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Take care with SaaS Deals, it’s not necessarily all goods news. They need policing and a plan if pro

Software-as-a-Service (SaaS) can seem attractive - low upfront costs, ease of implementation, transfer of application-support work and costs from customer to provider, and potential head-count reductions -, but it can lead the business to purchase and deploy SaaS applications without considering their long-term impact on the enterprise. However, SaaS providers do stop trading, e.g. cloud storage services including SaaS lines at storage giants Iron Mountain and EMC. Corporate treasury departments must have a plan for where they'd go if the provider shut down.

Also what will be the cost if 'everyone' uses the service, not just corporate treasury staff? The cheap $50 per user becomes expensive if the number of users is 500, not the expected five treasury staff.

 


SaaS can be very useful, and in some services, the only way of receiving the service/system, but departments need to understand precisely what they are buying.

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This item appears in the following sections:
Operations
Operational Risk Management
Outsourcing Cash & Treasury Management
Treasury Technology
General Treasury Systems