Part 2

2022 Gartner Software Asset Management Magic Quadrant Leaders, Livingstone Group recently joined The ITAM Review for an online seminar to discuss the value of ITAM in today’s changing times.

In Part 2 of this follow up blog series, I will look at the new opportunities in the ITAM space and will share some ideas about how to define value for ITAM.

New ITAM opportunities

It is time that ITAM was viewed as an integral business asset in the fight to make cost savings and become more efficient. Below are just some of the ways ITAM teams can show the value ITAM can bring to the table.

Cost reductions: All businesses today are looking to cut costs as we enter a period of financial uncertainty in the wake of the COVID pandemic. And, as discussed in Part 1 of this blog series, It is time that ITAM becomes more than simply a post-mistake function and instead becomes a proactive solution to making efficiencies, optimizations and cost savings for organizations.

Indeed, ITAM can be hugely beneficial to cost-cutting initiatives. For example, data from an ITAM analysis tool like the Livingstone Hub can provide information about where and how software, hardware or cloud applications are being deployed and used – data which can then be used to show under- or over-usage, or ‘interesting’ patterns such as why more of a particular product is being used in one part of the business and not another. With this information, spend and cost-cuttings can be justified and your IT landscape made more efficient as a result – across the whole business.

Consolidation / rationalization: This brings me onto the next point. Across any organization, particularly large enterprises with different departments and lines of business, there are an innumerable number of software, hardware and IT requirements needed to keep things running smoothly. Add to that the multitude of options available today in the software and cloud space, and there is highly likely to be an overlap in functionality and many products that are not being used as a result. This is where ITAM is key, helping organizations to identify products that potentially do the same job and subsequently enabling them to consolidate their portfolio and save money in the process.

Integration and application portfolio management: Companies are indeed seeking to consolidate their technology platforms and create a more united set of integrated technologies to act as one platform for the business – improving costs and efficiencies in the process. But to create this unified, seamless estate businesses need to not only know what hardware/software is in use, but which business units, projects and business applications are using them, so they can define the value and see where efficiencies can be made.

Where ITAM comes in is that it brings this ‘big picture’ together, preventing disparate business functions from operating in a silo, and therefore precluding bigger efficiencies and savings being made across the organization. A properly implemented ITAM function though can ensure your systems and data provide the full picture of where changes can be made for the better.

Cloud migration: Cloud migration is most definitely here to stay. And ITAM teams should be part of that narrative, helping organizations to make the transition in the most efficient, risk-averse, and cost-friendly manner possible. In addition, as software publishers seek to get their customers to move to cloud software, support for legacy/on-premise technology is being ended – and many organizations are stuck for how to proceed. This is where ITAM can take responsibility and ensure companies who are somewhere between on-premise and cloud are still able to operate efficiently and without being taken advantage of by publishers.

SaaS and IaaS: In today’s cloud-first world, SaaS is everywhere. Whilst these subscription-based services are great for organizations who are after flexible licenses and solutions, especially in the era of labour shortages and the Great Resignation, there are still risks to be considered – most notably, cloud sprawl, in which businesses can find their cloud purchasing running away from them. In the light of IaaS as well, where companies are operating across multiple clouds, it is more important than ever that someone is managing these cloud environments – and who better to call than ITAM professionals who are living and breathing cloud transformations and migrations daily.

FinOps: Very much the ‘new kid on the block', FinOps is the latest cost-saving methodology that is hitting the headlines and grabbing management and budget holder attention. From an ITAM perspective, it is important to at least understand the concepts and what FinOps is trying to achieve. If your organisation is seeking to setup a FinOps function, ITAM teams should not hesitate to be part of that initiative.

Ideas to define ITAM value

Getting management buy-in for ITAM can be tricky, but here are some ideas of how to get them on board.

Keep a journal/diary: A journal of what you have achieved and produced as part of ITAM can highlight how much of what you do is productive or contributes to a business project and, equally, how much time you spend working on things with no visibility that are hidden in a ‘black box’ with no overt value to the business. It is important to have a balanced view to show the business the value of what you do.

Write an end of year report and track your successes: If you laid down all your achievements and the value you generated in a year, is it impressive? Does it look like what your function does is worth the cost of the people, technologies, and other resources? If so, then you have your argument and evidence to go with it. In addition, by always tracking your successes such as risk mitigations, costs savings and opportunities for further improvements, you will have even more proof in your portfolio that ITAM can drive value.

Ask your business what they want and review your ITAM processes: It is important to find out what your organization’s goals are, both holistically and in terms of ITAM – is cost-saving the most important item on the to-do list, or does migrating to the cloud take precedence? Find out so you can ensure you are aligned with management’s agenda and can adapt your ITAM practices to meet these goals. Indeed, if you are following the same old ITAM processes that were designed for an older and different world it could be time for a refresh that better fits today’s digitalised playbook.

Avoid operating in a silo: ft is extremely easy for  ITAM to become ‘out of sight, out of mind’ – so, take the initiative and go and look for opportunities to connect your systems to other business platforms such as CMDB or IT security, so that you are not relegated to the back bench. Similarly, partner up with other business units and create shared goals so that everyone can see the value that ITAM can bring to the business.

Be proactive about your future training needs: ITAM is an ever-evolving field that requires continuous learning. So, look for opportunities to improve your knowledge, skills and qualifications needed to better understand the ITAM landscape. Ask for training, and by showing proactive interest you can start a wider conversation about change and ITAM’s importance to businesses today.

You can tune in to the full View the full online seminar, and do not forget to check out for Part 1 of the blog series.

Livingstone are recognized as a Leader in the 2022 Gartner Magic Quadrant for SAM Managed Services. To find out about how Livingstone can help your ITAM needs, please get in touch.