Question: "We are a medium-sized company and we’ve acquired many different programs from several different vendors over time, to the point that it’s become difficult to keep track of everything. I’m worried about being caught with too few licences, but I also suspect I’m over-paying on other software titles. Is there a way to make licensing accurate without becoming time-consuming?" - Jeremy, Manchester

Answer: Hi Jeremy. You’re by no means alone - keeping track of software is a problem facing companies large and small as they become ever-more reliant on technology to make them competitive. First let me put your mind at rest. Despite all the media coverage over penalties for breaching software licensing regulations, I can assure you that most vendors like ourselves are more interested in helping customers get software management right than catching them out.

Hi Jeremy. You’re by no means alone - keeping track of software is a problem facing companies large and small as they become ever-more reliant on technology to make them competitive. First let me put your mind at rest. Despite all the media coverage over penalties for breaching software licensing regulations, I can assure you that most vendors like ourselves are more interested in helping customers get software management right than catching them out.

Let’s face it, what company doesn’t know how many vehicles it has and who’s using them? There’s no reason why the same shouldn’t apply to software. By managing your software assets effectively, you not only achieve compliance, but also complete visibility of your estate - with cost savings to boot.

Disconnect over accountability

Yet somewhat worryingly, a recent survey by KPMG found that 86% of organisations lack even basic software management practices, a finding reflected in similar research by IDC on behalf of Microsoft and the Software Industry Research Board (SIRB). Whilst most businesses believe they have their software under control, the research showed that very few are managing it adequately and most still have a long way to go.

Our findings also highlighted a disconnect within many companies over the resourcing of software management and whether the responsibility rests with IT, the Finance department, the CEO or A. N. Other. In our view, the accountability for managing an asset as important as software should be at board level, but typically it happens from the bottom up. This inevitably leads to issues over mis-licensing and can inadvertently land a company in trouble if it suddenly finds itself subject to an audit.

Risks from inadequate control

There are plenty of reasons to avoid disorganised licensing. Many companies also fail to realise that inadequate control of software assets can damage their reputation, as well as their finances, if they’re found to be under-licensed. It can leave you exposed to the risks of counterfeit software, such as downtime, viruses, security breaches and loss of data. Besides which, being caught with non-compliant software is likely to weaken the trust customers and other stakeholders have in you to exercise control in other areas.

What’s more, in these belt-tightening times, can any of us justify over-spending on software that isn’t being used? ‘Shelfware’, as it’s known, is a pointless drain on company resources, whereas knowing what software you have and how it is (or isn’t) being used can save you money, help you plan more effectively, and increase your efficiency.

SAM offers significant savings

This is where effective Software Asset Management (SAM) has a crucial role to play. Indeed, analysts Gartner have found that businesses who invest in a SAM programme save up to 30% of their total IT budget in the first year, and 5-10% in every subsequent year. KPMG also estimate businesses can save as much as 50% on IT labour costs by proactively managing their software assets.

Administered through a four-stage programme, SAM is a set of best-practice processes designed to give you a much better handle on the software you own, how you’re deploying it, what you’re not using, and any upgrades for which your company is eligible.

Getting started with SAM

For mid-sized companies with limited IT resource and skills, we recently introduced the SAM Optimisation Model, a framework based on the ISO/IEC 19770-1 standard and the Microsoft Infrastructure Optimisation (IO) Model that breaks software management down into a series of manageable steps.

It begins with a questionnaire - based on 10 SAM key competencies - to assess the maturity level of your software management practices. It then provides you with actionable recommendations and a roadmap for improvement.

Working alongside this is the SAM Programme a self-start programme designed to help mid-sized companies manage their licences correctly and remain compliant in Microsoft products. Let me tell you how this works.

The programme is carried out by one of our network of Partners specialising in SAM who will conduct a review (based on the SAM Optimisation Model mentioned earlier) to identify what’s on your software estate and to clear up any inconsistencies. We will then issue you with what’s called an ‘Effective License Position’ and a certificate acknowledging compliance and freeing you from unsolicited audits for 12 months. The programme also entitles you to free training and consultancy sessions with the Partner.

The programme is designed to put you in control and give you the peace of mind of knowing you’re not uneconomically over-licensed or illegally under-licensed. It also arms you with the necessary information to reassign software that isn’t being used to somewhere else where it will be, and helps you predict future software needs. It means you’ll know exactly what you have, who’s using it, and how often.

Take control today

Even though you can’t ‘see’ it, software is one of your most valuable assets; so it’s important to know what you have in order to make it work effectively for you. To this end, SAM enables you to manage, control, and protect your software throughout its lifecycle.

Hopefully, I’ve also convinced you that SAM isn’t just about compliance or audits, but equally about improving your IT infrastructure and saving costs. Taking control of your software assets is something you shouldn’t put off and, with the right support, managing your licences can be straightforward. Once you have the processes in place and SAM becomes part of your everyday business practice, you’ll find everything gets much easier.

You can learn more about the Microsoft SAM Programme at: www.microsoft.com/uk/licensing/sam
The site features many useful resources such as:

  • A free Microsoft software inventory and ROI tool
  • SAM case studies
  • Where to go for more detailed SAM guides
  • More about SAM Partners

The Microsoft SAM Programme

The Microsoft SAM Programme is a set of continuous business processes for managing and protecting your software throughout its lifecycle. It can turn an area of potential concern into an area of confidence by helping you:

Regain control of your systems:

  • Reducing technology conflicts and increasing stability
  • Identifying what licences you have and reducing redundancy
  • Clarifying what software you really need.

Increase efficiency:

  • Improving system, user and help-desk performance
  • Helping prepare with backup and recovery plans
  • Implementing infrastructure optimisation and standardisation.

Reduce risks:

  • Protecting and securing your IT environment
  • Minimising security threats and preventing unauthorised software downloads
  • Stop worrying about compliance and over-licensing.

Good luck. If you need further help, I recommend you contact your nearest Microsoft Partner who will be able to give you plenty more advice.

--Sam.

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