These digital days the pressure on IT departments to limit costs whilst increasing efficiency is heavy. It might come as a surprise for many to know- this balancing act is no easy task. Recently, software firms have moved from owning software outright (sales model) to effectively subscribing to a long-term access plan (licensing model). Although convenient, such a model can prove expensive and place additional strain on an IT budget undoubtedly already high.
The IT industry is expanding and developing at a faster pace than ever before- a solution to the increasing demand of high-level technology in current times. A few decades ago, cloud computing, multicore processing, tablets, notebooks, and smartphones would barely have registered on spending forecasts, now they are at the forefront. 
As daunting as it appears, reducing costs and increasing productivity is completely possible – it simply requires a little extra manoeuvring. Here are _ways to minimise your licensing costs without compromising the value and efficiency of your software system:

COMPREHENSIVE SOFTWARE AUDIT

It should come as no surprise that the first step to reducing your software licensing costs is to carry out a thorough and detailed audit. As well as gaining an overview and detailed understanding of the software that your department or business currently has in use, you’ll also gain a deeper understanding of which pieces of software are business critical.
As a manager or director, you need to understand who is using which software and how it aligns with their role. It’s feasible, for example, that when personnel change roles or leave the company, their existing software is no longer required but payment continues to be taken from your budget pot. By having a clear overview of what you’re spending and where it’s going, your organisation will be able to make targeted procurement decisions without pointless expenditure.

OPTIMISATION

Now that you’ve carried out your audit, how are your existing software licenses looking? Are they all earning their keep? Or are there some that sit unused whilst rolling from one renewal to the next? Tackling these issues is undoubtedly a challenge, but with the right auditing and optimisation process, you can create a streamlined software portfolio that works for you.
To optimise your existing software licenses, you need to have a clear overview of all the services and applications that are currently in use across the organisation. Once you have this portfolio, compare it against existing contracts and licenses to identify unnecessary costs and assess where additional licenses are required.
This process enables organisations to transfer licenses within the organization, maximising the value of existing software assets.

THE CLOUD

By moving to cloud software, a business, whatever its size, can save substantial costs through reduction on equipment, infrastructure and software. By investing in cloud computing, you allow yourself to rent additional processing power over the web without using expensive servers. Rather than spending big on hardware, software and licensing renewal fees, cloud computing enables you to cut down both your capital and operating costs by using the resources of your cloud provider.
As the cloud platform is utility based, you only pay for what you need, when you use it, transferring you to a pay-as-you-go, subscription-based cost structure. The cloud requires lower initial investment and typically lower overall costs than an on-premise model. It could also lower your IT personnel spending and even save on energy consumption.

THE CLOUD

By moving to cloud software, a business, whatever its size, can save substantial costs through reduction on equipment, infrastructure and software. By investing in cloud computing, you allow yourself to rent additional processing power over the web without using expensive servers. Rather than spending big on hardware, software and licensing renewal fees, cloud computing enables you to cut down both your capital and operating costs by using the resources of your cloud provider.
As the cloud platform is utility based, you only pay for what you need, when you use it, transferring you to a pay-as-you-go, subscription-based cost structure. The cloud requires lower initial investment and typically lower overall costs than an on-premise model. It could also lower your IT personnel spending and even save on energy consumption.

CONTACT US NOW

To discuss all things software license-related, contact us now! CI Distribution is a versatile solutions provider. Our wide-ranging portfolio means we have the services you need, so get in touch today- our lines are always open and our specialists always ready.

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