As Indian enterprises increasingly adopt Software-as-a-Service (SaaS) solutions to drive digital transformation, 75% of those that have done so since 2020 have faced implementation delays, leading to an average timeline overrun of 57% and a cost overrun of 43%, according Zoho-IDC.
The duo launched a report titled ‘IDC State of SaaS Adoption in India Survey 2024’, and said that these setbacks have resulted in an average loss of Rs 5.6 crore in missed business opportunities. The study also highlights that delays have affected employee productivity, customer experience, and overall competitive positioning.
“The ability to deploy SaaS solutions efficiently is no longer just an IT priority—it is a business necessity,” said Sharath Srinivasamurthy, Associate Vice President, IDC India. “Long deployment cycles escalate costs, slow down innovation, and reduce market responsiveness. Enterprises need a strategic approach—one that integrates automation, contextual intelligence, and development tools—to accelerate implementation and unlock SaaS value faster.”
Business Impact of SaaS Implementation Delays
The study found that 92.5% of Indian enterprises acknowledge timely implementation as crucial, while the remaining consider it somewhat important. Among the key challenges, 67% of enterprises reported increased costs due to extended deployment timelines.
Additionally, 53% indicated that delays hindered digital transformation, slowing down innovation and business growth. The study further revealed that 48% of enterprises experienced customer dissatisfaction, while 46% faced revenue losses and missed business opportunities.
Financial and accounting (F&A) solutions witnessed the highest cost overrun at 60%, with 66% of enterprises adopting them. Overruns in F&A have led to delays in critical business processes such as invoicing and payment processing, resulting in financial penalties and non-compliance risks, thereby driving up costs.
The study highlights that customer experience solutions were the most implemented post-pandemic, with 87% of enterprises deploying them. However, these solutions faced an average 51% timeline overrun.
Key factors contributing to implementation delays include project management inefficiencies (47%), unexpected integration or security challenges (38%), talent shortages (38%), and technical complexities within new solutions (38%). These challenges have slowed digital transformation efforts, escalated costs, and disrupted business processes, ultimately delaying the expected return on SaaS investments.
Platform-First Approach to Accelerating SaaS Deployments
To address these challenges, enterprises are increasingly adopting a platform-driven approach to SaaS implementation. This strategy enables faster deployments by leveraging automation, reducing customisation efforts, and ensuring seamless interoperability.
The study found that 59% of enterprises recognise automation and DevOps practices as key to shortening deployment timelines. By integrating advanced automation, organisations can minimise manual dependencies, reduce errors, and improve implementation speed.
Additionally, 53% of enterprises consider integrated developer platforms—including low-code, no-code, and pro-code capabilities—essential for overcoming customisation bottlenecks. These platforms empower business users and IT teams to build and modify applications quickly, eliminating delays caused by excessive coding and complex configurations.
Furthermore, 48% of enterprises emphasise the importance of plug-and-play solutions to accelerate SaaS adoption.
“At Zoho, we recognise that enterprises need technology that delivers immediate impact without prolonged deployment cycles,” said Mani Vembu, CEO, Zoho. “Our platform-first approach eliminates common implementation bottlenecks by offering deeply integrated applications, low-code extensibility, and AI-powered automation. This enables businesses to deploy solutions and go live faster, reduce implementation risks, and accelerate their digital transformation efforts.”
