Software Audits: Are You Ready? - InformationWeek
IoT
IoT
Software // Enterprise Applications
News
1/28/2014
09:50 AM
Connect Directly
Google+
LinkedIn
Twitter
RSS
E-Mail
RELATED EVENTS
Threat Intelligence Overload?
Aug 23, 2017
A wide range of threat intelligence feeds and services have cropped up keep IT organizations up to ...Read More>>

Software Audits: Are You Ready?

Study reveals more than half of companies have faced software audits within the past two years. Microsoft, Oracle, SAP, and IBM top list of auditors.

Comment  | 
Print  | 
Comments
Newest First  |  Oldest First  |  Threaded View
<<   <   Page 2 / 2
D. Henschen
50%
50%
D. Henschen,
User Rank: Author
1/28/2014 | 11:16:11 AM
Cloud (SaaS) Is Easier
You got it right that cloud -- at least software as a service -- is easier. You're logging into the vendor's data center, so they know very well how many people and servers are accessing the service. No auditing necessary. Subscribers also get insight into exactly what they're using, so it should be obvious if there are subscribed capabilities that they're not using.
Marilyn Cohodas
50%
50%
Marilyn Cohodas,
User Rank: Author
1/28/2014 | 10:46:08 AM
Re: Audit Questions
I'm also curious about how software companies handle audits of cloud apps licenses, e.g. Office 365. I suspect that would be much easier to police than installed software. 
D. Henschen
50%
50%
D. Henschen,
User Rank: Author
1/28/2014 | 10:39:27 AM
Audits vary in their invasiveness...
I've seen varying accounts of just how invasive these audits can be. In general, you get a couple of week's notice that there's going to be an audit and you can negotiate on the timing and scope of the inquiry. The vendor usually hires a third-party firm to carry out the review. It may be as tame as a self-audit request for data. That's the experience that Carolina Container had. With D&B, Hoovers and so on, it's pretty easy to know how many employees companies have and whether the numbers might be out of step with reality. There are also "phone home" reporting mechanisms built right into a lot of software, so you're vendor may have insight on what's in use within certain networks without having to do much poking around. If there's suspicion of non-compliance, the investigation might progress to code scanning of networks using the same sort of technologies that software asset management vendors build into their software.

In extreme cases at large enterprises, audits can drag on for months, and complications include having multiple generations of software, using snipets of larger software packages, having software that has been migrated to new generations of hardware, and, of course, complicated terms and conditions.  
RobPreston
50%
50%
RobPreston,
User Rank: Author
1/28/2014 | 10:07:02 AM
Re: Audit Questions
I now see that you already explained that the right to audit is part of most contracts. But I'd like to know more about the actual audit process--how intrusive and time-consuming it is. 
RobPreston
50%
50%
RobPreston,
User Rank: Author
1/28/2014 | 10:04:54 AM
Audit Questions
Doug, for the uninitiated (me, for one), under what authority do software vendors have the right to conduct an audit of their customers' software usage? The IRS has government authority. Do the contracts customers sign with their software vendors give the vendors the right to audit at any time? And what (generally) does an audit entail -- an on-site investigation of some sort?
<<   <   Page 2 / 2
[Interop ITX 2017] State Of DevOps Report
[Interop ITX 2017] State Of DevOps Report
The DevOps movement brings application development and infrastructure operations together to increase efficiency and deploy applications more quickly. But embracing DevOps means making significant cultural, organizational, and technological changes. This research report will examine how and why IT organizations are adopting DevOps methodologies, the effects on their staff and processes, and the tools they are utilizing for the best results.
Register for InformationWeek Newsletters
White Papers
Current Issue
IT Strategies to Conquer the Cloud
Chances are your organization is adopting cloud computing in one way or another -- or in multiple ways. Understanding the skills you need and how cloud affects IT operations and networking will help you adapt.
Video
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Flash Poll