Software licensing compliance audit

Going through a software audit can be equally stressful and costly. Theres not only more software available and in use at enterprises, but more software vendors are auditing for compliance. He started to work in the license management industry in 2004 and worked for almost 10 years at oracle as regional director of compliance. Software audit control with selfaudits is a key component to managing software assets. Make it easy to ensure you are always prepared for a potential microsoft audit.

An adversarial attitude about a software audit is unwise. Whether you are faced with a software audit, struggling with software license compliance, or engaging in software licensing. According to this study, 69% of it executives are not confident about being compliant with their software licensing agreements. Software license compliance vendor licence restrictions for cloud vcl computing. The benefits of an internal software license audit. Get the coverage you need with valid software licenses and appropriate service. Software license and audit policy columbia business school.

Many companies find themselves facing software audits on a regular basis. Selfperformed software license audits help avoid penalties for being underlicensed in your organization. Jan 01, 2016 enterprise it organizations face software audits as a matter of doing business with large technology vendors. Gain visibility and reduce the risk of a microsoft compliance audit with solarwinds service desk cloud based it asset management software. Being compliant is something that we hear often in discussions of software licensing and software asset management. Companies are forced to conduct internal software audits to ensure compliance as well as be prepared for external ones initiated by software. How to handle a software license audit november 22nd, 2017. The audit focused on assessing the districts compliance with licensing requirements for computer software used on our computers. While compliance is usually the primary objective of organizations concerned about software license audits or dealing with bills from manufacturers, software optimization is the ultimate. How it departments can prepare for a software license audit. Software license audit or software compliance audit is an important subset of software asset management and an important component of corporate risk.

There are a couple of ideas i have of how to approach this however been searching and to find a detailed audit program, however not being successful. Sometime non compliance isnt intentional, but is the result of lack of full understanding yet this is not a good defense. Auditing is a way of collecting money for the software a customer has installed. Manage and audit software inventory in your it environment. However, a comprehensive software audit that examines not only license compliance, but also software utilization, often yields more in license savings than the cost of. The challenges of software licensing audit support. January 25, 2016 toni preckwinkle the honorable toni. Hi all, i am looking for software licensing compliance guidance audit program. We all know, when it comes to license compliance, the squeaky wheel. The software license compliance audit was included in the department of internal audits fiscal year 2014 annual audit plan, as a carryover from the prior year. Customers who take licensing compliance seriously and have a robust internal software asset management sam process are likely to be better prepared for license compliance verifications. A recent survey conducted by gartner research revealed that 35% of companies had experienced an. Heres a look at some of the steps a corporate it organization can take before the auditors arrive to maintain compliance and limit potential.

I help our clients with software asset management sam and may periodically audit clients to make sure they are fully compliant. This video is simply a spoof on software sales folks. You may not be able to avoid a software license compliance audit, but you can start now to reduce the impact that an audit may have on your organization by implementing some best practices for software asset management sam. Vmware has built strong licensing controls into their software, so its not the most difficult supplier with which to effectively manage software compliance. Auditing your software licenses as an it manager, you should know that you can be subject, at any time, to a microsoft audit request. If your company is facing a software audit, you need experienced counsel to protect your business. How to handle a software license audit license dashboard. Not surprisingly, software licensing audits have a. Software license audit or software compliance audit is an important subset of software asset management, and an important component of corporate risk management. Choose a comprehensive, endtoend audit engagement or one of its components. To evaluate the current practices on the installation or use of commercial software packages, and determine whether employees are complying with the provisions of software licenses. Audit programs, audit resources, internal audit auditnet is the global resource for auditors.

In the first article we discussed the importance of being prepared for an audit. A microsoft license compliance verification is a routine process of checking customers compliance with microsoft licensing agreements. When a software provider wants to conduct a license compliance audit, it formally notifies the enterprise of its intention and then works with the customer to examine the enterprise environment to. Total network inventory makes maintaining large software inventories easier and more transparent. How to survive a software licensing audit informationweek. Licensing and compliance opentext is committed to best practices for ourselves and our customers, helping you through information and education to achieve software compliance for your company. Managing software licenses also entails optimizing license. Determine that internal controls are in place to ensure software licensing compliance.

