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Rampant Waste: the Hidden Cost of Enterprise Software


A new Flexera Software report reveals that most organizations are unnecessarily wasting significant portions of their enterprise software budget.

Consider these statistics: 75 percent of enterprises are out of compliance with regards to at least some percentage of their software, 44 percent of enterprises (compared to only 25 percent the prior year) paid $100,000 or more in true-up costs to their software vendors as a result of noncompliant software use; and for 20 percent (up from only 9 percent in the prior year) the software audit true-up costs were $1,000,000 or more! In addition, 93 percent of organisations report spending money on at least some software that is under-used — i.e. shelfware.

Increasingly enterprises are waking up to the fact that as much as 25 percent of their software spend is being wasted — but many are less clear on why this waste is occurring and what they can do about it.