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Software Licensing Audit Plans/Programs

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  • 1.  Software Licensing Audit Plans/Programs

    Posted 21 Jan, 2020 07:37
    Good Day,

    I am performing an audit of Software Licensing and am looking for a good working program.
    The main objective is to:
    1. find out if all the softwares that are being used are licensed
    2. to check if we are either under utilizing our software licences or if we over utilizing them (are we paying more or we are paying less for the licensing) 


    Can anyone assist in providing audit programs or documentation on this

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    Fletcher Mutukwa
    IT Auditor
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  • 2.  RE: Software Licensing Audit Plans/Programs
    Best Answer

    Posted 22 Jan, 2020 01:01
    • Review the listing of all standard, used and licensed application and system software.
    • Obtain copies of all software contracts for such software to determine the nature of the license agreements (e.g. For Free Licenses-->open source, free ware and share ware; For Paid Licenses-->per CPU, per seat, concurrent user, and enterprise etc.).
    • Scan the entire network to produce a list of installed software.
    • If required, review a list of server specifications, including CPUs and cores.
    • Compare the license agreements with installed software, noting any violations.


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    MD Tanvir Rahman
    IT Auditor
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  • 3.  RE: Software Licensing Audit Plans/Programs

    Posted 22 Jan, 2020 01:15
    Thanks MD Tanvir Rahman,

    That will help alot.

    One more question on the issue of --> are we underpaying or overpaying for the licenses what might be the best approach?

    regards,

    Fletcher M.


    ------------------------------
    Fletcher Mutukwa
    IT Auditor
    ------------------------------



  • 4.  RE: Software Licensing Audit Plans/Programs

    Posted 22 Jan, 2020 01:33
    I am not sure about the best approach. In my opinion, underpaying or overpaying both might have risk depending on the requirements from regulatory authority and the influence of the software vendor for reputational & penalty issues. The management should analyze the cost benefit, to justify their decision on payment for licenses.

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    MD Tanvir Rahman
    IT Auditor
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  • 5.  RE: Software Licensing Audit Plans/Programs

    Posted 22 Jan, 2020 02:43
    Thanks MD Tanvir Rahman,

    In addition to what you just highlighted would it not be wise as well to firstly review the metrics or procedure or model that is being used to formulate or to come up with the final payment model that is used when we engage the software vendor and then compare this to the independent payment model that the software vendor uses. Then try and see where there might be mismatches or deviations.

    regards,

    Fletcher M.

    ------------------------------
    Fletcher Mutukwa
    IT Auditor
    ------------------------------



  • 6.  RE: Software Licensing Audit Plans/Programs

    Posted 22 Jan, 2020 01:40
    Thank you MD Tanvir Rahman

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    Fletcher Mutukwa
    IT Auditor
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  • 7.  RE: Software Licensing Audit Plans/Programs

    Posted 05 Feb, 2020 00:57
    @md Tanvir rahman
    in the absence of rigid or meaning full organizational standards, what global best practice standards or frameworks might one utilize?
    ​​

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    Fletcher Mutukwa
    IT Auditor
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  • 8.  RE: Software Licensing Audit Plans/Programs

    Posted 27 Jan, 2020 02:39
    https://www.isaca.org/Journal/archives/2019/Volume-6/Pages/auditing-software-licenses.aspx



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    Ian Cooke
    Audit & Assurance Topic Leader
    ISACA Journal Columnist
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  • 9.  RE: Software Licensing Audit Plans/Programs

    Posted 27 Jan, 2020 03:20
    Thank you Sir Ian Cooke.

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    Fletcher Mutukwa
    IT Auditor
    ------------------------------