Software License Compliance vs Optimisation: What is the difference?

  • Software License Compliance vs Optimisation: What is the difference?


    Whether you are new to software asset management (SAM) or just getting to know the ins and outs, SAM is a complex process that can be made easy through automisation. Before I discuss how to automate your SAM, it is best to differentiate what SAM is and how optimisation and compliance are involved in software licensing.

    What is Software Asset Management (SAM)?

    SAM falls into the general category of IT Asset Management but focuses primarily on software. SAM includes software management and software compliance, two key categories that should not be overlooked when developing a SAM strategy.

    The goals of SAM are:

    • Keeping track of software assets
    • Simplifying the process (automation)
    • Reducing costs (directly/ indirectly)
    • Increasing ROI
    • Strategic planning
    • Supporting IT or other depts

    What is Software Optimisation?

    Though optimisation does not have a highlight in the SAM definition, it is made clear that optimisation is a key feature of the management of software. Afterall, optimisation can help in achieving many of the goals SAM has such as reducing costs and increasing ROI. License optimisation assists with providing accurate and actionable data on software installs and software usage, ensuing correct licenses are in place.

    When considering if you need to optimise your software licenses, ask yourself these questions:

    • Are we using the correct licenses?
    • Is the effort of optimizing these licenses reasonable? **make automatic
    • What licenses are deployed vs used?
    • Can we reharvest licenses?
    • Is there a license surplus?
    • Are we over-spending on licenses?

    What is Software Compliance?

    Software compliance helps ensure you are remaining compliant with your license usage. A big question to consider when trying to implement compliance management is: What am I legally entitled to use? If you have a solid answer to this question, then it is important to track your licenses in order to not go over any limits set. In other words, software compliance focuses on the inventory of your software. By having software compliance strategies in place your business is prepared for audits. Likewise, compliance tracking ensures you are running on the correct versions of applications along with monitoring the correct licenses for each device.

    Audits can be intimidating, especially if your business is using manual processes to monitor your application installs and usage. Having a bad audit can result in back payments, additional fines, and worst case, court fees. It is best to read your licensing agreements to get a better understanding of these rules. However, I understand that legal jargon may be confusing or daunting. In that case, you can always hire a company like TBSC to help track and monitor your software to avoid any audit crises.

    How can TBSC Help?

    TBSC is a pioneer in software asset management. We have developed our latest product, Smarter SaaS that gives you a smarter way of doing SAM. Our product is easy to use and understand, offering data on license opimisation and compliance. The good news is we do all the work for you! Our product runs automatically by tracking and monitoring usage on over 40+ different SaaS applications!

    If you are looking for help specifically on Microsoft Office 365, we have got you covered. Our Smarter SaaS for MS365 can give detailed data on current installs and usage whilst providing cost savings recommendations and even automatic rehavesting! We have Smarter SaaS for MS365 out for a FREE TRIAL. To sign up for this opportunity, please visit:


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