Software Asset Management (SAM): Challenges and Best Practices

Software asset management (SAM) explained: inventory, license management, maintenance and security best practices, plus how to choose a SAM tool.

By Rim Housni
7 min read

Software asset management (SAM) is the set of practices used to inventory, track and optimize all the software an organization uses, from installed applications to SaaS subscriptions, throughout their lifecycle. It covers license compliance, maintenance and updates, security and cost control, and is a subset of IT asset management (ITAM), which also covers hardware.

Key takeaways

  • Software asset management (SAM) inventories and governs all of an organization's software, including SaaS subscriptions, throughout its lifecycle.
  • Its core activities are inventory, license management, maintenance and updates, and security.
  • SAM is a subset of IT asset management (ITAM), which also covers hardware such as laptops, servers and mobile devices.
  • Measuring actual application usage helps you cut unused licenses and target user support where it is needed.

Introduction

The management of software assets is a strategic priority for businesses, whether they are SMEs or large organizations. A well-managed software inventory supports team productivity, reduces licensing costs, and optimizes IT security. However, effectively managing an IT infrastructure requires a methodical approach including software maintenance andmanaged services.

In this article, we will explore the best practices for optimal IT asset management, highlighting the importance of software maintenance and administration.

What are software assets?

A software inventory refers to all applications used within a company. This includes business software, office software, cybersecurity solutions, and SaaS applications used by employees.

The management of your software portfolio involves:

  • Inventorying installed software.
  • Tracking licenses and updates.
  • Maintenance and performance optimization.
  • Application and data security.

A poorly managed software portfolio can lead to unnecessary costs, security vulnerabilities, and decreased employee productivity.

Software asset management vs IT asset management: what's the difference?

These terms overlap but do not cover the same scope:

PracticeScopeTypical questions
IT asset management (ITAM)All IT assets: laptops, servers, mobile devices, peripherals and softwareWhat hardware do we own, where is it, when should it be replaced?
Software asset management (SAM)Installed software, SaaS subscriptions, licenses and contractsAre we compliant? Are we paying for unused licenses?
Application portfolio managementBusiness value and cost of each applicationWhich applications should we keep, consolidate or retire?

The international standard ISO/IEC 19770-1 sets out the requirements for an IT asset management system, software included, and serves as the reference framework for SAM programs.

The stakes keep rising. According to a Gartner survey of 4,861 employees conducted in late 2022, a digital worker uses an average of 11 applications at work, up from 6 in 2019, and 40% use even more. Every new application adds licenses to track, updates to deploy and interfaces to learn.

Why optimize software portfolio management?

Effective management of your software portfolio offers several benefits:

Cost reduction: Centralized management optimizes license purchases and avoids redundancies.

Improved productivity: High-performing and up-to-date software reduces interruptions and facilitates employees' work.

Enhanced security: regular maintenance reduces exposure to security vulnerabilities and protects sensitive data.

Regulatory compliance: some regulations require precise tracking of licenses and security updates.

To achieve these objectives, implementing a software maintenance policy is essential.

Types of software maintenance

Software maintenance is crucial for ensuring the longevity and efficiency of your software assets. It comes in several categories:

Corrective maintenance: it aims to fix software bugs and malfunctions.

Preventive maintenance: it helps anticipate failures by performing regular updates.

Adaptive maintenance: it adjusts software to hardware changes or new business requirements.

Perfective maintenance: it improves performance and adds new features to software.

A company that adopts a proactive approach to maintenance avoids interruptions and optimizes the user experience.

Best practices for effective software asset management

1. Conduct a precise software inventory The first step is to list all software used within the company. IT asset management tools IT assets provide a clear overview of installed applications and their actual usage.

2. Automate updates and patches Software updates must be performed regularly to correct vulnerabilities and improve performance. Automating these tasks throughmanaged services solutions is a significant time-saver.

3. Optimize Software License Management Poor license management leads to unnecessary expenses and legal risks. It is recommended to use dedicated tools to track renewals and avoid outdated software.

4. Secure Your Software Assets Outdated software is an entry point for cyberattacks. It is essential to integrate security solutions and educate users on best practices.

5. Opt for Digital Adoption Solutions Adopting new software can be a challenge for teams. Platforms like Knowmore make it easier to get started with digital tools through interactive guides and tailored support.

How do you choose a software asset management tool?

Options range from open-source tools such as GLPI or Snipe-IT to full ITAM and ITSM platforms. To compare them, check at least the following criteria:

  • Automated discovery: installed software is detected by agents or network scans, without manual entry.
  • SaaS coverage: detection of subscriptions purchased outside the IT department, which often escape traditional inventories.
  • License and contract management: reconciliation between purchased entitlements and actual installations, with renewal alerts.
  • Service desk integration: a link with the ticketing tool to attach incidents and requests to assets.
  • Security: identification of outdated versions and tracking of patch deployment.
  • Hosting and compliance: data location, GDPR compliance and access rights management.

Start with a pilot on a limited scope, such as one business unit or your ten most expensive vendors, to check data quality before rolling the tool out. An inventory tool tells you what is installed, not what is actually used. To decide which licenses to cut or which teams need support, combine it with usage data and track a few software adoption KPIs.

Managed Services for Simplified Software Asset Management

Engaging a provider for managed services allows you to outsource the management of your IT infrastructure and ensure effective software maintenance . The benefits are numerous:

Responsive technical support: incidents are handled quickly. Automated updates and patches: less risk of missing a critical update. Enhanced security: proactive protection against cyber threats. Cost optimization: reduced expenses through optimized license management.

IT outsourcingIT outsourcing is a relevant solution for companies that do not have the internal resources to manage their software assets.

Conclusion

Managing a software portfolio should not be overlooked. Rigorous monitoring and proactive software maintenance improve team performance, optimize costs, and strengthen IT security.

By automating update management, optimizing license administration, and leveraging digital adoption solutions like Knowmore, businesses can get the most out of their IT assets.

Looking to improve the efficiency of your software assets? Discover how Knowmore solutions can support you in your digital transformation.
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Frequently asked questions

What does software asset management do?

Software asset management keeps an up-to-date inventory of the software an organization owns and uses, matches installations against purchased licenses, tracks renewals and updates, and identifies unused or unauthorized applications. Its goal is threefold: stay compliant with vendor contracts, reduce software spend and limit the security risks of outdated versions.

What is a software license audit?

A software license audit checks that the software installed and used in an organization matches the rights it has purchased. Vendors often reserve the right to audit in their contracts, and any shortfall must be regularized, sometimes at a high cost. An up-to-date software asset management inventory helps you prepare for audits and spot licenses you pay for but do not use.

Is there free software asset management software?

Yes. Open-source tools such as GLPI or Snipe-IT let you track IT and software assets without license fees. They do require in-house skills for installation, hosting, updates and configuration, so compare their total cost, administration time included, with that of a hosted software asset management solution before choosing.

How many applications does an employee use on average?

According to a Gartner survey of 4,861 employees conducted in late 2022, a digital worker uses an average of 11 applications at work, compared with 6 in 2019. This growth complicates software asset management: more licenses to track, more updates to deploy and more interfaces for users to master.

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