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Insurance Provider Optimizes SAM Governance Resulting in $20M in Cost Savings and Cost Avoidance

(April 2022)

SAM teams can use this case study to understand how developing a centralized SAM governance program can lead to cost savings and drive strategy across the firm’s software assets.

Company Profile

  • Industry: Healthcare
  • Size: 1,000 – 5,000 Users
  • Revenue: 5B – 10B USD
  • Region: North America
  • Market: Enterprise
Total Cost Analysis:
In cost avoidance & cost savings

The Challenge

Recurring Issues in Managing and Tracking Software Entitlements

Due to a lack of governance, specifically ineffective controls and defined processes, the client was unable to accurately measure and account for licenses purchased and licenses deployed across 15 major software publishers. 

The Solution

Implement Appropriate Processes, Controls, and Tests to Identify Risks 

The provider partnered with  Anglepoint in a Managed Service to:​ 

  • Increase visibility around software contract renewals for the 15 in-scope software publishers 
  • Build a plan-on-a-page to review license consumption, based on contract renewal dates​ 
  • Accurately report license consumption and requirements for 15 in-scope publishers, leading to cumulative cost avoidance & savings of around ~$20M
  • Implement, configure, & manage vendor required tools, such as IBM’s License Metric Tool (ILMT) 
The Impact

Millions in Cost Savings

  • $12.8M realized cost avoidance for IBM​ 
  • $4M realized cost avoidance for Computer Associates
  • $400k realized cost avoidance for VMware 
  • $3.3M in cost savings over multiple publishers including Microsoft, Salesforce, VMware, Quest, Computer Associates, Micro Focus, SAS Institute, Red Hat, Tableau, and Informatica

Not only did they lack a contract repository, but they were tracking deployments for multiple publishers.

Exhibit 1:

Cost Savings Breakdown

“Our Anglepoint experience was valuable. Anglepoint helped us establish a Software Asset Management practice capable of analyzing our own license positioning for software vendors.”
– Director, IT Governance