SaaS Rationalization Playbook
A structured approach to identifying redundant SaaS subscriptions, optimizing license utilization, and reducing shadow IT spend across the enterprise.
The SaaS Sprawl Problem
The average enterprise uses 300+ SaaS applications, with 30% going unused or underutilized. Shadow IT SaaS spend often exceeds managed SaaS budgets.
Discovery Phase
Combine SSO logs, expense reports, browser extension data, and network traffic analysis to build a complete SaaS inventory. Categorize by function, identify overlapping tools.
Utilization Analysis
For each application, measure: login frequency, feature adoption depth, and user count vs. license count. Flag applications where active users represent less than 60% of licensed seats.
Rationalization Decision Matrix
Score each application on four dimensions: strategic alignment, user satisfaction, cost efficiency, and integration depth. Applications scoring below threshold enter the sunset pipeline.
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