Digital transformation is everywhere — from booking hotels to signing documents online. Businesses of all sizes now have an abundance of software choices, like Customer Relationship Management (CRM) systems that help streamline operations. But with companies averaging 112 SaaS applications, IT departments struggle to manage sprawling tech stacks and businesses are failing to get the most value from their technology.
SaaS sprawl occurs when organisations adopt multiple digital tools to meet various business needs and automate historically manual processes. The approach of buying point solutions has made sense for many years as businesses needed to offload manual processes but lacked the budget and developer resources to quickly build their own applications. However, the result is a myriad of software systems that don’t speak to one another, often leading to inefficiencies within the business and oversight challenges for IT teams.
Fortunately, new AI and low-code automation capabilities have created a path forward for businesses looking for a way out of SaaS sprawl. But as businesses embark on a journey toward efficiency and away from overloaded tech stacks, it can feel like a daunting task to overhaul. So, for many, dealing with SaaS sprawl using a measured, multi-step approach often enables businesses to realise short-term efficiency gains and set themselves up for long-term success. Here’s how.
Step 1: Orchestrate SaaS to Optimise Workflows
Research shows that business departments control 70% of SaaS spending and more than half of their applications, while IT manages less than 20% of third-party software. This means that many businesses have little visibility into what technology is actually being used and how it impacts how work gets done.
To get SaaS sprawl under control, businesses first need to understand their software landscape end-to-end. Using process management tools, businesses can identify and map processes that exist in their organisations today, including the point SaaS solutions that play a role in each.
This allows businesses to uncover redundant technology, broken integrations, and create a plan to consolidate applications to make critical solutions work together more efficiently. From there, workflow automation capabilities can be used to integrate SaaS applications while automating manual processes – ensuring smooth data flow and eliminating bottlenecks.
Business users can then realise the value of efficient workflows – where work moves smoothly between people and systems. IT teams can regain oversight and governance to ensure compliance, while also creating standardised workflows that get the most value out of existing software.
Beyond automating processes and integrating existing SaaS applications, organisations can further simplify their operations using custom applications and solutions.
Step 2: Build Custom Applications to Reduce SaaS Sprawl
For years, SaaS solutions have been the de facto choice for organisations looking to get away from manual processes.
This was largely due to two main factors: building custom applications was costly and required developer resources, and SaaS solutions had domain expertise that was hard to replicate. Today, those factors are no longer constraints as advancements in technology have reduced the barriers to build custom applications and business solutions making it a viable, cost-effective solution for businesses. For many, the time to rethink building business applications over buying point SaaS solutions has come.
Low-code application development as part of an end-to-end process automation platform allows organisations to quickly and easily build custom, purpose-built applications that solve business operations problems.
The benefits of using a single platform to orchestrate processes and build applications are multifold, including reduced cost of ownership, faster customisation, reduced integration challenges, centralised IT and data governance, and a consistent experience across the portfolio of applications. At the end of the day, organisations can offload the dozens of SaaS applications being used to conduct business and replace it with a single platform that can be easily customised to their needs to drive increased efficiency across departments.
Today, a major barrier to effective AI adoption lies in the fact that businesses still rely on manual processes and disconnected SaaS tools. For AI capabilities to be effective, they need a foundation of automated processes. In fact, technology advisory firm Forrester predicts that AI-powered enterprises will prioritise building software over buying it, consolidating applications onto low-code platforms, to maximise the value of AI.
Step 3: Accelerate Efficiency with Applications and AI
As businesses optimise and automate their operations through workflows and custom applications, AI can take efficiency to the next level. AI-powered automation enhances every stage of the application lifecycle — helping businesses design applications faster, improve usability, and continuously optimise workflows.
Here’s how AI accelerates efficiency across applications and processes:
- Design: AI speeds up the development of custom business applications by assisting with process identification, mapping, suggesting optimisation and auto-generating applications, automated workflows, and document processes to improve time to value.
- Operate: AI enhances decision-making within applications and business processes, automating repetitive tasks and streamlining user interactions for a more seamless experience.
- Optimise: AI monitors business processes and related applications , identifying areas for improvement and suggesting enhancements over time.
Looking forward, the rise of AI will further transform business operations. Intelligent assistants will proactively work within applications — analysing workflows, recommending automations, and even generating process improvements in real time. Instead of waiting for manual adjustments, businesses can rely on AI agents to continuously refine and enhance their processes, ensuring long-term efficiency gains.
By combining automation, custom applications, and AI, businesses create a scalable, intelligent tech stack that adapts and improves over time — eliminating inefficiencies and unlocking new levels of productivity.
Steady Doesn’t Mean Slow in the AI Race
Addressing SaaS sprawl starts with getting your processes in order. A refined, interconnected tech stack enables businesses to gain precise, timely insights while mitigating inefficiencies and security risks.
With low-code/no-code solutions, employees can create and manage applications that keep organisations agile and in control. By reducing software sprawl and streamlining workflows, businesses lay a strong foundation for AI adoption and acceleration — ensuring they move steadily, yet decisively, in the race for innovation.