Case Study: IT Asset Management - Global Fortune 50 Manufacturer
This multinational enterprise provides IT services to its strategic business units globally. With their IT assets spread across the globe and its various business units, the enterprise was out of control of its IT assets. Although they had an outdated installation of HP Asset Center, it was barely being utilized due to its old version level and the adoption of multiple other asset management systems. The client estimated that they could accurately account for 40% of their assets.
The enterprise wanted better control over IT assets, but was hesitant to commit to a single globally dispersed, enterprise-wide asset management program. With desktops in the hundreds of thousands and software titles in the millions, the company sought a project that could fund itself incrementally, proving value at each phase.
The company had strong motivation to proceed cautiously:
- It had multiple legacy tools filled with massive amounts of data that the company was unwilling to risk in a single migration.
- A competitive asset management system, now outgrown and obsolete, held too much data to safely migrate manually.
- Legacy systems crossed IT and organizational lines with valuable proprietary data that associated personnel, IT assets and legacy contract data, some of it decades old.
After appraising the customer's specific needs, Evergreen recommended an iterative approach based on a manageable subset of assets that would focus on rapidly proving value. This began in the distributed environment, focused on a set of high-value, 'shrink-wrapped' software, including Adobe, Microsoft Project and Visio. This approach was intended to bring significant financial benefit quickly and create visibility to assets throughout the organization. This would allow the first phase of the project to establish a firm foundation upon which to build the multiyear IT asset management program.
Evergreen discovered the installed base of software, performed contract entitlement audits/reviews of procurement history and compared the two to establish the differences. Evergreen then developed software compliance reports for the enterprise as well as the business units by title and version. The results showed extensive under-licensing in the eight-figure range, as well as revealing pockets of unused and/or misallocated inventory in excess of $1 million.
Using Asset Manager, the team was able to balance the under-licensing against unutilized inventory, recapturing 'lost' licenses and components, allocating 'true-up' costs across business units.
These early results encouraged the client to accelerate global deployment of the program and expand the solution to Phase 1.
Once assets and their locations were analyzed, the Evergreen team developed a solution road map that would combine the customer's needs for an incremental implementation preserving legacy systems while also implementing new automation technology that still had the lowest risk of losing valuable data. The solution ultimately included:
- A full cradle-to-grave IT asset management lifecycle.
- A common repository of discoverable and non-discoverable asset information to support decision making.
- A discovery technology audit loop to drive compliance and exception auditing and to ensure real-time accuracy of the asset repository information.
- A technology solution integrating procurement, HRIS, compliance reporting, change processes and a common repository, supported by a full lifecycle workflow engine.
Outcome and Benefits
- Progress in discovery of under-licensing of software that could have risked millions to the enterprise in fines and eradication of future licensing discounts.
- Re-commissioning of unused and underused licenses in excess of a million dollars that were returned to inventory and the funds recovered as a return on investment of the project.
- Showcasing of the project to executive management with proven value to ensure its continuing success.
- Provisioning of a viable IT lifecycle management plan to the company that identified out-of-use and underutilized assets.
- Identification of the need to track software usage data and requirements at the software request phase.
- Implementation of new procedures and processes, enterprise-wide, that allocated and showcased usage and requirements for IT assets at the strategic business unit level, enhancing this multinational’s overall global management strategy.
- Removal of unused software from the desktop inventory as the company developed an IT request management program leveraging the asset repository.
- Reduced risk of fines and under-licensing fees through automated discovery, accurate inventory and reallocation of software licenses.
- Establishment of an enterprise-level asset repository with 90% reliability.
- A strategic plan that crossed databases allocating costs across business units.