Best in Class Software Savings through Optimization not Negotiation
Project and Program: Enterprise Data Center
, Data Center Management
, SHARE in Anaheim 2012
How good is ";Best in Class" and how do companies get there? While most data centers are spending substantially more today than 10 years ago for software, industry unit costs have fallen. The corporate objective of cutting software costs appear to be coming back each year and it has forced data centers to be creative in how they achieve software savings. Software savings through negotiation is no longer sufficient in reaching the targeted savings goal. While many data centers are negotiating 60-90% discounts from their software vendors, they are still tasked with cutting an additional 10-20% from their software budget. If software vendors can't easily increase their discounts, how do best in class data centers manage to spend less than half compared to their peers? It's through software optimization. This session will explore the specific strategies, tactics and corresponding results of those rare and few data centers that are spending less on their entire software portfolio than many are spending on their single largest software vendor. Examples will be drawn from a database of over 100 million software pricing and usage data from over 1000 major corporations around the globe.
Michael Paul Swanson ; ISAM
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