What is SaaS Discovery?

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SaaS Discovery is the process of locating and cataloging all software-as-a-service (SaaS) tools used across an enterprise. It uncovers approved and unapproved apps, providing a full picture of the SaaS environment.

Enterprises use application visibility tools to scan networks, expense data, and SSO logs to uncover every app in use. The process reveals unauthorized or redundant tools, helping enterprises catalog and control their entire SaaS stack.

With this visibility, companies can optimize costs by eliminating unused subscriptions and consolidating licenses. SaaS discovery tools also strengthen access control and compliance by flagging risky or unvetted applications.

Integrating discovery data with SaaS management platforms enables proactive risk mitigation and ongoing cost savings. Ultimately, SaaS discovery ensures better governance and more efficient, secure IT operations.

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Why SaaS Discovery Matters

SaaS discovery gives enterprises vital visibility into all software applications, including shadow IT discovery tools. This transparency is crucial for managing security risks and reducing vulnerabilities across the IT environment.

By identifying every SaaS app, companies can optimize costs by retiring unused tools and consolidating licenses. It also helps enforce compliance with regulations like GDPR or SOC 2 by flagging unapproved or risky software.

Centralizing oversight of SaaS usage allows IT to enforce policies and prevent unauthorized data sharing. With SaaS discovery tools, enterprises can better control renewals, streamline budgets, and plan for future needs.

Without SaaS discovery, enterprises lack the awareness needed to manage potential risks or control spend. Effective discovery supports secure, compliant, and efficient SaaS management throughout the organization.

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Risks of Not Doing SaaS Discovery

Failing to conduct SaaS discovery exposes organizations to significant unmanaged risks and inefficiencies. Without knowing SaaS usage through SaaS discovery tools, enterprises become more prone to cyber risks. 

Here are some risks of not doing SaaS discovery:

Shadow IT Expansion

Without SaaS discovery, unauthorized SaaS tools proliferate, creating causes of data breaches and bypassing protocols like SSO, MFA, and encryption.

‍Increased Security Threats

Unapproved apps can lead to data breaches, unauthorized access, and a broader attack surface for cyberattacks. Former employees may retain access to company data, heightening insider threat risks.

Compliance and Privacy Violations

Unsanctioned applications may not comply with laws like GDPR, HIPAA, or PCI DSS. This increases the chance of legal penalties, data privacy violations, and breaches of company policies.

Wasted License Spend

Undiscovered or duplicate SaaS subscriptions from improper SaaS discovery raise operational costs and waste budget.

Audit and Assessment Challenges

Lack of visibility complicates audits and can result in failed compliance assessments or fines for non-compliance.

Operational Redundancy

Departments not adopting SaaS discovery tools create workflow redundancies and drain productivity.

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Where SaaS Discovery Is Used

SaaS discovery is applied across organizations to identify all SaaS applications in use. This comprehensive view helps businesses understand their entire SaaS landscape and usage patterns.

IT Management

IT teams leverage discovery to enforce software policies, remove risky or unapproved apps, and consolidate the IT environment for better security and access control.

Security and Risk Mitigation

Security teams use SaaS discovery to detect vulnerabilities, ensuring all applications meet encryption and compliance requirements.

‍Financial Efficiency

Finance departments track redundant SaaS tools to optimize spend, eliminate wasteful licenses, and improve license harvesting.

Procurement Optimization

Procurement teams use insights from SaaS discovery to renegotiate contracts, replace duplicate solutions, and ensure efficient software sourcing.

Human Resources

HR benefits by ensuring employees are equipped with necessary, licensed tools, streamlining onboarding and user provisioning.

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SaaS Discovery Process

SaaS discovery provides a full, systematic view of software usage, enabling better cost management and risk control. Each step of the process includes scanning for new apps, evaluating for approval status, and tracking usage data.

Here’s a detailed breakdown:

Network Scanning

Discovery tools monitor network traffic to detect SaaS domains and unknown logins across the organization.

Expense Auditing

Corporate card and expense report reviews identify recurring payments to unapproved SaaS providers.

SSO and IAM Integration

Integrations with Identity and Access Management (IAM) reveal all SaaS accounts accessed by employees.

