What is Software license compliance? Basically, this term describes the behaviors of software users within the confines of a software license. Software license enforcement is a mechanism that notifies software users when they violate a software license. This prevents revenue leakage caused by software piracy. To be completely compliant, software must have at least one license per employee. Here are some tips for software license compliance. Read on to learn more. But first, let’s understand what software license compliance means.
The first step to achieving software license compliance is to create an accurate software inventory. An inventory scan gives you complete visibility of all installed software and helps you detect unlicensed or under-licensed software. In addition, software license managers also allow you to block non-business applications to reduce the risk of fines. By doing regular internal audits, you’ll ensure that your company is compliant and avoid incurring unnecessary fines. Then, implement a software license management strategy that fits the way you operate.
Once you know the different types of software, you can decide on the best licensing option for your business. For example, if your company develops software internally, it’s helpful to know how much it costs to license it. Using software specialist services can also help you manage and measure your software’s discovery coverage. To optimize software usage, you need to know which employees are using what software, how much it costs, and whether it is being used meaningfully. Software license compliance is a major business opportunity.
Another way to ensure software license compliance is to keep records. Most organizations don’t know how to properly manage their licenses and can end up being in breach of them. If your organization has never undergone a software audit, you’re likely unaware of any major license compliance issues. Major software license issues can cause you to lose your reputation and incur significant true-up costs, contract penalties, and litigation fees. So the only way to guarantee ongoing compliance is to regularly perform internal audits.
Besides protecting your revenue, software license compliance has several side benefits. For example, analyzing your software usage against the licenses offered by different vendors will reveal inefficiencies and help you choose more affordable packages. Additionally, good record-keeping and internal auditing will prevent any fines for software compliance. You can even save money by using open-source software. Often, the source code of open-source software is publicly available, and any user can view it and copy it.
To prevent software licensing violations, organizations must implement proactive measures to ensure compliance. A software license compliance tool like G2 Track can provide a single source of truth for all license-related information. Instead of dealing with dozens of different spreadsheets and notepads, a single, centralized solution can help you ensure that your employees are using the right software. This helps to avoid duplicated and redundant information, as well as conflicts between employees. Furthermore, organizations can’t afford to have multiple departments buying software without proper permission.