Software costs continue to rise for most companies. A software asset management (SAM) tool will help IT manage those costs but, before implementing such a tool, how can you ensure the investment is wise? The new Forrester Consulting’s Total Economic Impact ™ (TEI) study shows Snow’s SAM solution delivers a 428% ROI.
In a recent webinar that discussed the results of the TEI study, we joined Sruti Pegatraju (Forrester senior consultant) and Beth Kaminski (Managing partner at Kaminski Specialty Consulting) to examine the three-year impact Snow’s SAM solution delivers in detail. The results are eye-opening:
- Benefits of nearly $5 million versus costs of $942,000
- Net present value of over $4 million
- ROI of 428%
- Payback period of six months
Breaking down a 428% ROI
To better understand the benefits, costs and risks associated with such an investment, Forrester interviewed four Snow customers in the U.S. and Europe with experience using Snow’s SAM solution. Forrester aggregated the interviewees’ experiences and combined the results into a single composite organization for this study. Take a look at some of the highlights below.
- Reduced software spend by more than $4 million over three years. With Snow’s SAM solution, organizations were able to see what software they needed and how many licenses were used, which led to more effective license management. The organizations could then streamline and standardize the software they make available to end-users. On average, Snow’s SAM solution reduced overall licensing costs by 5%.
- Productivity and software management efficiencies saved more than $359,000 over three years. Snow’s unified dashboards, workflow automation and intuitive reporting, saved SAM team members’ time. It also helped SAM and IT teams respond faster, more efficiently and utilize time savings for improvements and innovation. Before Snow’s SAM solution, the composite organization had to dedicate 2.5 full-time employees (FTEs) to manually report on its SAM environment and produce the same level of insights or visualizations that the Snow SAM solution could provide.
- Improved audit efficiency saved more than $520,000 over three years. Improved accuracy, compliance, internal controls and chain of custody trails gave auditors at the interviewees’ organizations a more straightforward task to verify results. As opposed to fragmented data or manual processes, the Snow SAM solution produces immediate validation for the composite organization’s auditors and internal compliance FTEs, saving on average 50% of the time previously required per audit case.
Additional SAM benefits
Beyond these quantifiable benefits, the study also revealed that organizations using Snow’s SAM solution gained several other important benefits including smoother vendor contract negotiations and renewals, enhanced business agility and significantly stronger compliance and security posture. In addition, more flexibility was also discovered, including improved SaaS governance and tighter alignment between IT and the business.
If you’re considering a shift to a formal SAM solution but would first like more information on the ROI it can bring, download the Forrester Total Economic Impact Study of Snow Software Asset Management.
You can also listen in as Forrester walks through the compelling results in the full webinar.