To put it simply, SSO takes your initial login into a system (e.g., your laptop), encrypts it to ensure security (this procedure also goes under the name tokenization), and uses this token to gain access to all other systems in an automatic mode. In this case, you don't have to submit your username and password again.
By introducing this method into your SaaS solution, you get yourself a wide range of benefits. For example, tokens automatically expire, and you can revoke them centrally. When it comes to passwords, SSO technology does not share them with third-party service providers. What is more, password standards can be complex, since users need to type in the password only once a day. Also, users cannot apply one and the same password to access several services, which diminishes the risk of a single site hack.
Do not forget about central management of authentication, which means that your JML process will be streamlined. And last but not least — cost reduction and improved productivity since you will certainly see fewer requests for forgotten passwords.
As you can see, SSO integration is one of the best practices to monitor your SaaS applications and obtain detailed and actionable insight into their usage.