees on the risks of SaaS sprawl and the importance of using approved applications can help prevent the adoption of unnecessary or unapproved applications.

Conclusion

SaaS sprawl is a growing problem that can have several negative consequences for organizations. However, with proper IT governance, consolidation of applications, and the use of a SaaS management tool like Boza, organizations can gain visibility and control over their SaaS applications, reducing the risks.

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