Software vendors worldwide undertake compliance/audit/anti—piracy activities to protect their intellectual property (IP).
Effective Software Asset Management (SAM) has the potential to benefit any organization through cost control, process optimization and reduction of contractual, reputational, information security and, in turn, financial risks. However, not every organization has personnel skilled in handling their software estate. Training employees and creating a dedicated SAM team can be intensive on time and resources. The solution that effectively addresses this issue is SAM as a managed service.
Software Asset Management (SAM) is as critical to an organization’s operations as some of the traditional support functions performed by HR, IT and Finance.
Organizations spend considerable time, effort and cost in identifying, assessing and controlling risks to their business and earnings. Risks could stem from several sources — both internal and external — and include natural disasters, socio-political environment, or business strategy, people, processes and information security. The range is wide.
What can and probably will affect your software licensing process?
The general impression about license compliance is that it’s just a game of numbers — “We have installed five licenses of ’X’ software and procured three, so let’s buy two more.” However, licensing involves many more complexities, such as ambiguous clauses and metric definitions which CIOs and CTOs should be aware of.
Freeware is proprietary software that is available for use at no monetary cost, though it cannot be modified, redistributed or reverse-engineered without prior permission from the author.  The two most popular examples of freeware are Skype and Adobe Acrobat Reader. 
Software Asset Management (SAM) is quite a simple concept. It revolves around management and optimization of software assets through their life cycle, from purchase to disposal. However, not paying heed to this critical activity, can have dire consequences in the form of bad publicity and monetary implications.