Whatever business you’re in, it’s reasonable to assume that software powers your day-to-day operations.

So as the end of year approaches, now is an ideal time to look at all of your software-related assets through a critical lens and ask whether or not you’re getting your money’s worth.

As software as a service (SaaS) tools continue to gain more popularity with businesses, it's only natural that on-premises, perpetual license software will decline in usage. That's already resulting in significant changes for information technology (IT) departments in many companies. For example, technology managers recognize that they will need staff with different skill sets, new infrastructure to support cloud-based technologies, and a complete overhaul of their processes to support their evolving mission. Here are the most significant ways that SaaS is transforming IT departments.

Hiring for Different Skill Sets

Traditionally, IT staff have been expected to possess highly technical skills because workers needed to be able to manage and configure on-premises software and servers. However, since cloud-based servers require less technical expertise, IT departments need fewer computer science graduates with programming and database management skills. Instead, technology workers need more proficient in business analytics and savvy decision-making skills. As more companies transition to SaaS, it becomes more about creating business processes based on what the technology can effectively support, as opposed to customization, because that's how it's always been done. Therefore, IT departments will likely hire an increasing number of business graduates - and fewer computer science grads - in the future.