Software Licence Audits - a beginners guide
An unsolicited approach from an existing Software Vendor supplier, with a bill for undeclared licences will be an unexpected and un-budgeted shock to any business.
With a sharp decline in software licencing revenue, software vendors are turning to harvesting their base of existing, captive customers for revenue to make up the gap.
Litelia provide a tools, knowledge and negotiation experience to ensure a successful outcome for your business, where you pay no more than you are due.
We have direct experience of working for the World's largest software vendors and now use our knowledge to our clients advantage in securing quick and least cost outcomes - typically resolving problems in weeks instead of months or years, and with savings of as 80% and occasionally 100% saving - from the initial demand.
Read on to see what we do
A Case Study
With new investments deferred and technology project upgrades deferred businesses are being targeted by software account teams , eager to make up their revenue deficit.
Software Asset analysis tools are being deployed to show up the presence of undeclared licences in the network resulting in Software Audits and unexpected demands for large sums of software licencing fees in accordance with a contract signed at initial deployment.
A typical response may be to pass this from IT to the FD or legal department who may first see this as a cut and dry case of budgeted expense. Attempts and rebuttal may be complicated by changes of staff, unwritten agreements, foreign operations and even change of ownership and acceptance of liability issues. Typically the original contract may be some 10 years old, and not reflect current commercial pricing. Operations may deem the software as "business critical" - increasing pressure to settle in the suppliers favour.
How to ensure continuity of business operations whilst settling this matter in as low cost and professional way as possible?
Using a small team of independent experts with a range of skills form Technical, Legal and Negotiation, Litelia will manage the Audit process from start to finish.
Working to a mixture of fixed price, day rate, risk & reward /share of saving models we will ensure that suppliers to not take unfair advantage of the situation and that a successful outcome is negotiated for our clients.
A typical £1.5M demand for Software licences can be reduced to £300k and in a few cases to zero.