Traditional software licensing typically involves a one-time purchase through which the customer buys the perpetual right to use the software, which is then installed on infrastructure controlled or provided by the customer. SaaS, on the other hand, is generally subscription- or term-based, with the software hosted by the provider and accessed by the customer via the internet or other remote means.

These differences impact not only how the software is accessed and used but also the associated legal terms of use. Transitioning to a SaaS model means shifting from a product- to a service-based approach, requiring adjustments in the legal framework that governs the use and access to the software.

IT sprawl occurs when an organization loses track of its IT resources. The result is redundant software tools, underutilized licenses, unapproved applications used by employees and outdated or unsupported systems lingering in the IT ecosystem. Software-as-a-service (SaaS) sprawl, a subset of IT sprawl, specifically refers to the unchecked spread of SaaS applications. It often starts innocently, with teams adopting new cloud-based solutions to address immediate needs, then escalating to overlapping functionalities, wasted resources and increased vulnerabilities.

The swift shift to remote work left many organizations scrambling to band-aid IT to simply keep things running, but it left those companies with a shadow IT hangover. While productivity and IT flexibility are good, organizations—specifically small- to medium-sized enterprises (SMEs)—risk weakening their security posture and compliance while wasting budget without central visibility into all of the resources employees are using.

The problem is growing. Gartner estimates that 41% of employees acquired, modified or created technology outside of IT’s visibility in 2022. By 2027, 75% of employees are expected to have done so. It’s worse for SMEs; Capterra reports that 57% of them estimate they have high-impact shadow IT within their walls today.

IT sprawl impedes operational efficiency. Teams waste valuable time navigating between multiple applications, some of which may have overlapping functionalities. Such redundancy hampers productivity and inflates costs as organizations find themselves paying for underutilized or unnecessary software subscriptions.

From a security perspective, too many applications and tools broaden an organization’s attack surface. Bad actors, now armed with AI, can target every unmonitored application or device. Without full visibility and control, IT teams can’t enforce consistent security policies or detect breaches, risking data leaks and compliance violations.

Today’s college students expect to at least have the option to learn online, and 70 percent even express a preference for doing so over in-person learning, according to the University of the Potomac. This evolution in higher education, along with the ability of students, faculty and staff to use their own devices, has led to an increased need for a single platform or management program from which to control software. This is even more important due to the staff recruitment and retention challenges IT teams face, especially in the realm of security and privacy.

SAM programs ensure software on all devices is university-approved and being used securely and efficiently.

Beyond security, there are a variety of other benefits — financial, logistical and even safety — that come with investing in a school or software asset management program. However, an EDUCAUSE poll showed that institutions aren’t using these programs to the extent they could. Just 1 in 4 institutions reported using a SAM program, according to survey data released in December 2022.

Paige Johnson, vice president of education marketing at Microsoft, which offers the asset management program Intune, says there are a few possible reasons for the lack of adoption. Some management tools, for example, address only the needs of commercial customers, rather than education-specific apps such as learning management systems and discipline-specific software. Others might not see a net positive financial cost-to-benefit ratio, though Johnson says “Intune also provides benefits that far outweigh the costs, and often moving to cloud management offers significant cost savings versus traditional on-prem management products.”

Here are some benefits higher education institutions might enjoy.

Software asset management (SAM) is an online system that allows users to consolidate their software licenses, patches, inventory, and metering in a comprehensive, all-in-one hub. Essentially, this kind of platform can help you manage your online IT infrastructure across multiple devices, systems, and servers.