Gartner’s recent release, 3 Ways to Cut Software Costs, highlights how CIOs and senior IT leaders can significantly reduce software spending by incorporating three best practices. In fact, the leading IT firm reports that in an 800 client inquiry, there was an average 30% reduction in software expenses within a 10-month period when respondents implemented these practices. We should all take notice, as news of global software spending is expected to reach $332 billion in 2016. With economic uncertainty causing business leaders to tighten IT budgets, spending wisely and optimizing ROI are mandatory requisites to maintaining relevancy.
As a global SAP services company, specializing in providing innovative solutions, we are compelled to provide partners, clients and associates with information to help you succeed in this intensely competitive and innovative industry. We have chosen to expound on Gartner’s helpful tips in order to provide additional detail on the benefits, and to encourage you to act upon these budget-saving best practices.
“Companies can expect to achieve 30% savings in the first year and between 5-10% annually with an effective Software Asset Management (SAM) program.”
By implementing these straightforward practices, companies have successfully managed to substantially reduce software spending. Your path to implementing these practices may require additional resources in the short-term, but the long-term savings are apparent. Hank Marquis, research director at Gartner summed it up best – “Automated software license optimization is a relatively new discipline and most organizations are at lower levels of maturity. The variety of license entitlements also makes it tough for IT leaders to spot savings, especially in environments with many software publishers and titles. But it’s worth pursuing, as spending reductions contribute directly to the bottom line as gross profit.”
Gartner’s recent release, 3 Ways to Cut Software Costs, highlights how CIOs and senior IT leaders can significantly reduce software spending by incorporating three best practices.