Question 1

What is software asset management?

Accepted Answer

Software asset management (SAM) and software asset management tools (SAM tools) manage the procurement, deployment, maintenance, and utilization of software applications. The main goals of SAM tools are to limit business and legal risks while reducing IT costs.  Gartner describes SAM tools as providing “in-depth software asset analysis by decoding software license entitlements, automating the collection of software consumption data, establishing ISV effective license position (ELP), governing software assets, optimizing software value delivery and sharing information with other tools and stakeholders.”

Question 2

Are SAM tools ideal for software cost management?

Accepted Answer

People have traditionally viewed SAM tools, as part of an IT asset management (ITAM) strategy, as the panacea for software cost management. But that panacea label is fading. Here why: the majority of applications will soon be SaaS (software-as-a-service). SAM tools were designed for an on-premise world and struggle to effectively manage SaaS costs.

Question 3

How is SaaS Management different from software asset management?

Accepted Answer

SAM tools were built to maintain compliance with the complex terms of expensive on-premise software licenses, such as licenses from Oracle, IBM, and SAP. Because of this, SAM is focused on license models, deployment profiles, audit readiness, and effective license positions, which aren’t relevant for most SaaS apps.  SaaS is a fundamentally different beast than on-premise software. This includes how SaaS is procured, licensed, used, tracked, governed, and sunsetted to the type of risks it poses. As such, trying to manage SaaS the same way as on-premise software can lead to wasted spend, reduced efficiency, and increased security risks.

Question 4

What are the risks of ineffective SaaS Management?

Accepted Answer

1. Limited app discovery and visibility 2. Wasted SaaS spend 3. Increased compliance risks 4. Slow SaaS workflows  5. Poor app adoption and engagement  6. Expensive and unwanted renewals

Question 5

How to find the right vendor to manage SaaS

Accepted Answer

The right SMP can help you manage and mitigate the risks listed above. Before looking for a tool, outline the key challenges you wish to solve and develop a clear set of criteria for what you need.

Question 6

What’s possible with effective SaaS Management

Accepted Answer

1. Lower SaaS OpEx and risks  2. Greater agility and reduced IT overhead  3. Improved employee productivity and ROI