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Licensing and understanding licensing is a crucial role for an IT department. However it often isn't easy to identify the licenses you need to remain on the right side of the intellectual property law. Below are overviews of the most common forms of licensing to give you some idea where to start.

Several standard licensing options are available to meet your needs and save money:

Software Asset Management

To help you through this minefield of information we also have trained professionals who understand the licensing scenarios. We can also offer you a Software Asset Management service to simply the management of your licenses, product upgrades and support agreements.

Volume License Agreement -- Discounts for large volume purchases
A software volume licensing agreement allows a business the right to copy and use software obtained under the agreement for licenses purchased. Purchasing under a volume license agreement offers you substantial discounts for purchasing multiple licenses. The larger the software purchase, the greater the discount.

Full-Package Software -- One software package per user
One boxed product per desktop/server includes a CD and/or disk and documentation. Pay for upgrades on an individual basis. This is often associated with off-the-shelf boxed products.

Licensing Packs -- Offers a discount over the full-package option
Licensing packs provide a discount over a single box purchase. Packs usually include multiple licenses and comes with or without CD/disks or documentation. Customers pay for upgrades on an individual basis.

Transactional Licensing -- Earn discounts for the future based on past purchases
Most manufacturer programs have entry levels as low as 10 or fewer licenses. Depending on the initial volume, you receive a discount level, which is applied to subsequent purchases. Pay for upgrades on an individual basis or when placing your software order. Documentation and media may be purchased separately depending on manufacturer.

Contractual Licensing -- Pay a discounted rate based on forecasted use
Most manufacturer programs start at a minimum unit level. The customer signs a forecasted use level with a software vendor, and a discount level is assigned. This discount level is applied to all future purchases for the life of the contract. Most vendor programs may include maintenance (upgrades) for one or two years. Initial documentation and media may need to be purchased separately.

Enterprise Licensing -- All desktops standardise on a software package
This licensing is based on number of desktops/users. A two- or three-year contract is signed with a software vendor, and a discount level is assigned. All desktops within the organisation standardise on a software package. The discount level based on total number of desktops forecasted and includes software upgrades. Documentation and media may be provided and/or purchased separately.

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