Best Practices Cutting Costs with Pre-owned Licenses: The Magic of Large Numbers

20. August 2020 – Hirsa Navid
Cutting Costs with Pre-owned Licenses: The Magic of Large Numbers

"Up to 70 per cent less on the price tag" — that is surely something to think about. However, the positive effect on any company's bottom line will become much more impressive once you phrase the economies made possible by purchasing legally compliant pre-owned Microsoft volume licenses in absolute figures. And the more of those licenses are put to work the more zeros will beautify the saved amount …

In search of an alternative to new licenses

This was the case at a globally operating electronics group. This organization had committed itself to a strict non-cloud strategy to last until 2025 but required an increase of its pool of licenses for Microsoft products such as Office 2016, MS Visio, and MS Project as a consequence of business growth. In an effort to explore alternatives to purchasing new software licenses, company members contacted TAP.DE Solutions, a strategic Relicense business partner specializing in workplace and process consulting.

Savings: 800,000 euros. Risk: Zero

An intensive consulting phase ensued, in the course of which business consultants from Relicense and TAP.DE elucidated all the basic formal and legal conditions and calculated the overall saving potentials. As a result, the decision was an easy one for the electronics company officials to make. A subsequent internal review of Relicense's quote unearthed no reservations of any kind, technical, financial, or legal. So the decision was made to purchase pre-owned Microsoft licenses entailing a cost of around 400,000 euros compared to a purchase price of 1.2 million euros as originally calculated for the same amount of new licenses. No less than 800,000 euros were saved with no penalty in productivity or any other necessitated compromise whatsoever. A lump of money very welcome for other desirable investments.

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