Knowing How to Assess and Manage Licenses Today Can Open Up Great Business Opportunities
Today, software spending at companies of all sizes continues to increase exponentially. According to Statista, IT spending on enterprise-level software is expected to grow to an estimated $507 billion in 2020, up from $310 billion in 2015.
Driving this increase is the digitization and technology innovation where companies are looking to enhance competitiveness and business value. However, more software spending and usage also opens up companies to additional cyber threats, as well as the necessity to provide continuous software maintenance and IT management overhead.
Additionally, there are more software audits being conducted today, which provides more complexity for users to ensure they are in compliance with their licensing agreements.
Business expansion opportunities for IT service providers
All of this presents an ideal business expansion opportunity for IT service providers to work with a trusted partner on software license management for their clients.
The right license portfolio management is critical for any organization so that IT leaders can have a stronger inventory on license lifecycles. However, according to IDG, 72% of organizations lack an effective license portfolio management strategy, another 74% had not created a proper license management function, and 83% don’t even view this as critical to the organization.
More than likely, these numbers are high because IT departments view license portfolio management as difficult, especially with the ever-expanding use of software. Many others simply have a difficult time quantifying and keeping track of who’s using or not using all software and applications that have been downloaded and deployed.
Why it’s important for end-user clients
What’s at stake are significant impacts to the bottom line for any company. The right license portfolio management is critical in keeping up with licenses that are being underutilized and overutilized – which can lead to audits and substantial fines.
To combat this, there are license management tools available for IT departments to use, but these often fall short because they lack a strategic focus specific to each individual organization. This is why it’s critical for the IT service provider to handle, especially when service providers can better asses each license usage properly and report more efficiently and effectively through proper data collection, configuration and customization for each organization. IT service providers offer great value by helping organizational leaders optimize software spending, deployment, and usage in all of the license and application lifecycle. What’s more, IT service providers can help reduce the threat of cyber risks and potential audits.
The right licensing partner makes it successful
All of this is made possible when IT service providers partner with a trusted provider of license portfolio strategies that specialize in software and application licensing in order to set the right strategy for each end-user client.
IT service providers, through the help of their trusted partners, today employ a managed services approach to properly assess and monitor license usage. IT service providers and their partners can also provide predictable outcomes based on data in order to improve operational efficiencies and enhance important organizational business decisions.
The right portfolio license management strategy will have IT service providers managing contracts, license options and usage rights, along with deployment models that include physical, cloud, and mobile platforms.
Who to partner with for successful outcomes
As cloud-based hosted software services continue to reshape and expand the principles of modern IT, the future of any hosting services provider depends on the quality of its partnerships. DXC SLMS Hosting offers service providers the best opportunity to build the right portfolio of cloud-based hosted solutions, including Microsoft Azure for CSP, that best positions for optimum business growth potential while cutting costs out of the portfolio.