n the race to modernise IT, many organizations have embraced SaaS as a fast, flexible way to deliver business value. But with that agility comes complexity and risk. As SaaS adoption accelerates, visibility into usage, spend, and security posture has not kept pace. The result? A growing blind spot that threatens both financial control and cybersecurity.
CIOs and CISOs are beginning to recognise that SaaS visibility is no longer just a procurement or IT operations issue, it’s a strategic imperative that touches every corner of the enterprise.
What is SaaS Sprawl?
The average company has 254 SaaS apps, while enterprises have 364, according to a Productiv study of over 30,000 apps. (Source: Productiv)
SaaS sprawl is real. Employees can now onboard new applications with a credit card and a few clicks, bypassing traditional IT governance. While this democratisation of technology can drive innovation, it also creates a fragmented landscape of tools, data, and access points.
Sprawl is more prevalent within smaller organizations experiencing high growth. (Source: Productiv)
How SaaS Sprawl Impacts Cybersecurity
Many organisations underestimate how many SaaS apps are in use and by whom. Shadow IT, duplicate subscriptions, and unmanaged licenses are common. But beyond the financial waste, this lack of visibility introduces serious security risks:
- Unvetted apps may not meet corporate security standards and data sovereignty requirements.
- Orphaned accounts can remain active long after employees leave.
- Data leakage becomes harder to detect when sensitive information is stored across dozens of unknown platforms.
Without a clear inventory of SaaS usage, organisations cannot enforce policies, manage access, or respond effectively to incidents.
Why FinOps is more than just an ally to Cybersecurity
FinOps, the discipline of financial operations for cloud is often viewed through the lens of cost optimisation. But its principles are increasingly relevant to cybersecurity.
At its core, FinOps promotes accountability, transparency, and collaboration across IT, finance, and business units. These same principles are essential for a comprehensive security program:
- Accountability ensures that every app has an owner responsible for its compliance and security.
- Transparency enables IT and security teams to understand usage patterns, access levels, and data flows.
- Collaboration fosters shared responsibility for risk, rather than siloed decision-making.
When FinOps and security teams work together, they can identify risky apps, eliminate redundant tools, and ensure that SaaS usage aligns with both budget and policy.
SaaS Visibility Is the Foundation of Control
Security begins with visibility. You can’t protect what you can’t see. In the context of SaaS, visibility means knowing:
- What apps are in use
- Who is using them
- What data they access
- How they’re configured
- Where your data are going
- Whether they comply with internal and external standards
This level of insight is essential for enforcing identity and access management (IAM), detecting anomalies, and responding to threats. It also supports compliance with GDPR, SOC2, and ISO 27001, which require organisations to demonstrate control over data and systems.
The Cost of Ignoring SaaS Sprawl
The consequences of poor SaaS visibility are not hypothetical. Real-world breaches have been traced back to misconfigured SaaS apps, forgotten accounts, and unauthorised data sharing. In many cases, the root cause was not a lack of security tools but a lack of visibility and governance.
Financially, the impact is also significant. Organisations overspend on unused or duplicate SaaS licenses, while missing opportunities to consolidate vendors and negotiate better terms. Without FinOps discipline, SaaS costs spiral and security risks multiply.
A Strategic Imperative for IT Leaders
For IT Leaders, the convergence of SaaS visibility, FinOps, and cybersecurity represents a strategic opportunity. By treating SaaS governance as a cross-functional priority, leaders can:
- Reduce risk and improve compliance
- Optimise spend and eliminate waste
- Strengthen collaboration across IT, finance, and security
- Build a more resilient and agile digital foundation
This is not just about tools, it’s about mindset. Visibility is not a feature; it’s a capability that underpins every aspect of modern IT leadership.
Andy Gregory – Information Security Manager
Andy’s focus on the real-world challenges organizations face as they navigate digital transformation brings clarity to complex topics such as SaaS sprawl, financial accountability, and cybersecurity risk. Andy’s work reflects a practical, strategic perspective, emphasizing the importance of visibility, collaboration, and modern governance in building resilient IT environments. He supports IT leaders in making informed decisions that drive value, reduce waste, and enhance security across their digital estates.
