How can software asset management reduce IT costs and risks?
With prices increasing and budgets being slashed, finding cost savings is more vital than ever - we look at how SAM can help achieve this.
Published on 17th March 2023
In today’s digital age, software is an integral part of every business operation. However, managing software licenses, versions, and updates can be a complex and time-consuming task, leading to high IT costs and risks. Software asset management (SAM) is an effective solution to reduce these costs and risks, ensuring efficient use of software in an organization. This blog will discuss how SAM can help businesses reduce IT costs and risks.
What is software asset management (SAM)?
Software asset management (SAM) is the process of managing and optimizing the use of software within an organization. SAM involves a set of practices and strategies that enable businesses to effectively manage their software assets throughout their lifecycle, from procurement to disposal. SAM helps businesses to track their software licenses, usage, and compliance, reducing the risk of legal penalties and security breaches.
How can SAM reduce IT costs?
Avoiding Over-licensing
One of the significant ways SAM helps reduce IT costs is by avoiding over-licensing. Over-licensing is a common practice in businesses where companies buy more software licenses than they need, leading to unnecessary expenses. With SAM, businesses can keep track of their licenses and ensure that they have only the required number of licenses, saving money on unnecessary software purchases.
Identifying Unused Licenses
Another way SAM can reduce IT costs is by identifying unused licenses. Many businesses continue to pay for software licenses that are no longer in use, leading to significant financial losses. With SAM, businesses can identify unused licenses and eliminate them, saving money on licensing costs.
Optimizing Software Usage
SAM can help businesses optimize their software usage, leading to reduced IT costs. With SAM, businesses can identify the most frequently used software applications and optimize their usage, reducing the need for additional software purchases. SAM can also help businesses identify software applications that are underutilized and eliminate them, leading to significant cost savings.
Negotiating Better Software License Agreements
SAM can help businesses negotiate better software license agreements, leading to reduced IT costs. With SAM, businesses can keep track of their software usage and demonstrate their compliance with licensing agreements, allowing them to negotiate better licensing terms and pricing.
Reducing IT Support Costs
SAM can also help businesses reduce their IT support costs. With SAM, businesses can identify the most frequently used software applications and ensure that they are up to date, reducing the need for IT support. SAM can also help businesses identify software applications that are prone to errors and eliminate them, reducing IT support costs.
How can SAM reduce IT risks?
Ensuring Software License Compliance
SAM can help businesses ensure software license compliance, reducing the risk of legal penalties and security breaches. With SAM, businesses can keep track of their software licenses and ensure that they are compliant with licensing agreements, avoiding the risk of legal penalties. SAM can also help businesses identify unlicensed software, reducing the risk of security breaches and malware infections.
Identifying Security Vulnerabilities
SAM can help businesses identify security vulnerabilities in their software applications, reducing the risk of security breaches. With SAM, businesses can keep track of their software versions and ensure that they are up to date, reducing the risk of security vulnerabilities. SAM can also help businesses identify software applications that are prone to security breaches and eliminate them, reducing the risk of security breaches.
Reducing IT Complexity
SAM can help businesses reduce IT complexity, leading to reduced IT risks. With SAM, businesses can eliminate redundant software applications, reducing the complexity of their IT infrastructure. This reduces the risk of software conflicts and compatibility issues, leading to increased system stability and reduced IT risks.
Improving IT Governance
Supporting Disaster Recovery
SAM can also support disaster recovery efforts in the event of a system failure or cyber attack. With SAM, businesses can keep track of their software applications and licenses, ensuring that they have the necessary software to recover their systems in the event of a disaster. This reduces the downtime and financial losses associated with system failures, leading to a more efficient recovery process.
Conclusion
In conclusion, software asset management (SAM) is a valuable tool for businesses looking to reduce IT costs and risks. By avoiding over-licensing, identifying unused licenses, optimizing software usage, negotiating better licensing agreements, and reducing IT support costs, businesses can save money on software expenses.
Meanwhile, SAM’s ability to ensure software license compliance, identify security vulnerabilities, reduce IT complexity, improve IT governance, and support disaster recovery efforts can help reduce the risk of legal penalties, security breaches, IT failures, and financial losses. Implementing SAM can be a complex process, but the benefits in terms of cost reduction and risk management are well worth the effort.
