At the end of 2012, Forrester and the ITAM Review, an IT asset management community site, ran a software asset management (SAM) survey to help understand where SAM is going in 2013. The resulting infographic* and commentary is available to Forrester clients here. For non- (hopefully future-) clients I’ve extracted some content to create this blog.
The focus and drivers for SAM have changed
Since the early 2000s, risk-focused IT professionals have voiced their concern over software compliance and the potential for vendor audits, large financial fines, damage to corporate reputation, and even the imprisonment of company directors. But these concerns weren't necessarily shared by the rest of the organization, which also viewed the SAM technology available as too difficult and complex to justify. As a result, SAM was a low priority on the IT management to-do list.
But this is starting to change as IT organizations realize that their software estates and procurement and provisioning processes are in a state of under-management, if not mismanagement. As a result, these organizations are wasting a significant amount of their IT funding each year on license procurement when they don't need to, maintenance agreement costs for more licenses than they actually use, and supporting and hosting software that should have been decommissioned.
It’s finally here. The Forrester Market Overview: SaaS IT Service Management Tools covers: a little ITSM tool history and how we have moved on, the benefits and risks of the SaaS delivery model, key selection criteria for selecting a SaaS (or on-premises) tool, and overviews of 23 tools (from 21 vendors) and their functional capabilities across the enterprise and midmarket marketplaces.
“Why on earth did you write a SaaS-only ITSM report?” I hear some cry
It’s simple – Forrester client demand. In 2012, a good 25% of my 400ish a year client inquiries related to IT service management (ITSM) tool selection; and the SaaS-delivery model (and the key vendors) was covered in nigh on all of them. That’s not to say the client ultimately went SaaS though, inquiries are very much about rapid information exchange in helping clients make important decisions. It’s not about making the decision for the client.
What the SaaS ITSM market looks like
The following figure shows the 23 vendor tools split by average customer subscription (seat) count (described as Enterprise, Upper Midmarket, and Lower Midmarket) and their degree of customer success (the number of paying customers):
There are of course other ITSM tool vendors who declined to participate for a variety of reasons. One would be that they were not briefing Forrester analysts and thus not on our radar.
Jon Hall, of BMC, published an IT asset management (ITAM)-related blog (Let’s work together to fix ITAM’s image problem) in which he shares not only his insights but also what I would call “BMC IP” – what Jon calls an asset management benchmarking worksheet.
In the spirit of the somewhat overstated movie advertisement: “If you only read one of my blogs this year, read this one”; although I prefer the version for The Naked Gun 2 1/2: “If you only see one movie this year... you should get out more often.”
Anyway, so many blogs, so little time; and what did I say that was important (if only in my own tiny mind)? Each bullet links through to the original blog.
It’s not really a blog but it’s definitely post worth writing (OK, cut and pasting).
I missed CA World this year, as CA Technologies held a specific IT analyst event a few months earlier that I sadly couldn’t attend. And when I say “missed” I mean more than just “didn’t attend”; I really did miss the event that is CA World, particularly the people – both CA Technologies employees and their customers.
All is not lost, however, as not only were presentations available via the Web, CA Technologies has made a significant number of the IT service management (ITSM) and IT asset management (ITAM) presentations available post event:
The IT infrastructure and operations (I&O) organization is no different from any other business function. It employs a multitude of assets to create corporate value. Traditionally, however, I&O’s ability to manage its IT assets has been weak, from both a financial control and an IT asset life-cycle (ITALM) perspective.
Far too often, an I&O organization lacks the necessary controls to avoid IT wastage or remain compliant with software licensing or regulatory requirements. Thankfully (or unfortunately), to date most I&O organizations have been able to get by. But the-times-they-are-a-changing, as do-more-with-less efficiency mandates are prioritized, vendor software audits increase, and the business places greater focus on what IT costs and the value that internal IT delivers. Something has got to give and I&O leaders can step up their game and respond to these internal and external pressures by improving asset management processes to ensure that IT assets are leveraged to maximize the value generated for their parent business.
“I remember when I lost my mind” … oops that’s Gnarls Barkley. I should have started with … I remember when software asset management (SAM) was on my radar as an IT service management (ITSM) practitioner. It was circa 2003, and my then employer was scared to death of the implications of non-compliance. We did some ground work but IMO it somewhat “died a death” when we realized that we had no idea where all the purchase records were – let’s assume they are all compliant now. Since then I have viewed SAM as just being on the to-do list for far too many organizations, never quite making it into the realms of actual “doing.” Sad but true.
Thankfully, however, my first three months at Forrester is changing this opinion – as 30% to 40% of my client inquiries relate to IT asset management (ITAM) and SAM (if you are interested the other 60% to 70% relate to ITIL adoption, process improvement, and ITSM tool selection – there’s a lot of tool replacement going on). SAM is rising from the ashes of its compliance era, in many ways this time “it’s all about the Benjamins.”