An Introductory Guide to Software Asset Management


New to Software Asset Management (SAM)? This guide to managing software assets, written for beginners, will help you see the cost reduction benefits of your business strategy.

You are in the evening talking to people you meet for the first time. You introduce yourself and explain what you are doing: “I work in the area of ​​software asset management, SAM. The people you talk to first look hesitant when they hear the expression, before asking, “What exactly is software asset management?” So where do you start? Couldn’t we indeed discuss an easy topic? There I have 30 seconds to capture the interest. I just hope they have at least 30 minutes!

If you work in SAM, you know this feeling and the fear of having to explain what you are doing. If there was a term to refer to it, it would probably be something like “evening licensing damage.” “

So what to say when “I work in SAM” is not enough?

What is software asset management?

Software asset management is the branch of IT Asset Management (ITAM) that deals with software licenses. Like any physical asset, software must be managed. Physical assets such as furniture wear out, need to be replaced, moved, repaired, etc. The software asset management is no different. Software licenses must be renewed, renegotiated and disposed of.

Software licenses determine what a company can do with the software: the number of people who can use it, the number of devices on which it can be installed, the location of the installation, the mode of access, etc. It is therefore essential that a business has the correct licenses to meet its needs and that it ensures that these software licenses are optimized and used efficiently.

Defense against software auditing

Unlike broken office furniture that just takes up space for nothing, poorly managed licenses can cost you money. One of the reasons for implementing a SAM strategy is to guard against software audits. The software vendors such that IBM, Microsoft, Oracle and SAP have the right to practice an audit of a computing environment to ensure that the company complies with the license conditions.

This is referred to as “software license compliance”. If a company is not in compliance during an audit it can be fined, sometimes up to 1.5 times the amount of maintenance costs. This can reach sums in excess of tens of millions of dollars – a budget explosion that could cripple the business. And compliance is only one of the reasons why companies “practice SAM”.

Optimization of software licenses

While SAM can save you an audit and save you huge sums of money, it goes way beyond compliance. Software license optimization allows you to have the most advantageous licenses according to your needs, and not to pay too much for licenses that your users do not need.

  1. control of change management;
  2. audit preparation procedures and risk protection;
  3. pruned contracts and regularizations;
  4. license recovery and redistribution;
  5. Integration into the ITSM system for license applications.

A strong software asset management strategy helps you plan and organize your software purchases, optimize your license usage, and strengthen your negotiating or renewing power with vendors. Its spinoffs go well beyond the IT field. Thus, SAM is not only the priority of the IT department: it is an essential tool for the company, for cost reductions at all levels.

The SAM: convince in 30 seconds

So how do you sum it all up in just a few words? Try this at your next dinner or party: Eco Docs Software asset management refers to the business strategy focused on monitoring and optimizing a critical operational resource – software. All businesses need software. SAM is simply a healthy diet and fitness program … for business.

This article is published by the Starlinks which one of the top digital marketing solution in Australia.


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