Beginner's Guide to SaaS License Management

Beginner’s Guide to SaaS License Management

Stanislaw Lee

In an environment powered by SaaS applications and cloud services, the devil is in details. SaaS licensing is one detail that often torments IT department.  Unknown cloud-based licenses pose a great risk to the enterprise’s IT budgets. The following explains how SaaS licensing works and how to easily manage licenses in your organization.


How SaaS Licensing Works

A decade ago, software licensing was part of a software purchase, paid as a capital expense fully and upfront. Today, with increasing adoption of cloud-based applications, SaaS vendors prefer to provide an application in the subscription-based model and the cost is a part of operating expenses, paid per month or per year. SaaS licensing has many benefits like flexibility, affordable price tag, and ability to drop or add a group of users, and much more. There are two types of SaaS licensing:

      • Per-user is standard SaaS licensing type, in which every user who has accessed an application gets a license.

      • Usage-based type allows companies to pay for just for the usage of application, but it still requires a fixed price even if an app is not used.

 

How to Manage SaaS Licenses

Going over all of our licenses and making sure that your company’s not over-spending is a tedious job, so no wonder that organizations usually defer it. Today, there is no need to manually manage and optimize countless SaaS licenses in your organization. Binadox automatically analyzes license data of each employee and shows exactly what SaaS licenses are used, underused or unused in your company, which licenses can be removed and which of them can be re-assigned.

Through one powerful license management dashboard provided by Binadox, you can access cost optimization data of each license as well as ensure security of sensitive enterprise or customer data. With visibility of all licenses and exact usage of application you will have upper hand in negotiating renewals and ensure compliance of all SaaS licenses.


License Optimization

Today, license optimization is not just beneficial for businesses that want to grow and rein in the SaaS era, it is necessary for them. With the ability to monitor and track usage of SaaS applications, their spend and their licenses, you can get all required insights and analytics to effectively optimize SaaS licenses in your organization.

Binadox provides a single view of all applications and allows seeing the wasted licenses breakdown. Thus, you will find multiple opportunities for license optimization including:

      • Remove licenses of users who are no longer working in the company. Therefore, you will improve your security and also make sure that none of your ex-employee can access to sensitive data.

      • Change or remove licenses of users who are under using or not using the application.

      • Discover licenses of users who can’t access a certain app.

Binadox makes license management and optimization in your company effective, advanced and efficient. To learn more about the platform that’s revolutionizing Software as a Service management and optimization, sign up your Binadox account and start your free trial.