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A brief explanation of software asset management

Software asset management (also known as ‘’SAM’’) might be a phenomenal word for big and (most of the time) older companies which use software products for a while. It is totally understandable that it is not for every company naturally and well-known. Still, it is as much important for smaller companies to know off, as for bigger multinationals. If a company is aware of software asset management, it can bring some big advantages to him. 

Software asset management

Before you want to know what advantages, software asset management can bring your company, it is necessary to understand what it exactly is. There are many definitions of SAM, but the most understandable one is that software asset management is the complete process around the purchase optimization, managing, maintenance and implementations of software packaged within a company. It creates insight in software assets for your company, which will lead to the realization of software compliances and reduces IT costs. Without this overview, you will not be able to have an insight in (and prevent or limit) license compliance risks and financial risks from audits. 

Advantages of software asset management

SAM can bring big advantages for your company. This will have an effect on the security, finance and operations.


SAM can be very efficient for software compliances. It is important in ensuring all software products are following compliance with software licenses. Unlicensed software (or software that is expired) could be illegal, which results in very unpleasant fines in case you will receive a software audit.


Without SAM you can have difficulties in controlling your software licenses. If your software licenses are under control, it can bring huge financial advantages. If you track and monitor your licenses frequently, you will know for sure that the licenses are being used and not waste money. Sometimes it happens that there will be licenses coming forward, which are not used (anymore). That is a total waste of money and above all very unnecessary. With a good insight and knowing this, you can cancel the licenses that are not used. This increases available money on your IT budget.


Only when your software is licensed, you will receive operational support. A well working SAM-policy contains standardization which leads to a higher productivity by receiving more support. It could also be a big advantage if you only have one colleague which has the required knowledge. If that person is not at work, you will be independent in solving software-related problems.


To make the performance of software asset management tasks easier, you can use different tools. But what could be a good tool for your company to use? It varies. If you are a small company, a spreadsheet could be enough. If you are a bigger company, the use of a spreadsheet will not be enough. You will need a professional tool. There are several companies that provide professional software asset management tools, for example B-lay.