Ready to embrace Everything-as-a-Service? Prepare to assume more risk

As-a-Service offerings are exploding in the enterprise, unleashing an unprecedented wave of consumer-friendly applications and services. However, buyers of these services are often surprised that it is them, not the provider that assumes the risk for success.

It’s a common occurrence today: a SaaS provider wows a business unit with its comprehensive features, embedded analytics and native iOS and Android apps. The next-generation application solves huge problem for business line leaders and everyone is ready to begin a fruitful three-to-five year partnership.

However, when the pocket-sized Master Services Agreement (MSA) hits the desk of procurement and legal, one of two things happens: the business goes rogue and uses internal leverage to get the contract signed against the will of procurement or legal, or the process comes to a screeching halt, and nothing gets signed.

Why does this happen?

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About the author

Stanton helps enterprise IT and sourcing leaders rationalize and capitalize on emerging technology opportunities in the context of the global sourcing industry. He brings extensive knowledge of today’s cloud and automation ecosystems, as well as other disruptive trends that are helping to shape and disrupt the business computing landscape. Stanton has been with ISG for more over a decade. During his tenure he has helped clients develop, negotiate and implement cloud infrastructure sourcing strategies, evaluate and select software-as-a-service platforms, identify and implement best-in-class service brokerage models, and assess how the emerging cloud master architecture can be leveraged for competitive advantage. Stanton has also guided a number of leading service providers in the development of next-generation cloud strategies. Stanton is a recognized industry expert, and has been quoted in CIO, Forbes and The Times of London. You can follow Stanton on Twitter: @stantonmjones.