How to reduce SaaS costs and security risks for engineering teams - Flexera Blog (2025)

Engineering teams increasingly depend on SaaS tools for seamless collaboration, workflow automation, and innovation. Applications like Jira, Confluence, Slack, and AI-driven solutions have become vital to daily engineering operations, helping teams streamline project management, enhance productivity, and share knowledge effectively. But as the reliance on SaaS applications grows, so do the challenges related to costs, security, and efficiency.

While enterprise-wide SaaS solutions like Microsoft 365 and Salesforce often dominate conversations about optimization and compliance, engineering-specific applications also deserve significant attention. Without proper governance, these solutions can lead to overspending, security vulnerabilities, and reduced efficiency. We hope these tips are particularly helpful for organizations where engineering or technical teams play a central role and where SaaS spend and security are high-priority concerns.

Challenges in managing SaaS applications for engineering teams

In the complex digital landscape engineering teams navigate, managing SaaS applications effectively is crucial but increasingly difficult. The key challenges include:

  • Uncontrolled costs: Wasted spend on redundant or underused SaaS licenses can quickly escalate, impacting overall engineering budgets.
  • Security and compliance risks: Unauthorized or poorly managed tools may expose sensitive intellectual property or create compliance vulnerabilities.
  • Lack of visibility: Engineering leaders often struggle to get a clear picture of what tools are used, by whom, and to what effect, complicating optimization efforts.

Effective SaaS governance strategies ITAM leaders can use when working with engineering teams

To tackle these challenges head-on, ITAM leaders can collaborate with engineering leaders to employ specific SaaS governance practices tailored to their needs. These include:

  1. Conduct targeted SaaS audits: Regularly audit the SaaS solutions your engineering teams rely on. Include license utilization, cost analysis, and the identification of unused or redundant apps in these audits.
  2. Map SaaS to engineering workflows: Evaluate how well current applications support the goals of your team. Do they address key pain points, or are they creating inefficiencies? Consolidating overlapping tools can lead to cost savings and streamlined operations.
  3. Prioritize security and access management: With sensitive engineering projects at risk, only trusted and approved applications should be in use. Establish rigorous vetting and monitoring processes to ensure compliance with corporate security policies.
  4. Harness usage analytics: Use SaaS usage data to identify trends and guide discussions with vendors about pricing adjustments or contract renegotiations.
  5. Enable always-on governance of SaaS applications: With workflow automation through a SaaS management platform, you can expedite common tasks, including reclaiming SaaS licenses based on your usage data.

Benefits of SaaS governance for engineering teams

Implementing a thoughtful SaaS governance framework offers engineering teams several critical advantages:

  • Reduced costs: By identifying unused licenses and optimizing tool allocation, teams can lower expenses and reinvest savings into innovation projects.
  • Improved security: Proactively managing access and use of applications mitigates risks of data breaches and non-compliance.
  • Enhanced productivity: A leaner, more strategic SaaS stack ensures engineers spend less time navigating solutions and more time building impactful solutions.
  • Data-driven decision-making: Insight into SaaS usage empowers engineering leaders to make informed choices that support long-term goals and immediate needs.

New capabilities to help bridge the gap between ITAM leaders and engineering teams

Engineering teams thrive when equipped with the right solutions—but effective SaaS management is key to maximizing their impact. By prioritizing governance strategies tailored to engineering-specific applications, organizations can optimize costs, enhance security, and ensure engineering teams are empowered to drive innovation.

And speaking of innovation, we’ve recently added new connectors to Snow SaaS Management to help you gain deeper insight into the usage of key engineering applications. The new connectors integrate with popular engineering tools like Jira, Confluence, Slack, and Box to give you a unified view of your SaaS landscape. These connectors will enable you and your engineering teams to track usage, optimize costs, and identify compliance risks.

SaaS governance isn’t just a cost-cutting measure—it’s a productivity and security enabler that benefits more than just ITAM. Start building smarter engineering toolsets today by exploring proven strategies and best practices for SaaS optimization.

Ready to dive deeper into SaaS governance? Watch our on-demand webinar to learn from industry experts as they share practical advice for managing SaaS environments, avoiding common pitfalls, and preparing for the future.

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Related posts:
  • What is SaaS management?
  • How FinOps and ITAM teams can work together in real-life scenarios
  • How to choose a software asset management tool: Insights from the Gartner® Market Guide
  • Unlock the full potential of your SaaS investments through SAM maturity
How to reduce SaaS costs and security risks for engineering teams - Flexera Blog (2025)

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