Implementing and managing a software license compliance program can be highly complex and resource intensive. Without the proper resources, processes and expert partners, software vendors risk uncovering the true value of non compliance and maximizing outcomes driven by compliance. When it comes to software assets, the term compliance holds several meanings. License management software help ensure compliance with the terms of legal agreements for installed software. Ibm software licensing softwarelicensingpros, powered by xtivia. If you have software, you will have a software license audit. As part of autodesks ongoing license compliance program, your company has been selected to undergo a software compliance audit to ensure that your organisations installation and use of autodesk products and services is in compliance with applicable autodesk licensing. Software licensing compliance audit feature allows to get a complete picture of orderingd vs installed software for software asset management and helping ensure that organizations stay within the terms of their license agreements and can more easily track unauthorized software installations.

When a company is unaware of what software is installed and being used on its machines, it can result in multiple layers of exposure. Network software inventory software asset management. When the software audit request came from adobe two years ago, margaret smith not her real name thought it was business as usual. Software license compliance audit fort worth, texas. Samit asset management take control of deployed software, volume licensing, and internal governance to maximize roi, ensure compliance, and avoid an audit.

Avoid microsoft software license compliance audit what to. Tools for coping with a microsoft audit spiceworks. License compliance verification faq microsoft volume. Heres a look at what you should and shouldnt do when you get that software licensing audit notice. A software license audit is when one of your software vendors wants to compare the number of software licenses your organization has purchased with the number currently installed on your computers. Software licensing audit how to mitigate the results. As part of software asset management, an internal license audit will help establish that the organization is adequately licensed, therefore preventing noncompliance and avoiding unexpected fines. Every dbak audit services consulting engagement is offered at affordable, flatrate pricing. Avoid microsoft software license compliance audit what to expect. While tax audits are relatively rare, theyre nervewracking and potentially expensive all the same. Establish a policy for software acquisitions, registration and use.

Audits are preformed periodically to identify any software cis that are identified as not having licensing 8. Software licensing pros, powered by xtivia, offers nearly two decades of experience and multiplelevel premium partnerships with proven technologies. The software license compliance audit was included in the department of internal audit s fiscal year 2014 annual audit plan, as a carryover from the prior year. Most often, it is licensed by means of a licensing agreement with thirdparty vendors. Vendors use it to ensure youre using your software correctly and following your contract. We specialize in software licensing renewals, licensing compliance, licensing audit prevention and resolution, and optimizing licensing investments. Rectify software license shortfallsbefore you get audited. With that said, being seen to be proactively managing your microsoft licenses will go a long way in ensuring that you minimize your compliance. License compliance reports are used for compliance inspection at any time. Auditnet has templates for audit work programs, icqs, workpapers, checklists, monographs for setting up an audit function, sample audit working papers, workpapers and a library of solutions for auditors including training without travel webinars.

How it departments can prepare for a software license audit cio. License compliance auditing is done in real time using our asset management system. Hence, to avoid the consequences of failing a compliance audit, enterprises need to ensure software license compliance at all times. How it departments can prepare for a software license audit as revenue for new software licenses is down, software vendors are focusing more on licensing audits to recover some of that lost income.

Determine that written policies and procedures for software licenses exist and are adhered to. The department of internal auditconcluded that its conducts annual enterprise software audits to ensure software license compliance, and has an action plan in place to remove illegal software from city it assets. View detailed reports on software license compliance. These practices can reduce some of the red flags that noncompliant companies reveal to those vendors who audit.

