How departments benefit from software license management

18 May 2020

Sean Robinson


As more technologies emerge, the need to understand exactly what software is being utilized throughout an organization grows. Managing software licenses has always been a challenge, but saving money by avoiding duplicate software deployments, over-licensing, and avoiding fines by staying compliant must stay top of the priority list for all businesses. For those in IT, the necessity of SAM is obvious, but for those outside of the department, it can be difficult to understand who else benefits from license management.

Understanding exactly what licenses an organization’s workforce is entitled to use, and the continued monitoring of that usage by the SAM team ensures compliance without over- or under-spending, but license management reaches out across the organization and touches all teams. Without knowing what is being used, an organization can’t make an informed decision when rolling out new technologies or driving business advantage.

How the IT Department uses Software License Management

IT and software installations go hand in hand, but IT teams don’t always manage an organization’s licenses – if there is a dedicated License Manager, the responsibility will fall to them to ensure licenses are being applied correctly and efficiently. Working alongside the License Manager or SAM team, IT departments can understand exactly what software is being used and therefore build project plans around software rollouts or remove unused pieces of software to prevent security risks. By actively utilizing each piece of software within an organization, IT can standardize technologies across the estate, remove shadow IT, and instil governance.

Intuitive License Manager applications will also display which versions are being utilized on which device, giving IT departments opportunities to upgrade to the latest versions, or remove unsupported software that is no longer patched and so could become a security risk.

Why the Finance and Procurement Departments need Software License Management

The responsibility of overseeing company budgets can become overwhelming, especially if it’s unclear exactly where that money is going. Working alongside the SAM team, finance teams can understand the precise costs of each piece of software, who needs it, and make sure it is being correctly used across devices. Finance departments also need to be aware of SAM processes and how the organization purchases and controls their software licenses. If a vendor requests an audit and the organization has misplaced software purchase evidence, or is using the software incorrectly, the ramifications will hit the overall company profit.

SAM also gives financial teams the opportunity to reduce software costs and protect IT budgets. Understanding what software is being used produces an opportunity for the organization to scale back costs on unused software or duplicated subscription accounts. Overspend in accounts is staggering across the IT industry, and it’ little wonder with reports indicating that many enterprise organizations operate with multiple SaaS application duplicates.

If they have visibility of software license management, not only are finance departments prepared for software renewals, they know when large amounts of money are due to be leaving the company account. They can confidently head into cost negotiations understanding exactly what they have already incurred and where they can actively save money.

Getting the Directors engaged with Software License Management

Engaging Directors and persuading them to invest in Software Asset Management projects remains an issue throughout the industry. But, once stakeholders are on board, the rewards from managing IT assets have the potential to go beyond any original expectation. After the initial impact on software spend, and as the SAM team highlights exactly what is being spent and where immediate cost savings can be made, the new program will generate savings for the organization year on year.

Ensuring employees have the latest technologies at their disposal means they can do their jobs as quickly and reliably as possible. Staying connected no matter the location is critical to giving organizations business advantage and heightens employee experience.

Software license management across the business

Technology enables an organization, but managing it effectively is essential in reducing cost, remaining compliant, and reducing security risks. From C-level to smaller teams, a Software Asset Management program brings peace of mind to an organization. Having the overall responsibility for proper use of company software means full control of deployment and visibility of usage.

Sean is a pioneer of SAM with over 20 years’ experience in software licensing compliance. He developed our industry leading, software asset and license management tool, License Manager, delivering SAM services to some of the largest companies in the world.

Sean Robinson

Further reading