Software asset management is the business practice of monitoring and optimizing the cost, purchase, deployment, usage and maintenance of software licenses. Successful software asset management ensures a business pays only for the same number of licenses it actively uses.
In addition, to avoid price premiums and compliance violations, software vendors commonly conduct audits on a company’s software license usage practices. By closely tracking usage patterns, license renewal dates, installations, and over- and under-utilization tendencies, software asset management can help businesses efficiently pass such audits.
Tracking an asset throughout its lifecycle — from procurement to disposal — is an essential component of software asset management. This process helps organizations follow licensing terms and ensure they’re using the latest, updated version.
To help maintains costs and ensure teams have the right amount of software licenses assigned, a SAM process should understand the following: