Businesses 'must view software as an asset' rather than a cost 

A poll of 600 companies by research firm IDC showed that around 90 per cent of organisations need to significantly improve their Software Asset Management (SAM). This position is supported by a recent SAM study of multinational clients by PA Consulting Group that showed there were only "pockets" of good practice in the UK. The study found that companies are wasting resources because they are failing to view software applications as revenue-generating assets that must be managed in the same way as PCs, servers and telephones.

Companies with insufficient SAM practice are not only wasting resources but they are also at risk of receiving regulatory fines. For example, Computing, a specialist IT news website in the UK has highlighted the latest penalty levied by the Business Software Alliance against a Scottish travel agency for using an unlicensed version of Adobe packages and underlies the importance of proper oversight.

Paul Weir, PA’s Software Asset Management expert agrees that “in the current business environment, organisations need to take every opportunity to reduce costs, minimise risk and maintain their competitiveness. However, the majority are falling well short on software compliance, not only does this increase their risk but they are also missing out on potential cost savings of up to 30%.“

Weir concludes “it should be remembered that maintaining software compliance while minimising cost across large organisations can be complex. so it is vital they have access to information about licensing options and the best negotiating stances to take with vendors.”

To understand how your organisation can save money as reduce risk through effective SAM, please contact us now.