SAM in the cloud: Optimizing software assets in a virtualized world
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Redefining how companies build, buy and manage everything in the cloud.
Software Asset Management (SAM) will substantially transform as technology advances. As businesses strive to stay competitive and maximize efficiency, SAM emerges as a crucial discipline for organizations of all sizes.
In this edition of The SoftwareOne Scoop, we will discuss why SAM is necessary for organizations to transform, how it is predicted to change, and what you must know to get started and succeed within the first 12 months.
You can start where you are now & plan for the future all at once
Today, an efficient software management strategy goes beyond inventorying your assets; it optimizes IT investments, ensures licensing compliance, and mitigates security risks- which can launch transformation for organizations.
Understanding your existing software assets streamlines operations, reduces costs, and maintains competitiveness.
Yet, in a rapidly evolving digital landscape, planning for the future is as crucial as addressing the present. With the rise of Software-as-a-Service (SaaS) and mobile apps, SAM requires an agile, adaptable, and innovative approach.
Let’s explore a few ways SAM may look different in the years to come.
In a recent article by IAITAM , Aamer Trambu , Senior ITAM Consultant at SoftwareOne, predicts that:
1. Robotic Process Automation (RPA) is expected to revolutionize SAM.
RPA leverages automation technologies to replicate human tasks like data extraction, form filling, and file movement. Integrating APIs and user interface interactions streamline repetitive tasks across enterprise and productivity applications.
2. In the upcoming decades, a significant shift is expected in software delivery and management toward the cloud.
Cloud-based SAM solutions will deliver enhanced scalability, flexibility, and accessibility, empowering organizations to streamline their software asset management processes effectively.
Moreover, these cloud-based tools will leverage the cloud's capabilities to execute advanced analytics and employ machine learning algorithms, presenting organizations with insights into software usage and license optimization.
3. With the increasing complexity of SAM, integration with other IT Asset Management (ITAM) functions will become imperative.
This integration calls for a unified approach to ITAM, establishing a single source of truth for all assets by integrating with functions like hardware inventory, network motoring, and cybersecurity. Organizations can streamline operations, enhance visibility, and bolster security by adopting integrated IT Asset Management.
Furthermore, this integration enables organizations to make informed decisions regarding their IT assets, ensuring optimal cost-effectiveness and security measures.
As organizations continue to move from on-prem to the cloud, audits are still predicted to continue. SAM programs offer more than just a convenient way to handle these vendor audits; they can also yield substantial cost savings, potentially amounting to millions of dollars.
According to a recent survey, over 55% of respondents reported that their SAM program saved them over $1 million in the past year. Additionally, an impressive 16% claimed savings exceeding $10 million.
How SAM can impact your organization positively (now & in the future)
As mentioned before, the positive impact Software Asset Management can have on your organization goes far beyond cost savings from vendor audits. As technology advances and organizations shift towards cloud-based solutions, the importance of SAM becomes even more pronounced.
Here are five ways Software Asset Management can have a profound and lasting positive impact on your organization now and in the future:
1. Cost optimization and savings / Cloud cost optimization (now and future)
By effectively managing software licenses and subscriptions, SAM helps you avoid unnecessary expenses and eliminates the risk of overspending. This cost optimization continues in the future as you maintain control over software acquisitions and renewals, ensuring you only invest in what you truly need.
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As cloud services play an increasingly critical role, SAM helps you optimize cloud subscriptions and resources, ensuring you get the most value from your cloud investments. This focus on cloud cost optimization will continue to be relevant in the future as your cloud usage evolves.
2. Compliance and risk mitigation (now and future)
Staying compliant with software licenses and avoiding non-compliance penalties is critical in the present. SAM ensures that you are always aware of license usage and terms, reducing the risk of legal and financial consequences. In the future, this proactive approach will safeguard your organization from any compliance-related issues that may arise as your software portfolio evolves.
3. Improved productivity (now)
SAM ensures employees can access the right software tools, enhancing productivity and collaboration. As your organization grows, SAM will continue to optimize productivity by identifying the software tools that best suit evolving workflows.
4. Strategic planning and decision-making (now and future)
SAM empowers informed decision-making regarding software acquisitions, renewals, and upgrades. This strategic advantage carries forward into the future, enabling you to align software investments with long-term business goals and adapt quickly to changing market dynamics.
5. Vendor management (now and future)
Strong SAM practices give you valuable insights into software usage and vendor relationships. This advantage translates into better negotiation power, contract management, and cost-effective partnerships with vendors in the future.
In conclusion, Software Asset Management is not just a short-term solution; it is a long-term, proactive, and strategic approach that positively impacts your organization now and lays the foundation for a more efficient, secure, and cost-effective future. Embracing SAM is an investment that yields significant dividends over time and positions your organization for sustained success in the ever-evolving digital landscape.
What you need to get started in the first year and how SoftwareOne can help
At this point, you know how SAM will look in the coming years and the positive benefits of enhancing your SAM program – but what if you don’t have a program? What if you’re starting from scratch?
Establishing an effective Software Asset Management program is essential for any company, especially if you are starting with a clean slate. It may seem daunting, but with the right approach, it’s possible to achieve success in just 12 months. Here’s how.
To begin, you must understand your organization thoroughly. Every organization is unique, so meeting with different stakeholders, including software procurement, IT finance, and end-users, will help align the SAM program with your specific needs and goals.
Next, familiarize yourself with the current procurement processes to identify gaps or inefficiencies. Understanding your organization's mission is crucial, too; positioning the SAM program as a strategic enabler will gain support from stakeholders.
To build a solid foundation, create an inventory of all hardware assets and discover installed and purchased software. This will help identify potential compliance issues.
Prioritize efforts and allocate resources by determining high-risk software publishers. Understanding the financial risk of software audits will also help you plan accordingly.
Even without a SAM tool, you can make progress by focusing on data-driven practices and building a compelling business case for the SAM program. Set specific, measurable, achievable, relevant, and time-bound (SMART) goals to measure progress and ensure success.
By following these steps, you can establish a successful SAM program that meets your organization's needs and positions you as a strategic asset.