IT disciplines that, implemented correctly, save costs in the long term

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For the past 10 years or so, enterprises have increasingly relied on cloud-based solutions and infrastructures. This led to the assumption that software asset management would soon become obsolete, or at least play a less important role.

In reality, however, exactly the opposite has occurred. Cloud infrastructures and software solutions that are not managed or only incompletely managed very quickly become confusing and thus intransparent both in terms of costs and security.

In this respect, the discipline of "Software Asset Management" ("SAM") has changed both in its objective and in its implementation. That’s why we call it "Software Management"!

Was one of the original definitions of Software Asset Management:

"The right license at the right time in the right place and at optimized costs",

today points are added, such as:

• permanent cost optimization for cloud-based software, solutions and infrastructure

• technological risk management

1. Consolidation of Applications

Every application/solution used in the enterprise generates obvious costs. License purchase or rental, maintenance costs, required infrastructure, implementation / rollout, etc.w....

Not so obvious costs also arise before the purchase (testing and evaluation, tendering, security checks, etc, ...).

This incomplete list makes it clear that the total cost of ownership (TCO) of the applications to be supported by IT increases disproportionately with each additional application.

Consolidating or streamlining the existing application portfolio will just cut a rat's tail of other costs in addition to license costs.

Approach:

• Identify and categorize applications

• Identify and eliminate redundancies

• Create and permanently manage application portfolio

• Create (and implement) corporate policies that govern the introduction of new applications.

2. Cloud Management

As mentioned earlier, ONLY stringently managed cloud resources will lead to transparent cost control and planning. For any cloud-based resource, be it an application or infrastructure, there needs to be clear roles, responsibilities and rules.

Just as with application management, rules are needed here that specify exactly who can apply for, book, use and manage cloud infrastructure, how and in compliance with which processes.

Sounds complicated? But it isn't!

The steps are very similar to those above:

• Capture the cloud-based resources currently in use

• Allocate and optimize cloud resources

• Create and permanently manage cloud portfolio

• Create (and implement) enterprise policies that govern the adoption of new cloud resources

3. Vendor Management

The commercial success of most companies, whether selling products or services, depends on successful key account management. This is where customer relationships are cultivated over the long term and leveraged for mutual benefit.

It is no different in IT. On the one hand, the internal customers who purchase IT's services need to be managed in order to provide the best possible service in the first place.

On the other hand, the suppliers (vendors) must be supported and managed. This is the only way to successfully implement points 1 and 2. Close cooperation with at least the most important suppliers results in a relationship of trust from which both parties benefit, on the one hand, and advantages, such as:

• Easier selection of the best supplier in each case

• Better contract management

• Easier performance management

• Transparent price-performance ratio

• Avoidance of license audits!

• …

4. Project Portfolio Management

All resources necessary in a company should be available in the quantity that all important tasks can be done in highest quality at any time. On the other hand it causes unnecessary costs to have resources "in abundance".

In IT we need:

• Hardware infrastructure (physical and cloud-based)

• Software and solutions

• Personnel for operations

I can only optimize the cost of my resources if I know exactly what is needed, when, where and for how long.

Since IT resources are directly or indirectly affected by almost all projects running in a company today, an overarching Project Portfolio Management is indispensable.

This is the only way to plan and provide IT resources to the extent that they are really needed.

Advantages:

• Roadmap for planning resource allocation

• Transparent benefit and risk analysis before the start of the project

• Understand overarching project dependencies

• -> COST OPTIMIZATION / Savings

For all four (4) ways mentioned above, we offer customized support. Completely according to your needs:

• Consulting

• Capability assessment

• Project support

• Project management

• Managed services