A recent study1 indicates that most organisations do not seriously consider managing their software assets, primarily due to the lack of understanding of the policies and procedures. A little over a third of the companies surveyed had little or no control over their software asset life cycle. Lack of knowledge on licensing terms can lead to mismanagement of software, exposing an organisation to copyright infringement, penalties and even litigation.
The average exposure could range from a few lakhs to several crores of rupees. Software companies around the world lose over USD34 billion in revenue to unlicensed installations2.
KPMG’s Licence Compliance Advisory (LCA) services can assist clients in proactively managing their software assets. This in turn can help enhance return on investment by better utilisation of existing software, reducing risk and liability exposure.
Our LCA services can provide clients with an independent report indicating their extent of compliance as well as non-compliance liabilities. We work with client teams to identify the organisation’s current and future software licence requirements and help them plan compliance in a phased manner that complements budgets and cash-flow considerations.
1. KPMG SAM Maturity Landscape document, 2010
2. Research conducted by IDC, 2005
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