How SaaS is Transforming Software Asset Management and How to Keep Up

Software as a Service (SaaS) has transformed the way we think about software licensing and the management of our vast software environments. With the explosion of SaaS application usage, especially after the COVID-19, IT environments have become more flexible and dynamic than ever before. However, managing a large library of SaaS applications can be complex, expensive and challenging for organizations. Some of these challenges are a byproduct of how SaaS is deployed, and some of them are the result of legacy SAM tools designed in the era of on-premise software, limiting the companies that still rely on them to manage their SaaS applications. These are 5 shifts companies must master to optimally manage their SaaS, and how Xensam can help.

5 Ways SaaS is Transforming Software Asset Management

Discovery of SaaS Applications: The biggest challenge presented by SaaS applications is that they’re accessed via a web browser. Due to non-existence of a local .exe file or installation, legacy SAM tools discover SaaS applications inaccurately or not at all.

Xensam offerers discovery of SaaS applications across all major browsers with an industry-leading library of 90,000+ web apps and 35,000 vendors. We help you catch apps that would otherwise slip through the cracks.

Subscription-Based Licensing: SaaS providers typically offer subscription-based licensing, allowing users to pay a monthly or yearly fee to access the software. While this offers flexibility and customization of cost, it also means that costs can easily spiral out of control with subscriptions that continue to be billed even when they’re not being used.

Xensam is the only platform on the market that provides real-time visibility into SaaS license usage down to the minute. Active Usage Tracking illuminates potential cost savings, helping you to cut unused subscriptions based.

Usage-Based Licensing: With SaaS, licensing can also be based on usage rather than on a fixed number of seats or users, which is usually the case for on-prem licensing. This allows for more granular control of licensing, but only if you have granular insight into consumption.

Xensam’s precise Active Usage Tracking helps organizations to optimize their SaaS usage to ensure they are able to effectively manage their usage-based applications, downgrading subscriptions when usage is low, or cancelling subscriptions completely. This feature also allows you to set Active Usage thresholds, alerting you when applications do not meet minimum usage requirements and making license cancellation decisions easier.

User Management: SaaS applications are typically cloud-based, which means users can access them from anywhere in the world with an internet connection. This can make it challenging to understand what users are accessing which apps, when, and from where.

Xensam helps organizations monitor their SaaS users and usage. With accurate tracking, you can see which apps are used on which devices, how much, and by which users. The platform also offers AI-powered Multi-Dimensional Trending of Application Usage Trends and User Usage Trends for a more complete picture of user behaviour. Our Custom Inventory capabilities detect when specific modules of SaaS products are used to ensure that licenses are being used in compliance with their agreements, even for remote workers.

Understanding SaaS Costs: SaaS applications are purchased centrally or via each business department. Costs management can become complicated when SaaS subscriptions are purchased by lines of business other than IT, or by employees without the awareness of IT.

Xensam’s Cost Center enables generic pricing for inventoried SaaS applications based on market standards, and also allows companies to customize SaaS costs based on unique vendor agreements for more precise cost allocation. This ensures that organizations are aware of the cost associated with their SaaS libraries. It allows greater scrutiny of SaaS estates to determine where optimization endeavors should be focused. 

Conclusion

In conclusion, SaaS is transforming the software consumption landscape, but managing SaaS applications doesn’t have to be so complex and challenging. While legacy SAM tools remain stuck in the past, offering limited SaaS support, Xensam can help organizations manage their SaaS licenses by providing real-time visibility into their licensing and consumption to optimize their usage and support compliance. With greater insight, cost reduction is achievable by allowing companies to cancel or downgrade unused and underutilized subscriptions. SAM is changing, but with Xensam, you can keep up.

Learn more about the most advanced SaaS management technology in the industry and book a demo today.