O

What is SaaS management?

‍
SaaS management is the process of identifying, managing, and governing the software applications that exist within an organization’s technology portfolio.

‍
When software goes unmanaged, it not only puts the business at risk of data breaches and security issues, but it can also lead to a substantial amount of wasted spend as a result of redundant and duplicate SaaS apps, not to mention unused licenses.

What is tail spend?

‍
Tail spend refers to the unmanaged purchases made within an organization that fail to pass through an official procurement process. On account of their low value, the costs incurred by these purchases are seldom monitored by financing teams as they are generally too small to be deemed “strategic”. The problem, however, is that they can make up as much as 20% of a business’ total spend.

What is a SaaS agreement?

‍
A SaaS agreement, or contract, details the terms of your purchase from a SaaS vendor.

What is a service level agreement in SaaS?

‍
A Service Level Agreement (SLA) is a subset of a Master Service Agreement (MSA) and contains specific details about the level of service that will be provided by the SaaS vendor. This agreement will specifically define the performance metrics, responsibilities, and expectations of both parties.

‍
An SLA is likely to include uptime guarantees, the level of support that will be provided to the customer, response times for any support requests, information on how these requests will be managed and escalated, information on how the vendor will protect the customer’s data and ensure the security of its systems and networks, as well as details on how it will compensate the customer if it fails to meet the agreed-upon service levels.

What is SaaS sprawl?

‍
SaaS sprawl, also known as software sprawl, occurs when an organization’s SaaS stack consists of a large — and often unmanageable — number of applications.

‍
Ultimately, as business needs grow, the number of digital tools required increases, which leads to new applications being subscribed to, be this through a centralized process or at the will of individual employees.

What is a break clause?

‍
A break clause refers to a provision within a SaaS agreement that allows either the customer or the SaaS provider to terminate the contract before the end of the initial term. A break clause will typically set out the conditions or requirements that must be met for either party to exercise their right to terminate an agreement early. For example, a break clause can enable users to cancel their subscription if they are dissatisfied with the service.