Clicking instead of coding: How medium-sized companies halve their IAM costs
Why traditional IAM projects regularly go over budget
A Bavarian mechanical engineering company planned 180,000 euros and an eight-month project duration for its IAM project. After 16 months, the bill stood at 420,000 euros and the system was still not running satisfactorily.
This scenario is repeated regularly in German companies. While the threat situation is becoming more critical and identity management is becoming a business priority, traditional IAM projects are becoming significant cost drivers.
Consulting-intensive approaches as a cost trap
Traditional IAM implementations begin with extensive consulting phases. External consultants carry out detailed requirements analyses, document individual requirements and develop customized solution concepts.
The result: every system integration becomes an individual project. SAP connections require custom development, Active Directory integrations need special adapters, HR systems need individual interfaces. After the first year, the costs are often over 420,000 euros instead of the planned 180,000 euros.
With No-Code IAM, this process is reduced to three weeks of productive implementation for an investment of 51,000 euros. A part-time IT administrator can configure the ready-made templates and connectors. This corresponds to a cost saving of around 70% and a time reduction of 87%.
Maintenance costs as a long-term burden factor
However, the real costs arise after implementation. Traditional IAM systems require continuous maintenance by specialists. Annual maintenance contracts amount to 20-25% of the original acquisition costs. Updates become complex integration projects, as each individual development must be checked for compatibility.
A medium-sized company can have costs of over 600,000 euros for its IAM system over five years – without significant increases in efficiency.
This is precisely why standardized solutions have a long-term advantage: they significantly reduce maintenance costs, as updates can be carried out more easily and without costly reworking. Individual adaptations, on the other hand, increase the risk of malfunctions and security vulnerabilities with each new version and mean that companies often remain on outdated system versions.
No-code IAM: Systematic cost reduction
No-code identity & access management solutions offer an alternative approach. Instead of individual developments, companies use preconfigured but customizable systems with standardized connectors.
Example calculation for a medium-sized service provider
Traditional approach:
- Consulting: 75,000 euros (6 months)
- Software license: 120,000 euros
- Integration & customizing: 95,000 euros
- Training: 15,000 euros
- Project management: 25,000 euros
- First year: 400,000 euros
No-code approach:
- Consulting: 8,000 euros (1 week)
- Software license: 35,000 euros
- Configuration: 5,000 euros
- Training: 3,000 euros
- Implementation: 4,000 euros
- First year: 55,000 euros
Cost difference: 345,000 euros
The direct project costs only represent part of the total costs. Opportunity costs due to tied-up IT resources, change resistance due to complex adaptation processes and compliance risks due to manual processes increase the total costs considerably.
Compliance requirements as a cost factor
According to the DLA Piper study “GDPR Fines and Data Breach Survey” (January 2025), Germany has imposed fines totaling 89.1 million euros since the GDPR came into force. The study shows that German data protection authorities place particular focus on breaches of integrity and confidentiality as well as the security of data processing.
Traditional IAM systems require manual compliance processes. Authorization reviews become time-consuming projects and audit trails have to be compiled manually.
No-code IAM systems integrate compliance functions as standard: automatic audit trails, policy-based authorization assignment, continuous monitoring and audit-proof documentation.
Future-proof through continuous further development
No-code technology is constantly evolving. Current developments such as AI-based authorization recommendations, automatic anomaly detection and self-learning access policies reduce operating costs while increasing functionality.
Conclusion: Strategic realignment required
The analysis shows: No-code IAM not only offers cost savings of 60-85%, but also shorter implementation times, greater system flexibility and integrated compliance functions.
In a market environment where operational efficiency and cyber security determine competitiveness, the switch to no-code IAM solutions is a strategic necessity.
