Does Software Asset Management (SAM) Benefit Your Business?

Software asset management (SAM) is the practice of making sure all legal agreements in software products are complied with. These contracts determine how many software licenses your company is allowed to have. SAM protects the company’s software investments. They help businesses recognize what they have, what is working for them, what the software is used for, and if the assets are being used efficiently.

IT processes manage tangible assets in a business and the responsibility extends to intangible assets that include licenses and software. To ensure companies comply with the terms, the publishers conduct audits periodically. If they find that the company is not compliant, the company might be forced to pay higher prices for additional licenses. However, this can get incredibly complicated for business owners. Hiring companies to manage all this information for them makes life a lot easier.

Why You Need Software Asset Management

When businesses purchase software or hardware, they are considered business assets.

Since companies are relying more on technology, it has become important to manage them efficiently so as to get the most advantages. The goal of SAM is to help companies get the most from their investments by getting rid of unused and old technology.

Over time, businesses want to reduce their IT budgets. Smart business leaders see the value in investing in Software Asset Management as it saves on resources while boosting the efficiency of the operations.

Challenges In Software Management

Over time, you will find a business subscribing to several software licenses. For small businesses, it is easy to monitor and manage them. However, for bigger businesses, there is a risk for mistakes and errors occurring. This is especially the case for business that do their software management manually. To avoid these types of risks, many businesses now turn to companies to manage all their assets elsewhere. Businesses today have options that businesses of the past did not have, such as Anglepoint SAM solutions and similar providers. Instead of trying to manage everything on their own, today’s business owners are able to focus on growing their business and letting the pros handle their SAM solutions.

Impact Of Having SAM Strategies

Having an SAM strategy can help companies implement IT practices that had not been installed as new tools keep emerging. It also helps companies integrate proper procedures, people, and policies to ensure you achieve the most effective outcome. Companies can also have a proactive approach when looking for information on software and find ways to improve their efficiency.

Why Software Asset Management Matters

In most cases, you find companies rushing to implement software asset management practices after seeing the results of an audit which should not be the case. However, there are different reasons why SAM can help optimize your business operations. These include:

• Saves Money: Through SAM, companies can integrate their software systems which leads to easier management of costs and the information needed for future investments.
• Avoid Penalties & Fines: More than 60% of companies receive an annual audit. Companies that practice Software Asset Management can identify any license deficits and address them in advance. This minimizes their financial risks and makes them less prone to being fined and penalized.
• Strategic Alignment: SAM offers businesses a full view of their IT investments and how they can be used to achieve their business objectives. Also, through software metering, business leaders can forecast their future needs.
• Repurpose Existing Software: This can save the company resources since they will not be required to make new purchases. The existing software being used can be repurposed to serve the intended functions thereby reducing the pressure on IT budgets.
• Stand Out: SAM helps business to gain a competitive edge since they can operate more efficiently. Tracking software manually takes a lot of time, costs money and it is easy to make errors. However, once the process is automated, there is a lesser risk of errors occurring and the entire process is faster and inexpensive.
• Optimize Contracts: Most businesses go into software contract negotiations without being prepared. Through SAM, you will know what your business needs and stop paying for assets that are not being utilized. This can help when it comes to software contract negotiations as you can be clear on your terms.
• Audit Defense: Initially, SAM was mainly for audit defense. Utilizing SAM practices can help strengthen your defense when it comes to audits. That way, you can save more mon audit fees as you know more about the software you have and need for your business. As soon as you know you have an audit scheduled, you can obtain your licensing and usage data to make the audit process easier and faster.

Software applications are essential for almost all businesses. Getting the right software for your business is important and utilizing SAM policies will help make things easier for you. Pick a company that is going to provide a solution to better your business and improve the relationships you have with your customers.