Getting control of your subscriptions and software licenses requires a 360 degree approach to the problem.
The first and obvious comment to make is that SaaS is a growing and difficult category to manage. Vendors make their tools easy to try and buy, often purchase decisions are made with limited procurement oversight, contracts are complex and monitoring spend and usage can be challenging.
To address this, many companies will simply try to re-negotiate a better deal at renewal time. But that only fixes part of the problem.
Deploying purchase cards can help to control budgets – but won’t help identify redundant or under-utilized licenses.
Only by taking a 360 degree approach to managing the category can you achieve cost savings as well as controlling future spend.
SaaS is a growing and difficult category to manage
Here’s a six step approach to get control of your subscriptions and software licences
Get All Your SaaS Subscriptions In One Place
Centralize your software licenses and subscription agreements into one platform. A spreadsheet is ok for a handful of contracts, but you’ll something more powerful for large SaaS stacks.
Deeper Analysis To Uncover More Insights
Get into the weeds of your spending. Analyze contracts, invoices, credit card statements, payments, usage – to get a true view of your spend.
Expert Vendor Negotiations
Schedule renewals in advance and line up your data before entering negotiations with key vendors. Consider terminating redundant accounts.
Control Every Transaction
To control sprawl, CFOs must create a process for how SaaS enters the organization going forward. Your approach to best practice SaaS management should also include the issuing of virtual purchase cards and providing employees with an easy way of procuring pre-approved apps.
Continuous Opportunity Identification
Only with all your subscriptions in one place, deep analysis of your expenditure, a buying desk staffed with expert SaaS procurement professionals and the granular control provided by virtual cards can your organization realise opportunities on an ongoing basis.
Savings Reporting
Identifying, executing and reporting on savings in SaaS is not a one off exercise. With so many vendors, multiple price plans, unique agreements, renewals, upgrades and bolt on services – keeping track of costs and identifying savings requires a relentless pursuit of data in order to drive value and achieve savings. Ensure you have the right partner – with a history of delivering savings in complex spend categories, and the right data analytics tools in place.
Learn how to implement this 6 step approach:
To discuss this approach in more detail book a free 30 minute call.
