INTELLIGENT BRANDS // Software for Business
Software is eating away at enterprise budgets , but it doesn ’ t have to be this way
Nexthink , a leader in Digital Employee Experience ( DEX ) management , has revealed a new study , IT ’ s Big , Expensive , Software Experience Problems which reveals the startling lack of understanding IT has around employee adoption and usage of applications .
A proportion ( 22 %) of IT executives surveyed claimed that ‘ total software spend ’ was their most pressing issue alongside 13 % who reported ‘ Shadow IT ’ ( employee use of unapproved apps and services ). Despite these top priorities , IT decision-makers are roughly aware employees use between 11-50 applications every day but were unsure how many of those were in active use and how many seats ( licenses ) were available .
Only 5 % of respondents reported having complete visibility into the total number of employees that adopt and use companyapproved applications . This is leaving roughly 95 % of IT leaders in the dark wondering whether their employees use the tools they ’ ve been provisioned .
“ Set aside the security concern for Shadow IT – this creates a lot of spending waste on unused licenses ,” said Yassine Zaied , Chief Strategy and Marketing Officer at Nexthink . “ At a price of US $ 100 per application license for 10,000 licenses , if 500 employees aren ’ t using their license seats , that ’ s almost a million dollars each year that could be taken back and reallocated . Software licenses can easily eat large portions of an IT budget unnecessarily , which is why IT needs the visibility to see this and take appropriate action .”
This report was sourced by Gartner Peer Insights , which surveyed 200 IT executives in North America and EMEA to understand the software landscape at their organisations , which issues they face and how leaders can better manage overspending in a tight economy .
Additional key findings from the report :
• Third-party SaaS and custom web apps account for the vast majority of IT troubleshooting – when asked ‘ how accurate is the following statement : thirdparty SaaS or custom web application issues account for the majority of our employee IT troubleshooting ’, a large number ( 75 %) reported somewhat accurate or very accurate .
• To quantify how long it takes them to resolve those incidents ( desktop vs . web applications ) – 70 % reported it takes their teams between six to 24 hours to fully resolve a single employee issue , whether it ’ s a desktop or web application problem .
• 85 % strongly agree or agree that IT leaders want to cut / optimise software license spending but are concerned about impacts on employee productivity .
• When it comes to mergers and acquisitions , only 6 % of IT leaders feel highly confident that they can balance consolidating employee hardware and application licenses with improving productivity . p
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