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What to Look for in a Software License Optimization Tool

By Mae Kowalke, TMCnet Contributor

Software is at the heart of nearly every business, and for larger firms this fact can be problematic. Having the correct software licensing can be both a chore and a financial liability in the case of software licensing audits.

"Many enterprise and infrastructure software OEM vendors have complicated the software license management process by changing product names, modifying product stock-keeping unit (SKU) codes, changing licensing models and adopting other tactics that have made it hard for organizations to accurately assess their license compliance position,” noted a recent Gartner (News - Alert) report on the topic. “Furthermore, locating contracts for legacy software can be an onerous process, especially if any mergers or divestitures have occurred."

Many firms, therefore, have begun to move toward software license and entitlement optimization tools. Asset managers like that such tools can deliver in-depth analysis of their license risk and exposure while automating data collection. Software license and entitlement optimization tools are designed to ensure that software is deployed in compliance with the application usage rights.

It can be hard to know which optimization tool to choose, however. Flexera software, which recently blogged about the Gartner report regarding software license and entitlement optimization tools, highlighted some of the key criteria to look for in such tools.

These key criteria include discovery capabilities for a broad range of asset classes, integration with configuration management databases (CMDBs), comprehensive SKU or product library/knowledge base, and detailed entitlement tracking and built-in compliance worksheets or reports.

The criteria will vary by company, however.

Ultimately, the first step in selecting the right optimization tool is winnowing down all the possible selection criteria to the criteria that is focused on the licensing requirements of the major vendors the firm uses for software.

The second most important step is making sure that the software license optimization vendor being considered is contractually obligated to keep up to date with software OEM vendor changes. The software industry changes fast, and that includes licensing schemes. If an optimization vendor is not required to keep up to date with these changes, a company can find that its optimization software is, ironically, not optimized itself.