Gartner research revealed that worldwide IT spending is projected to total $3.9 trillion in 2021, an increase of 6.2% from 2020. With the continuing adoption of cloud computing, much of this software will be Software-as-a-Service (SaaS); particularly as SaaS software can be purchased with ease by employees outside of the IT department. With so much software deployed – both in the cloud and on-premise – it is increasingly difficult for organizations to keep tabs on the applications installed.
According to Gartner, companies can reduce their software expenditure by up to 30% through simple, but effective, software portfolio management and optimization. Effective software asset management (SAM) can provide businesses with detailed insight into all the applications currently in use so they can identify redundant applications and eliminate any that are not needed.
This level of transparency not only empowers businesses to make informed decisions on the software they use, but also ensures they are better prepared for licensing renewals and impromptu audits – particularly to avoid costly penalties! A further benefit of software asset management is that it enables organizations to identify unauthorized and outdated applications, which can expose organizations to security risks. With an extensive overview of the software in use, including the version and patch level, organizations can recognize which applications are no longer supported by the supplier’s in-built protection; allowing them to identify vulnerabilities and risks, and take preventative action to strengthen information security.
“It’s unsurprising that worldwide IT spending is set to increase, as companies can’t afford to compromise on digital after the last 12 months that we’ve all experienced. In our hybrid world, enabling remote work, remote learning and increased online consumer services is central, all of which require tech spend. The good news is this urgency means IT departments won’t have to convince the board to invest - most have bought into the need for digitalization.”
Cloud Demands Greater Visibility
When all applications were run on-premise, it was easier for organizations to keep track of the software used, but this is no longer the case; companies are increasingly migrating workloads to the cloud. Gartner forecasts that, “…by 2022, up to 60% of organizations will use an external service provider’s cloud managed service offering, which is double the percentage of organizations from 2018.
Without deep visibility into the software running on their cloud platform, businesses are exposing themselves to both security risk and unnecessary costs. As a result, it’s essential that organizations have the ability to monitor which employees are accessing which applications, and for what purpose. By monitoring their IT estate, companies can also track the performance of the platform and intervene to minimize outages, should bottlenecks occur.
Understanding the Impact of Migration
This ability to track which employees are running what software is essential, because moving applications from an on-premise environment to a cloud platform can drastically affect the licenses required. For instance, many End User Licensing Agreements (EULAs) prohibit the use of a program in a public cloud environment.
Without visibility into where applications are being used, an organization may be at odds with the licensing agreements without even realising, and find themselves obliged to repurchase the correct license at significant expense.
1. We optimize software costs by providing comprehensive visibility into the programs and licenses in use. This enables companies to avoid unnecessary purchases, cancel or reassign unused licenses and adapt subscriptions to usage.
2. We provide detailed data on cloud consumption, broken down by employee and department. This data can be used to create a forecast of cloud usage so companies can make an accurate projection of future costs, and budget effectively.
3. Finally, we enable organizations to manage the applications an employee can access, to bolster security. Our support also allows organizations to check the performance of the cloud itself to improve availability and to optimize efficiency.