Assets as in benefits and not (only) costs

When thinking of IT Asset Management, especially in the context of Software Asset Management, much attention is typically directed towards the quest for the most cost-effective licensing strategies. This often involves exploring alternatives like purchasing a cheaper software version with add-ons, optimizing usage metrics, or even discontinuing support in a stable environment. However, this approach primarily addresses IT Asset Management from a narrow, financial standpoint.

My view however, is that the characterisation of an asset extends beyond its mere cost considerations. Assets, including software, contribute significantly to a company's performance, revenue and overall value. It is important to acknowledge that costs are not the only factor that needs attention.

Consider a parallel with an automobile. For instance, a set of spark plugs for my car may cost around EUR38 (yes, I really looked it up, and it is without labor costs). At first glance, one might consider skipping replacement or opting for cheaper, white labeled alternatives. But what if these spark plugs fail? The consequences can be severe—the car won't start, and the engine may incur damage. This, in turn, might lead to the me missing work, potentially affecting my reputation, and so forth. Is it this really worth all this for the sake of a relatively insignificant amount of money? (My response would be 'no!' to be clear.)

This analogy seamlessly translates to the world of software. Frequently, we find ourselves in the pursuit of the most budget-friendly solution, often without a complete insight into all the ins-and-outs of the the environment.

Conclusion: In the grand scheme of IT Asset Management, recognising the holistic value that assets bring to an organisation is of paramount importance. Instead of a singular focus on cost-saving measures, a balanced approach that factors in the long-term implications and contributions of these assets should guide decision-making. In doing so, we can safeguard not just our financial interests but also the integrity and continuity of our operations, which ultimately defines the true worth of IT assets within an organisation.