From efficiency to excellence

: AI’s strategic role in scaling SaaS startup operations

Abstract

The Software-as-a-Service (SaaS) industry is projected to grow significantly in the coming decade. However, many startups face challenges in maintaining operations and meeting investor expectations. This thesis primarily investigates the role of Artificial Intelligence (AI) in achieving Operational Excellence (OE) within SaaS startups. It additionally considers the startup ecosystem by examining how such AI adoption influences venture capital (VC) investment decisions. Through qualitative interviews with entrepreneurs and investors, the study explores how AI-driven technologies can improve workforce capabilities, strengthen customer relationships, optimize operational processes, and accelerate product innovation. The findings reveal that AI’s influence goes beyond mere efficiency. When strategically integrated, AI fosters a more adaptive, datadriven, and customer-centric operational environment, allowing startups to better align their offerings with market demands. This operational maturity resonates with VC investors, who are increasingly recognizing AI-driven improvements in metrics such as customer acquisition cost and customer lifetime value as strong indicators of scalability and long-term potential. By clarifying the pathways through which AI supports OE and influences investor perceptions, this study enriches the theoretical framework surrounding technology-enabled entrepreneurship. Additionally, it provides valuable guidance for SaaS founders and investors aiming to harness AI as a strategic advantage in a fast-changing digital landscape.

Date of Award	4 Feb 2025
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	René Bohnsack (Supervisor) & Margarita Oja Da Silva (Supervisor)