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SaaS—Software as a Service—is a hugely effective tool for businesses of all sizes. That said, like any tool, it can quickly become a weapon against your success… slowly cutting into your business until you suddenly realize your budget has been bleeding out.
Let’s talk about what makes SaaS either a great tool or your biggest internal threat, depending on how you manage it.
With SaaS, you subscribe to each instance of a given software on a monthly basis, as compared to the old method of periodically buying a new version of this same software every year. In many ways, this is a great option for businesses:
That said, there are a few key drawbacks that a poorly managed SaaS implementation usually features that can quickly cut away the benefits that you see from it and turn it into a major problem.
It’s the classic issue with subscriptions, on a business-wide scale. There are simply so many to juggle nowadays that what once saved you money could end up costing you more.
Let’s say you subscribe to a basic business suite using SaaS to ensure everyone on your team has the basic software they need—email, cloud storage, word processing, spreadsheet generation, and presentation building. Of course, some departments might need other, additional tools for their roles. HR needs payroll processing software, Sales needs inventory tools, and different industries may have unique software needs that must be filled.
Each of these subscriptions costs you on a monthly basis, maybe $20 per seat, maybe $12.50, maybe higher. In the scale of things, these expenses are relatively minor… literally just the cost of doing business.
However, life goes on in and around your business, meaning that circumstances change.
Let’s say that Sue in marketing accepts an administrative position at her kid's school, or your head of HR is poached by a big business a few states over. Maybe Joe’s role transitions between departments, so instead of being part of your sales team, he’s now leading operations and fulfillment. Or perhaps your business as a whole switches service providers and, as a result, starts using different programs en masse. Maybe you've outgrown the software you’ve been using and need a more robust option to meet your needs.
In any of these situations, SaaS is great until someone forgets to adjust the subscription to account for these changes.
If nobody makes these changes, you could still wind up paying for all the software Sue used with your company, or have HR tools waiting for your former department head’s unlikely return. Jeff might still be able to work on sales when he should be focusing on fulfilling orders. You may have subscriptions to multiple service providers and their offerings… even if they just don’t work for you any longer.
It doesn’t matter that nobody’s using all this software… you still have to pay for it. These kinds of mistakes could lead to dozens, if not hundreds or thousands, of unnecessary expenditures each month. Is that something your budget can absorb?
First and foremost, too many tools can create operational friction by default. How much time does each member of your team spend navigating different browser tabs, moving data between platforms, and chasing down files? Remember, every minute they spend on this kind of thing is a minute less that could potentially bring in revenue.
There are other ways that SaaS can ultimately cost you money if you aren’t organized about managing it:
Ultimately, inefficiency is only going to become a bigger threat to your business, which means that the more efficiently you invest in your operations, the more effectively you can advance them. We can help you accomplish this goal.
Part of our IT services is to ensure you aren’t investing in redundancy. We’ll not only help you identify where two tools are being used where one would do, but we’ll also ensure that any unused investments are eliminated so they can be reallocated appropriately.
That’s not all, either. We can also use our connections and relationships to help you get enterprise-friendly rates, saving you even more via SaaS.
Why wait and pay any more than you need to, even for a moment longer? Give us a call at (403) 210-2927 now to set up an audit so we can help you maximize your efficiency and efficacy!
Interested in seeing what we can do for your business? Contact us to see how we can help you!
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OnSite I.T.
429 14th St. N.W. #104
Calgary, Alberta T2N 2A3
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