UNIVERSITY SOFTWARE LICENSING COLLABORATION NEXT GENERATION

www.ihs.qut.edu.auwww.tils.qut.edu.au

D I V I S I O N O F T E C H N O L O G Y , I N F O R M A T I O N A N D L E A R N I N G S U P P O R T

UNIVERSITY SOFTWARE LICENSING COLLABORATION

NEXT GENERATION

SPUSC 2010

www.tils.qut.edu.au

USLC – 2010 FIRST GENERATIONTHE FIRST DECADE

• Four Queensland Universities with a common mission to collaborate on software purchasing.

• Microsoft Campus agreement introduced whole of site annual desktop licensing arrangements

• Growth of software licensing – annual versus perpetual

• Software Licensing is on the agenda

• Enterprise Licensing = ALL YOU CAN EAT

www.tils.qut.edu.au

USLC - 2010 NEXT GENERATION

THE SECOND DECADE

• Sector wide managed procurement – CAUDIT style

• Optimization of software usage

• Entitlement management

• Software Audits

• Virtualization and Cloud

computing

• Enterprise Licence Optimization

CRICOS No. 00213Ja university for the worldrealR

SOFTWARE TRACKING - NEXT GENERATION

Is SOFTWARE LICENSING COMPLICATED??? TRY THESE…• Software Procurement• Software Licensing• Software Asset Management• Software Deployment• Software Discovery• Software Entitlements• Software Compliance Management• Software Audits



Is it going to get any better??? Try these…• Software As A Service• Software Virtualization• Cloud ServicesOR• Software Reharvestation• Software Licence Optimization



SAM => SLM => LCM => ELO

We have been consuming the software buffet and paying the ‘all you can eat’ price.

I want to order just what I need, just when I need it and at the price I can afford. Show me the MENU!


ST:NG – SOFTWARE LICENCE MANAGEMENT (SLM) PROBLEMS

• Overspending on maintenance• Overspending on upgrades – need exact numbers• Duplication of purchases – not centrally recorded• Unnecessary installations – not needed everywhere• Inability to recover licences and redeploy/relocate• Easier to pay than count• Focused on future possible needs, not current needs• ALL you can eat rather than exact requirements• Can’t digest (USE) everything


ST:NG – SOFTWARE LICENCE MANAGEMENT (SLM) ENABLES

• Better negotiation position when procuring licences• Usage control through standards and processes• Cost savings through usage based licensing• Identification of excess capacity and redistribution• Standardization of support, administration & deployment• Minimization of compliance risk – under/over use• Collection of documentation to support audit reviews• Purchases based on need and usage numbers


ST:NG – LICENCE COMPLIANCE and MANAGEMENT (LCM)

4 Steps to Effective Software LCM

1. Understand your RISK

2. Achieve Licence Compliance

3. Maintain Licence Compliance

4. Optimize Your Licences

TOO EASY!


ST:NG – ENTITLEMENT & COMPLIANCE MANAGEMENT (LCM)

• Inventory and Asset Recognition – Collect and analyse everything – ALL versions, editions, suites, etc

• Entitlements – Collect everything – Product Use Rights, EULAs, T&C’s, Proof of Purchase, Contracts, etc

OUR EDUCATIONAL INSTITUTIONS HAVE THE RESPONSIBILITY TO USE THE SOFTWARE IN

ACCORDANCE WITH THE TERMS & CONDITIONS OF THE LICENCE.


ST:NG – ENTITLEMENT & COMPLIANCE MANAGEMENT (LCM)

When a Software Licence is purchased, is it an ASSET?

OR is it an ENTITLEMENT???We should negotiate:• WHO can use the software• WHAT it can be actually be used for• WHEN it can be used, especially in education• WHERE it can be used• WHY we want to use it and for WHAT

The ‘RIGHT TO USE’ conditions set the value of the software and ultimately determine the COSTS.

Queensland University of TechnologyCRICOS No. 00213J

ST:NG – COMPLIANCE & OPTIMIZATIONEnterprise Agreement versus Best Practice LCM

• Forecast all products & functionality that enterprise needs over life of agreement

• Negotiate enterprise rights• Pricing based on enterprise

metrics but greater than actual use or deployment

• Unlimited deployment does not guarantee usage

• Must understand cost of true up and future price of additional licences and maintenance

• Develop base line usage• Ensure metric growth

matches usage growth• Pay for software that is used• Record entitlements versus

actual usage• Proactively manage licences

and compare deployments• Manage upgrades &

maintenance• Look for alternative licensing

options


ST:NG – ENTERPRISE LICENCE OPTIMIZATION (ELO)

Too much ‘ALL You Can Eat’ Enterprise Licensing can give you INDIGESTION and empty your wallet.

• Go beyond inventory management and usage data collection

• Gather usage data to know how many ‘Unlimited’ really means to your organisation

• Do the cost analysis:

Unlimited licences x enterprise metric cost versus actual usage x cost of licence



1. Inventory ALL Devices - to list software installations and collect usage data.

2. Application Recognition – Clean the raw data to build a comprehensive list of standard software installed on each device

3. Purchased versus Installed – Reconcile to match usage against purchase orders and contracts

4. Licence Compliancy – Check and apply T&C’s, etc

5. Licence Optimization – Allocate licences according to organisational needs preventing over licensing.



WHAT TO TELL MANAGEMENT ABOUT ELO?• Reduced expenditure through improved arrangements?• Stronger negotiating position to get what we need?• Prevents over deployment and unused licences?• Improved information for infrastructure planning?• Better risk management especially reputation?• Increases competitive advantage?• ??


ST:NG – THE SECRETS

1. Conduct an enterprise review – deployed vs future need

2. Allow plenty of time to negotiate

3. Conduct a ‘What if’ analysis – scalability, flexibility, growth

4. Build a repository of software licence management info

5. Automate

6. Develop expertise or hire/buy some

7. Self Audit

8. Track and measure software usage


Enterprise Licence Optimization

Why were we here today? To talk about … the next generation called

Cost reduction is the primary reason to invest in ELO and the savings from effective ELO is between

5 and 35% of the software IT budget.


Thank You

UNIVERSITY SOFTWARE LICENSING COLLABORATION NEXT GENERATION

Documents

Transcript of UNIVERSITY SOFTWARE LICENSING COLLABORATION NEXT GENERATION