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5 Benefits of Using Software Asset Management Tools for Your Business

5 Benefits of Using Software Asset Management Tools for Your Business

As a business, you are certainly aware of the number of software being used in daily operations. If you are not, a software asset management tool will do the work for you. 

A software asset management tool does not only keep a check on the number of software applications your organization uses, but it also helps you optimize their usage.

Did you know that a medium or a large-sized business uses more than 500 software applications every day? Given the importance of the cloud in expanding and defining the enterprise software portfolio, this is a cautious estimate.

Most businesses don’t have a clear picture of which software programs (cloud or on-premise) are being used across the organization. This is a major concern considering the amount of money spent on subscriptions. Spending on software continues to rise, especially in the cloud. The enterprise is rife with over-subscription and over-licensing. 

Functional redundancy is frequent in applications, services, and tools. Purchases made beyond master contracts are common, and they often come at the cost of previously agreed-upon pricing and discounts. As a result of irregular (or non-existent) software wealth management, businesses are paying significantly more on software than they should.

Software licensing compliance is a serious threat as well. Unintentional noncompliance is made easier by a lack of visibility into what software licenses the company owns, where they’re installed, who’s using them, how they’re being used – and how all of these elements relate to product usage rights.

Other concerns about asset management include: Is maintenance and support on autopilot? Is it possible to skip or reduce software support? How, on the other hand, are updates, upgrades, and fixes managed to safeguard the company from security threats?

With so much at stake, it’s no surprise that software asset management (SAM) is gaining popularity. In this article, we will talk about the five benefits of using software asset management tools for your business.

The good news is, there are ways in which SAM tools can be used to your advantage, and we’ll be looking at 5 of them:

1.Lower your costs

Businesses can save money by maximizing their software expenditures. When companies don’t know where their money goes or what software they already have, they frequently overspend on software assets. Appropriate asset management, also known as software asset optimization, is used by SAM tools to overcome this problem.

The procedure of assessing the current software requirement (number of users, software needed) with the existing licenses and license rights is known as software asset optimization. This procedure will detect cases of overspending and expose underutilized software licenses, allowing firms to eliminate unnecessary software.

2.Reduce the risk of penalties and software license audit

The more data you have about what’s being done, the better you’ll be able to defend it. SAM gives companies a complete picture of what’s installed, contract terms, and license inventory, allowing them to make smarter IT decisions regarding software deployment and use and save money.

According to Gartner, at least one audit request is received by 68% of firms each year. SAM technologies can help you avoid compliance problems.

Software license audits are becoming more common, as are the fines imposed by vendors. Clients’ lack of insight into the software estate and awareness of product jargon is used by vendors such as SAP, Microsoft, and Oracle. Strong SAM procedures and tools enable businesses to better evaluate how software assets are installed and used. 

Those who exhibit good SAM capabilities can lessen their chances of being audited for software licenses and prevent or reduce noncompliance penalty fees.

3.Optimize software licensing

The first step in streamlining licensing and subscriptions across your software portfolio is to have a robust software asset management system in place. It aids in the reduction of overbuying and over licensing, as previously mentioned. 

It also serves as a starting point for choosing the best-fit license types, ensuring optimum flexibility based on existing and future state regulations, and reducing the chance of cost-related surprises.

4.Enhance software security

Cybersecurity is a constant concern in today’s business sector. Outdated software is the weak spot that exposes your entire center to hackers.

For these problems, SAM is a quick and effective solution. 

However, when it comes to software security, it is important that you use the right tools. 
For instance, Zluri’s list of SAM tools will help you decide on one for your enterprise. The SAM tools mentioned in the list are among the best available in the market. They will enable you to run a regular assessment of all software assets, identify outdated software that requires upgrades, and remove software that is no longer useful.

5.Improve your asset utilization

The move to on-demand computing has caused businesses to reconsider how they use IT resources.

What is the current state of IT infrastructure and software? 

How many users and at what capacity? 

Are there any new or existing licensing or subscription schemes that would be more appropriate for the company’s current needs? 

Are there going to be licensing implications if you modify your virtualization approach or server infrastructure? 

These inquiries, as well as the cost modeling that goes with them, require efficient SAM tools and policies.

Wrapping Up

That’s all for this article. Hopefully, the aforementioned benefits will motivate you to get a software asset management tool for your organization. Remember, you cannot keep a track of and manage the hundreds of applications that your employees use daily. A software management tool will do the tough work for you. 

When properly understood and implemented, Software Asset Management can help your company get the most out of its software assets. All you need is a reliable partner to ensure that you are not overpaying for software licenses that you are using, decreasing the risk of legal ramifications.