rise of IT as a Service: flexibility, cost savings, and better governance

Enterprise technology is undergoing a fundamental shift. As organisations face increasing digital complexity, fluctuating workloads, cost pressures, and stricter compliance requirements, traditional IT operating models are proving inadequate. In response, IT as a Service (ITaaS) has emerged as a more adaptable and business-aligned approach to delivering technology.

Industry analysts call this shift a step toward “everything as a service (XaaS),” where consumption-based models replace capital-intensive infrastructure and rigid delivery structures. Here, IT becomes a service broker. It delivers on-demand capabilities that align directly with business outcomes. For businesses dependent on flexible integration, analytics, automation, and workflow orchestration, ITaaS enables digital agility and operational excellence.


what is IT as a Service?

ITaaS is a delivery model in which IT resources — infrastructure, platforms, applications, or operations — are offered to business units as standardised services. They are typically accessed through self-service portals and governed via centrally defined catalogues. Rather than owning/managing individual assets, organisations subscribe to the services they need, with consumption measured, monitored and billed transparently. This approach accelerates the shift from IT as an operational function to a strategic service provider, allowing organisations to support innovation at scale.

A practical and increasingly adopted version of ITaaS is Service Desk as a Service (SDaaS). Delivered through a cloud-based, outcome-driven framework, SDaaS provides consistent user experiences, faster incident resolution, and improved operational visibility.


flexibility and scalability for dynamic business needs

One of the strongest business cases for ITaaS is its ability to scale dynamically. This is especially important for organisations facing fluctuating workloads, high transaction volumes, or rapid digital transformation.

Through automation and self-service provisioning, ITaaS enables business teams to deploy environments, apps, data services, or compute capacity in minutes, not weeks. This is significant for environments where:

  • Process workloads fluctuate sharply
  • Automation pipelines require frequent iteration
  • System integrations must scale in real time

cost efficiency and predictable financial models

ITaaS’ financial advantages extend far beyond simple cost reduction. The shift from capital expenditure (CapEx) to operating expenditure (OpEx) introduces predictability, transparency, and improved ROI. Industry research highlights organisations adopting service-based models usually benefit from:

  • Lower upfront investment
  • Reduced operational overhead
  • Better alignment between spending and actual usage
  • Less waste from over-provisioned infrastructure

Global market research shows ITaaS adoption is accelerating, primarily driven by the need for cost efficiency and operational agility.

For organisations, the cost benefits are realised through reduced reliance on peak-load infrastructure, lower maintenance and integration efforts, faster deployment of new automation workflows, and operations enabled through self-service. Hence, organisations can enjoy greater financial flexibility and reinvest saved resources in areas like AI, analytics, and customer experience initiatives.


governance and compliance by design

Governance is often the greatest concern when organisations shift to consumption-based services. However, ITaaS is fundamentally governance-driven. Central IT teams maintain control through:

  • Policy-based provisioning
  • Standardised service catalogues
  • Unified monitoring dashboards
  • Automated access, usage controls
  • Compliance-aligned templates and architectures

ITaaS also supports consistent security baselines, structured data lifecycle management, automated risk and compliance reporting, and clearly defined service-level agreements (SLAs). So, organisations gain agility without sacrificing control/accountability.


from IT operations to value delivery

Perhaps the most transformative effect of ITaaS is how organisations perceive the role of IT. Instead of focusing on infrastructure management and ticket resolution, IT teams increasingly operate as service orchestrators, innovation partners, and strategic advisors.

Industry leaders feel this mindset shift is critical for digital-first enterprises. Delivering intelligent workflows, advanced automation, and AI-driven decisioning requires an IT foundation built for speed, modularity, and integration, all being inherent strengths of ITaaS.


trends shaping ITaaS’ next wave

AI-driven IT automation is reducing manual effort, improving SLA performance, and significantly lowering operational costs

Hybrid and multi-cloud strategies are allowing organisations to balance flexibility and governance across public, private and edge environments

Expanded self-service is enabling business units to provision tools and environments independently

Outcome-based consumption is allowing organisations to pay for results rather than infrastructure


ITaaS in practice

Across sectors, organisations are leveraging ITaaS to accelerate outcomes without infrastructure complexity. For example:

  1. Retailers can augment e-commerce innovation and personalisation.
  2. Banks can roll out secure digital channels at speed.
  3. Manufacturers can support smart factories and internet of things (IoT) integration.
  4. Healthcare providers can run secure, cloud-based clinical systems.

key challenges

However, ITaaS adoption requires careful planning. Organisations must:

  1. Manage cultural change as teams transition to service-oriented delivery
  2. Avoid vendor lock-in through interoperable platforms
  3. Maintain strong cost governance to prevent uncontrolled usage

ITaaS as engine of modern digital enterprises

ITaaS is no longer a future possibility; it is becoming the default IT operating model for digitally mature organisations. Able to combine flexibility, cost efficiency, and built-in governance, ITaaS empowers enterprises to build resilient, scalable, and innovation-ready digital ecosystems.

It allows organisations to elevate IT from a cost centre to strategic engine for innovation and growth. As digital demands intensify, organisations embracing ITaaS will be best positioned to accelerate transformation, optimise costs, and maintain competitive advantage.


how can Infosys BPM help?

The Infosys BPM Intelligent Service Desk is powered by ITIL V3 compliance and cutting-edge automation. We offer persona-based support, robotic process automation, proactive self-heal abilities, improved accountability, and analytics-driven problem management. We can help transform your IT service operations.