SaaS License Management

  • Release version: Yokohama
  • Updated December 4, 2025
  • 2 minutes to read
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    Summary of SaaS License Management

    SaaS License Management in ServiceNow helps organizations manage cloud-based software subscriptions effectively as part of Software Asset Management (SAM). It enhances ownership, visibility, agility, and accountability, enabling improved cost control and resource optimization. The focus is primarily on Direct SaaS applications—cloud-hosted services accessed via browser or app without local installations.

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    Key SaaS Subscription Models

    • Hybrid SaaS: Combines on-premise installations with cloud subscriptions, suitable for offline access and compliance requirements. Supported integrations include Adobe Cloud and Microsoft 365.
    • Direct SaaS: Fully cloud-hosted applications accessed online, ideal for easy deployment and remote teams. This is the primary focus of the application.

    Managing Direct SaaS with SaaS License Management

    Management approaches vary depending on integration needs and available APIs:

    • Direct Integration: Offers automated license reclamation and detailed usage insights for supported vendors, reducing manual efforts.
    • SaaS License Connections: Provides a low-code, flexible framework to connect any SaaS app with a public API via Integration Hub and Workflow Studio.
    • SSO Integration: Connects through Single Sign-On providers (e.g., Okta, Microsoft Entra ID) to identify overlapping software and reduce SaaS sprawl, improving cost control and simplifying user access management.

    Practical Setup and Usage

    • Request the Software Asset Management - SaaS License Management plugin (snsamsaasint) to enable integrations with SaaS and SSO applications for tracking and reclaiming licenses.
    • Large companies should configure SaaS License Management to consolidate SaaS usage data within ServiceNow.
    • Utilize the SaaS Overview dashboard to monitor subscription usage, costs, and compliance for SaaS and SSO applications.
    • Create integration profiles to collect software usage data and optimize license utilization, including multiple profiles via child aliases for applications like Cisco Webex, Confluence Cloud, and Jira.
    • Use the SaaS playbook for step-by-step guidance on integrating SaaS applications from start to finish.
    • View and manage all SaaS and SSO subscriptions, applying reclamation rules to cancel unused licenses and reduce expenses.
    • Map users to subscription records to ensure accurate tracking within the ServiceNow AI Platform.
    • Disconnect or delete integration profiles when applications are no longer in use to maintain accurate license records.
    • Manage subscription identifiers to resolve and maintain accurate SaaS and SSO subscription data.

    Benefits for ServiceNow Customers

    • Gain comprehensive visibility and control over SaaS license usage.
    • Automate license management processes to reduce manual effort and prevent overspending.
    • Optimize software costs by identifying and reclaiming unused licenses.
    • Leverage flexible integration options tailored to organizational requirements and existing infrastructure.
    • Streamline user access and SaaS application rationalization through SSO integration.

    SaaS License Management helps organizations track and control cloud-based applications and service subscriptions as part of Software Asset Management (SAM). It promotes ownership, visibility, agility, and accountability, enabling better cost control and efficient use of resources.

    SaaS subscription models

    SaaS applications and services are typically subscribed to on a per-user basis. They generally fall into two categories:
    • Hybrid SaaS
      Hybrid SaaS combines on-premise installations with cloud-based subscriptions. It’s commonly used by organizations that require offline access to certain applications while also using cloud features for collaboration. This model is also suitable for businesses with compliance requirements that mandate local installations. For example, a Microsoft 365 subscription enables you to access cloud services and install applications like Microsoft Excel on their devices. SAM supports the following Hybrid SaaS integrations:
    • Direct SaaS
      Direct SaaS refers to applications where all data and functionality are hosted in the cloud and accessed through the internet. You typically log in via a web browser or a dedicated app without installing software locally. For example, a Miro subscriber accesses the application entirely online. This model is common for organizations that prioritize ease of deployment and minimal maintenance, and for teams that work remotely or across multiple locations.
      Important:
      This topic focuses on the Direct SaaS category. It explains how to get started, identifies areas where Direct SaaS can be applied, and outlines ways to use available solutions and workflows effectively.

    Managing Direct SaaS with the SaaS License Management application

    Managing Direct SaaS applications can vary based on organizational needs. The best approach depends on factors such as the level of integration required, available APIs, and whether Single Sign-On (SSO) is in place.
    • Use Direct Integration when you need deep usage insights and automated license management for supported vendors.
    • Use SaaS License Connections when you want flexibility to connect any SaaS app with a public API and prefer a low-code setup.
    • Use SSO Integration when you need visibility into apps connected through an SSO provider and want to address SaaS sprawl.

    For more information about installing SaaS License Management, see Request SaaS License Management.

    Flowchart to guide through SaaS license management
    Table 1. Approaches to manage your SaaS applications
    Option Key features Benefits
    Direct Integration
    • Base system or default direct integrations
    • Automated license reclamation
    • Provides detailed usage insights
    • Automates license management
    • Reduces manual effort
    SaaS License Connections
    • Connect to any SaaS application with a public API
    • Low-code framework using ServiceNow® via Integration Hub and Workflow Studio
    • Flexible for any SaaS application
    • Customizable workflows
    SSO Integration
    • Connect via SSO providers such as Okta and Microsoft Entra ID.
    • Download the list of applications or users
    • Identify overlapping software and rationalize applications
    • Helps tackle SaaS sprawl
    • Improves cost control
    • Simplifies user access management