Over-licensing often costs more than expected.

It is a well-known fact that over-licensing wastes resources and budgets. But still some ask, "Who cares? What difference does it make if we have an extra license? And why should we purchase expensive software to save software costs?”

We know better! Sure, it's easy to purchase more licenses than you need in order to avoid any future hassle. After all, the business is running successfully and you can avoid licensing complications! But there is a catch: Over-licensing can become a very expensive affair. The company pays for licenses which are not actually required. Sometimes license agreements also include costly maintenance or update and upgrade agreements. And over-licensing does not automatically mean that a company is protected legally if nobody knows how many licenses and agreements are available.

Analysts predict that over 50% of all medium-sized companies do not have an exact overview of surplus licenses and agreements, or know when specific licenses and maintenance agreements need to be extended or terminated. Most companies are also not entirely aware of the functionality of software deployed in the business. Managers are often satisfied that employees have access to the software that they need (or think they need) and fail to notice that other existing software could provide the same functionality with a few minor differences.

Such oversight drives IT budgets unnecessarily high. Experts estimate that up to 35% of costs can be saved with a professional license management solution.

But there is more. If a suitable license management solution is available, better licensing deals can be made in the future. Additional benefits are audit-proof transparency and improved IT processes.