We think its useful to explain this critical topic in simple terms. But major publishers also use the threat of an audit as a way to close new. Yes, but it may require additional licensing fees for use of the oracle products in a virtualized environment. Those that are done by the big accounting firms and those that are conducted by organizations such as bsa the software alliance. Cherwell asset management is an it asset management solution that helps you prepare for vendor audits and monitor software license compliance in a proactive, automated wayso you minimize software audit risk and take control of your license position. We understand that compliance is often a complicated task. Software license compliance is a good business practice. Jul 07, 2018 on april 24, 2018, quest software filed a breachofcontract court case against nike, the most famous sports brand. As part of autodesk s ongoing license compliance program, your company has been selected to undergo a software compliance audit to ensure that your organisations installation and use of autodesk products and services is in compliance with applicable autodesk licensing agreements. All the major software vendors are ramping up their audit frequency. Facing a software audit is a daunting process, which takes time, money, and resources to complete.

Software audit and license compliance it on command. Bsa does what it calls a cooperative selfaudit, which means that it asks a company to perform an audit of its own systems and report that information back to bsa. We stay current on regulations, products and certifications for our inhouse experts to help companies reduce their licensing costs and audit risk potential while increasing productivity and. A software licensing audit or software compliance audit is an important subset of software asset management and component of corporate risk management.

Managing your companys software license compliance will also help ensure eligibility to get the cisco services and support you need to maintain your cisco software and network operations. He uses his knowledge of enterprise software vendors such as oracle, sap, ibm and microsoft to educate, equip and enable software end users in their challenges regarding proper software license. Is or the internal audit department may conduct surprise audits of any pcs. This request is made pursuant to those applicable autodesk. Dbak offers a variety of software audit consulting services. A license is typically not licensed to an individual. Just as notable, software vendors are also increasing the intensity of their audits. Microsoft licensing what do auditors look for during a. How to achieve software compliance software license audit tool.

Software license compliance manager jobs, employment. Here are some general guidelines to help maintain compliance with software licensing agreements. Software license management is an increasingly noteworthy subject in the business world today. The real costs of being out of compliance with your software. Due to the nature of software licensing and the everchanging landscape of it, it is nearly impossible to be 100% compliant on microsoft products. How to achieve software compliance software license. Plus, your chances of going through one are a lot higher than they are for a tax audit. Software license compliance audits it asset knowledgebase. This will show you every instance of software installed and in. This article explains the main drivers for software asset management, and why a software license management program. Typically, the first question the target of an audit asks is whether the audit is legitimate, closely followed by why the company has been selected for an audit. Gartner and other industry pundits have noted this acceleration for the last few years, and there doesnt appear to be any slackening of the pace. As a governance risk and compliance specialist for a fortune 500. Software license management benefits and best practices.

Optimization and prevention are the two main benefits of running an internal audit. Our software inventory tool helps you stay on top of all the software related changes or additions in your network and ensures that youre software audit ready at all times. With frequent internal audits you can be confident that you are adequately licensed so as to avoid unexpected fines. If youre anticipating a software license audit and, lets face it, you should be youre most likely concerned with noncompliance. A recent survey conducted by gartner research revealed that 35% of companies had experienced an onsite audit from a major software vendor. Software audits by software publishers and their trade groups are on the rise. When it comes to software assets, the term compliance. Its best to cooperate with the auditors, albeit while protecting the interests of your company. This is the second in a series of four articles addressing microsoft software licensing audits. Total network inventory makes it easy to perform an internal audit of your software licenses and ensure full license compliance. How to beat the software license compliance audit if you have software, you will have a software license audit.

Apply to asset manager, maintenance person, risk and compliance investigator and more. Perform a compliance audit when implementing a software license program, you should begin by performing a compliance audit. Jun 10, 20 when it comes to software licensing compliance, manufacturers are stepping up their game. Achieving software license compliance is just one aspect of software license management. As a license compliance manager for a software company, i have the responsibility to make sure the companies policies and pricing are administered professionally and fairly on a worldwide basis.