By Dan Thomson
As demonstrated by many contributions to the Flexera Software blog, Software License Optimization solutions empower Software Asset Management (SAM) teams to reach unparalleled success with license compliance and optimization projects -not only for end user computing devices, but also for systems in the datacenter. As SAM teams work through each level of the Software License Optimization Maturity Model, they may find it necessary to remove software that is redundant, underutilized, unapproved, unlicensed, out of vendor support, or somehow no longer beneficial to the organization. A pressing question is often raised at this time, though: In a similar manner to the automation employed by SAM teams to integrate and analyze data from disparate systems, how can the software removal and reclamation process also be automated and enhanced?
Organizations employ numerous methods to ascertain their software license compliance status. Some methods include an in-depth manual inventory that is compared on a one-to-one basis with software license counts. Some may utilize SAM tools that automate collection of inventory, and allow a comparison to software license counts. While these methods seem to ease the burden of identifying what installed software should be considered as candidates for reclamation, they ultimately fall short of meeting requirements of license compliance and optimization projects. How so?
It is common to find organizations performing software reclamation campaigns which are based on an inaccurate analysis. For example, there are times when the organization wasn’t actually out of compliance. Why?
Software license agreements (volume purchase agreements) include information identifying how the software may be used by the organization. This information is usually referenced as Product Use Rights and answers questions such as: can this software be used within a virtualized environment; can users have the software installed onto their primary and secondary devices; can the software be downgraded to a lesser version that is the approved corporate standard; etc.
When employing incomplete license reconciliation methodologies that do not account for Product Use Rights, organizations incur unexpected expenditures to ‘true-up’ the software installations by purchasing additional licenses, or later find they reclaimed software that they actually had the legal right to have installed.
Depending on the desired outcome, identifying software that should be removed or reclaimed (i.e. removed from one user’s device and reallocated to another user’s device) can be accomplished using Software License Optimization tools. Let’s explore a couple of different scenarios:
Underutilized Software
Every organization expects software to benefit them by enhancing user productivity and adding value to the business. However, making software available to users doesn’t ensure it will be utilized. Even if software is underutilized, it typically continues to be included in vendor software maintenance and contract renewal programs. Continuing to pay for software that is not generating a return on the investment and proving beneficial to the organization may prevent other users from receiving funding to purchase software they need.
Identifying unused or underused software requires tracking usage and doing usage analysis. There are two broad categories of usage tracking and analysis—basic tracking to see if, for example, a desktop application has been used at all in the last XX days, and detailed tracking and analysis that looks at things like: time in the system, transactions performed, specific modules used, etc. Software License Optimization tools are available that provide both types of usage tracking and analysis depending on the application and the license model in effect.
Removing software where it’s underutilized and reallocating it to users that need it allows the organization to maximize utilization of existing assets. This also avoids a possible cost to procure needed software for new users. Removing unused software can also enable the organization to reduce ongoing maintenance costs.
Unlicensed Software
Software vendor license compliance audits are on the rise. At software audit time, if a vendor finds software that is installed and/or used but not licensed, an organization may be exposed to a public image crisis and an unforeseen financial burden.
Software License Optimization tools compare software installations and usage to license entitlements to determine your license compliance position.
Unlicensed software can sometimes be introduced very innocently. For example, by a user who purchases software on a corporate credit card and has it installed by the local support staff. The associated license documentation most times does not get reported to the SAM team for accountability. However, what happens if the user reports the software purchase to the SAM team and has the software installed onto multiple devices, such as a desktop and laptop or tablet? Are the auditors and the solution used by the SAM team capable of identifying these software installations as used by the same person and apply available Product Use Rights that may entitle this usage (e.g. right of second use)? Software License Optimization tools also apply product use rights to ensure that the minimum number of licenses are consumed.
Removing unlicensed software alleviates the license compliance risk, but it also decreases user productivity levels that were established by using the unlicensed software. Buying additional licenses could pose a financial burden on the organization if the purchase was not appropriately planned. Obtaining the needed “proof of license” documents from the user provides a definable benefit to the organization, removes compliance risks and does not impact user productivity.
Conclusion
As your SAM team looks for ways to improve processes and begins to consider automated software reclamation, be sure the information used to guide reclamation activities is authoritative and leverages Product Use Rights to ensure optimal outcomes.
Learn more about how an integrated enterprise app store and software license optimization solution can automate the license reclamation process by reading our white paper: Creating a Well-Stocked, Well-Managed Enterprise App Store.
See also this previous blog on the First ITAM Review Process of the Month Article: Software License Reharvesting.