Application Cataloging

All discovered apps are documented with ownership, spend, and compliance details for better oversight.

Risk Assessment

Each app is evaluated for data security, regulatory compliance, and potential integration risks.

Renewal Alignment

Discovery insights sync with renewal calendars to streamline contract negotiations and budgeting.

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SaaS Discovery Benefits

SaaS discovery provides organizations with comprehensive insight into both authorized and unauthorized applications in use. This visibility is essential for identifying shadow IT, optimizing costs, and enhancing operational control. 

Here’s a detailed breakdown of SaaS discovery benefits:

Improved Security & Compliance

By uncovering all SaaS apps, organizations can detect and address shadow IT, reducing hidden security risks.

Cost Optimization

With full usage data, teams can eliminate redundant SaaS applications, freeing budgets for growth and innovation.

Operational Efficiency

A centralized SaaS inventory simplifies audits and reporting, providing instant certification records for compliance reviews.

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SaaS Discovery Methods

SaaS discovery methods help organizations identify and manage all cloud-based software in use. These methods support spend optimization, enhanced security, compliance, and operational efficiency.

Here’s a detailed breakdown:

Cloud Access Security Brokers (CASB)

Intermediary tools that monitor network traffic for SaaS activity, block unauthorized applications, and enforce security policies.

API Integrations

API connectors link with SaaS vendor portals to inventory applications, collect user, license, and usage data, and highlight optimization opportunities.

‍Browser Extensions

Extensions installed on user browsers capture real-time interactions with SaaS domains, tracking usage and flagging risky or unsanctioned applications.

Single Sign-On (SSO) & Identity Providers

Reviewing SSO and authentication logs exposes all applications accessed using corporate credentials.

Financial Records and Expense Analysis

Auditing expense reports, procurement systems, and accounts payable reveals subscriptions and app spend, including hidden or shadow SaaS.

Web Proxies and Traffic Analysis

Monitoring outbound web traffic through proxies uncovers SaaS access patterns across the network, flagging both authorized and unapproved tools.

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SaaS Discovery Best Practices & Examples

Applying structured practices ensures SaaS Discovery delivers value through visibility, efficiency, and security. Here’s a detailed breakdown:

Integrate Discovery Platforms

Use tools like CloudEagle.ai to centralize app detection, risk scoring, and spend analysis.

Update Inventories Monthly

Maintain real-time app catalogs to ensure accurate budgets, audits, and compliance reviews.

Cross-Functional Collaboration

Engage IT, procurement, and finance to align discovery efforts with budgeting and risk mitigation.

Leverage Risk Scoring Models

Rank apps by security, spend, and redundancy to prioritize reviews and vendor negotiations.

Automate Renewal Alerts

Sync discovery data with SaaS renewal management to prevent surprise renewals or overspending.

Document Findings

Maintain clear records of discovered apps, costs, and risk levels for audit readiness.

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SaaS Discovery Conclusion

SaaS Discovery ensures organizations maintain visibility into their software ecosystem, avoiding risks and wasted costs. It empowers IT and finance teams to control shadow IT while improving compliance and operational efficiency.

By automating detection and centralizing vendor data, companies can optimize budgets and strengthen governance. Proactive discovery transforms SaaS sprawl into an organized, cost-effective, and secure technology environment.

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SaaS Discovery CTA

Request a demo and see how cloudeagle.ai helps you with SaaS discovery. 

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SaaS Discovery FAQs

How to run a SaaS discovery call?

SaaS Discovery calls involve gathering requirements, identifying pain points, and mapping tools in use. This step helps sales or IT teams recommend optimized solutions based on actual application usage and gaps.

‍What does SaaS stand for?

SaaS Discovery focuses on Software-as-a-Service, a delivery model where software is accessed online via subscription. Discovery identifies all such tools in use across the organization for better oversight and management.

What are the 5 key security elements of the SaaS model?

SaaS Discovery highlights the five elements: encryption, identity access controls, compliance certifications, secure hosting, and monitoring. These factors protect organizations using cloud-based tools from breaches or regulatory risks.

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