When the global economy first sank into recession, dozens of reports were published in which technology analysts speculated that software vendors would rely more heavily on software audits—and the resulting financial settlements—to compensate for lower revenues.  In tandem with this, organizations targeted by vendor audits were expected to have a higher rate of non-compliance because software asset management initiatives would be back-burnered—along with the true-ups that frequently come as a result—until budgets were once again secure.

So did these predictions bear themselves out?  From a philosophical standpoint, one could just as easily argue that software companies have a lot more to lose during uncertain economic times by terrorizing their customers.  But the answer would appear to be “yes,” at least in the United Kingdom, where a fair amount of research has been conducted on the topic. (I have yet to come across any specific research suggesting a US or overall global increase in vendor audits.)

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For anyone in the UK, the Software Industry Research Board (SIRB) has scheduled next year’s UK Software Management and Licensing Conference to take place on 21^st April 2010 at the Madejski Stadium in Reading, Berkshire.  They are conducting some advance research among end-user organizations to guide the content of the workshops.  Whether you plan on attending or not, the conference organizers would appreciate any participation in their software asset management survey that’s representative of likely attendees (those responsible for the commercial and operational management of software licenses).  The deadline for responses is 24^th December 09.ng, Berkshire. 

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In my last post, I briefly mentioned my view that executive management generally views software asset management as a “non-critical” IT initiative. I am here to argue that, especially in a poor economy, software asset management becomes all the more “mission critical.”  At first blush, I admit this position might seem a bit somewhat self-serving, given that my paycheck hinges on the “enlightened” few IT and business decision-makers in today’s financial climate who agree with me.  But before you abandon ship, allow me to make my case (what software vendor worth its mettle wouldn’t?).

One thing we can agree upon is that there’s very little agreement on what, exactly, “mission critical” means.  Traditionally, it’s understood to mean any activity, process, equipment, application, etc. that’s critical to the daily operations of a company.  In other words, if the mission-critical entity ceased to function, the company itself would cease to operate.  The cynic in me can’t resist pointing out that the less “nuanced” among us often casually sling about the term as a means of fortifying and advancing our own professional agendas.  (By the way, here’s a very rigorous and academic definition of “mission critical” that most C-level execs would never have the patience (or humility) to adopt.)    

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We recently surveyed via email 363 IT professionals to gauge at a very high level their current status with respect to their software asset management initiatives.  While I don’t claim this survey adheres to the more rigorous standards of academic research, I still found it quite interesting.  Here are just a few of the findings:

1)  Nearly half of those surveyed indicated they currently have a software asset management tool in place. 

2)  Of those with a software asset management tool, close to 40% were dissatisfied with it.

3)  Overall, only 10% said they’ve achieved their software asset management goals.  Of those who have not, 40% said they have plans to implement new technology to assist with their software asset management efforts.

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