Software Asset Management – suggested phased approach
The primary goals of the Software Asset Management process (abbr. SAM process) is to:
- Reduce IT costs (optimize spend),
- Limit operational, financial, and legal risks related to the ownership and use of software (ensure compliance and support software audits).
Both are achievable through management and optimization of software assets across their lifecycle (launch through to retirement).
SAM process objectives
Holistically, the objectives of the SAM process are:
- To reduce/eliminate unnecessary purchases by requests execution with the use of available entitlements,
- To identify and record all purchased software entitlements and associated allocations within the organization,
- To assign correct license metrics and supporting software contracts to the software entitlements,
- To create and maintain accurate software models, client access records, and software discovery models – these enable the establishment of entitlement compliance positions,
- To proactively identify cost saving opportunities through removal and re-use of unused software (where terms and conditions allow),
- To capture purchase order information that allow record cost of software entitlement,
- To accurately allocate available and acquired entitlements to users and devices,
- To ensure blacklisted or unlicensed software is not used to strengthen compliance posture against publisher rules and regulations,
- To expedite audit response and to avoid non-compliance fines and financial penalties,
- To provide accurate software asset information to other enterprise processes (e.g. Change Management), which enables business and financial decision making,
- To eliminate human system integration via email, spreadsheets, and tribal knowledge.
How to start optimizing your SAM
Recommended approach is to start by working with the publisher that represents the largest software spend in your organization. You should shift the focus towards the normalization of software products that are licensable.
SAM and Capability Blueprint
Capability blueprint is a good practice for implementation and development of Software Asset Management program:
- Tier 1 – Trustworthy Data
Know what you have, so you can manage your assets. - Tier 2 – Practical Management
Improve management controls and drive immediate benefits. - Tier 3 – Operational Integration
Improve efficiency and effectiveness through integration with other process such as request procurement. - Tier 4 – Strategic Conformance
Achieve best in-class.
To ensure the expected benefits of the ‘improved’ Software Asset Management process are achieved:
- Articulate the expected benefits before the ‘improved’ process is defined,
- List down all the audit findings you should focus on in terms of the remediation,
- Translate the expected benefits into performance measures,
- Define metrics for each performance measure,
- While designing the improved process, ensure that the data needed to calculate each metric are captured during the execution of the process,
- Document the requirements for each metric,
- If possible, capture ‘as is’ performance metrics as a baseline for measuring improvements/benefits realized.
What KPIs and metrics to consider
- % of application installations which have not be used within the last 90 days,
- Number of installations of application which are unauthorized (blacklisted) for use,
- Value of unlicensed software identified and remediated,
- Cost paid arising from software licence audit findings per year,
SPOC can always support you in your in endeavour in setting the E2E Software Asset Management Process.
