Wednesday, 5th November, 2008: IT Consulting and Services company Version 1 has warned that the incidence of Software Audits in the Irish marketplace has increased and believe that this is only the beginning as the economy begins to head into a more difficult phase.
International trends would suggest that Ireland is only following suit with the rest of the global software industry. As the credit crunch begins to bite, and new projects are cancelled or put on hold, software vendors are looking for ways to protect their revenue streams, as recent industry reports have testified (Credit Crunch Drives Software Audits – Computer Weekly, Aug 2008).
According to Derek Alexander, Software Asset Management Consultant at Version 1, companies need to be more proactive at managing their usage of software packages provided by large software vendors. “Many IT managers are unaware of what exactly is in use in their organisations, and also how it is in use. It is an increasingly daunting task just keeping up with the changes to software licensing terms and conditions, and it can be difficult to know where you stand – you can be confused into submission during the audit process.”
Taking action to understand your software licensing position before the inevitable audit letter arrives could save you tens of thousands of Euro in unplanned spending and decreased productivity. It can also help to ensure that you don’t buy licenses that you don’t actually need, make you are aware of the value of your investment in software licensing, and may also uncover opportunities to save money on annual support costs.
He goes on to say that when the licence compliance teams from software vendors come calling they tend to give little notice and can take an inflexible line on any additional licensing that is required. “Neither are they obliged to show you the most cost effective way to become compliant.” Impartial advice on your options at this stage can be invaluable.
Once a company understands its current usage and any issues that have been uncovered, it can then begin to actively manage its software assets, either in-house or by outsourcing it as part of a managed service.
Organisations can expect to realise savings of up to 30% a year on software licensing, according to Alexander. 'Numerous reports and analysis have shown that an effective Software Asset Management (SAM) program will allow you to budget more effectively and prepare you for vendor audits, mitigating legal and financial risks. It can also help you reduce internal support costs', he added.
Version 1 has a strong track record in this area, and has already helped numerous companies in all sectors save money on software licensing:
Retail Company - €40k saving
Media Company – €250k saving
Insurance Company - €220k saving
Financial Services Company - €200k saving
Public Sector - €120k saving
For further information on managing software licence audits contact us
Ends About Version 1Founded in 1996, Version 1 is an innovative Irish IT Services Organisation currently employing over 200 staff. It offers Managed Services, Application Development, Technical Consulting and Business Consulting, among other services.
Version 1 has in-depth expertise in a range of current database and application environments including Oracle, SQL Server, MySQL, PHP, JAVA and ASP.Net. The company has extensive experience in the Government, Financial Services, Utilities, Healthcare and Education sectors and continues to enjoy extensive growth.
Version 1's team of over 50 dedicated support professionals in the Managed Services Division provide a full range of technical services to ensure key systems in over 110 clients remain operational.
The company has pioneered a unique, user-centred approach to application design and development that enables it to develop custom applications within budgets and timescales more typically associated with the deployment of standard off-the-shelf packages. Version 1 is committed to consistently delivering excellent, value-for-money solutions to its clients.
For more information on Version 1 visit the company's website at www.version1.com
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