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• 39% admit they don’t know what software is on their networks
• 62% still rely on infrequent audits and 51% are still using manual auditing
• 50% recognise the risk of fines from watchdogs and software vendors

Monday 19th July, 2004 - According to research released today by Centennial Software, the network discovery and asset management company, many UK IT managers are leaving their organisations open to severe financial and legal penalties through inefficient asset management practices.

Despite 50% of respondents saying that vulnerability to fines was a major risk of poor software license compliance, 51% are still relying on manual audits, inevitably resulting in outdated and unreliable information. The majority of IT Managers (59%) admitted that it was over three months since they had last audited the IT estate and 39% had only a rough idea, at best, of what software was installed on their network.

Glenn Stephens, Executive VP at Centennial Software, said: “UK IT managers clearly fear the prospect of having their software audited, and with good reason. According to a recent Gartner report*, 40% of midsized and large organisations can expect an external licensing audit in the next two years.” (*source: “Why IT Asset Management in Important Now, 10 June 2004)”

In May 2004 alone, the Business Software Alliance fined US organisations nearly $900,000 for under-licensing software. And FAST (Federation Against Software Theft) is currently prosecuting two UK cases which carry a potential sentence of up to ten years imprisonment plus the closure of the defendants’ business.

“The financial and legal risks associated with under-managing IT are significant,” said Stephens. “The only way to ensure complete confidence and compliance is by having 20/20 network vision by using network discovery technology.”
Network discovery tools, such as those from Centennial, enable managers to make informed decisions about IT and network planning by automatically building a complete view of all hardware, network devices and software deployed across a site, network or entire organization.
The research also reveals further anomalies in regarding the financial implications of asset management; 34% of managers said auditing was too time-consuming (too expensive), yet 31% of respondents recognised that overspending on unnecessary licenses and services as a key risk of poor asset management.

Industry figures show that improved control of software licenses can result in up to 30% savings for many organisations. This is endorsed by Glenn Stephens: “In the majority of cases, users are able to realise ROI within the first quarter by rationalising license and service agreements and making better use of previously hidden assets.”

Survey Methodology:

The survey was conducted online using the rapid research service from electronic marketing specialists, Emedia. Over 265 pre-qualified respondents (predominantly IT managers/directors) answered a series of questions online through their web browser, with their answers stored in an offline database.


Ends

Notes to Editors
About Centennial
With over four million licenses sold, Centennial is a leading supplier of network discovery solutions to global organizations. Centennial products proactively identify and monitor all hardware and software deployed throughout an organization, creating a clear and accurate global view of corporate IT resources and usage. Information provided by Centennial solutions is crucial to supporting informed IT management decisions in business-critical areas such as license compliance, network planning and usage tracking. Centennial also offers seamless integration with complementary business applications such as helpdesk and software distribution systems.

Headquartered in the UK with offices and resellers in all major regional markets, Centennial was founded in 1997 and secured significant investment from venture capitalists, b-business partners, in 2004. For more information, visit www.centennial-software.com



For further information please contact:

Elise Bulger
Worth PR
Tel: +44 (0)20 8439 8200
Email: ebulger@worthpr.com

This press release was distributed by ResponseSource Press Release Wire on behalf of Chemistry TM in the following categories: Business & Finance, Computing & Telecoms, for more information visit https://pressreleasewire.responsesource.com/about.