Due to the highly expensive ‘specialist’ nature of engineering application software, Concurrent Licensing is frequently used. Concurrent Licensing allows for a shared licence pool, limiting the number of purchases required and as such reducing costs. By managing the licences using a limited pool, there will never be the issue of non-compliance, therefore removing the concern of audits and the need to create Effective Licence Positions (ELPs).

However, there are still several areas that must be managed well in order to control concurrent licence costs, optimise their use and gather information to carry out a positive, successful contract renegotiation (so the client can negotiate pricing with the vendor from a position of knowledge and strength and hence get a better price).

To be in the right position to renegotiate contracts the following information is required:

  • How many licence servers are currently installed?
  • How many concurrent licences are being managed by each server?
  • How are the licence keys managed – using push or pull strategy?
  • What is the peak usage within each pool?
  • What is the level of denials for each server?
  • What is the Quality of Service for each server?
  • What is the profile of the users?
  • How much is each set of licences costing?
  • How do you intend to manage the contracts centrally?

With this information you must then understand:

  • Where can servers be merged, or licences shared?
  • Can servers and licences be managed centrally?
  • What volume of licences and users can each server manage?
  • How many profiles can be created for users who require specific features?
  • Can processes be changed so users can log onto different servers?
  • Is the concurrent software on premise or in the cloud?
  • What is the distribution of the users by; location, time zone and working hours?
  • Are there priority users or do some users need to be ‘ring fenced’?
  • What is your predicted usage and are there planned changes such as de-mergers?

Even if there is not the complexity of multiple servers and pools, with detailed knowledge there can be a more effective contract renegotiation. Additional tools can help manage licence usage and produce information to help you make positive decisions. A managed service can help produce the correct information, run licence allocations or manage/administer the tools.

Renegotiation of the contracts will reduce costs, put you more in control of denials and support planning/forecasts.


To read more about Concurrent Licensing, please refer to the following series of blogs:

Part 1: ‘ What is Concurrent Licensing?
Part 2: ‘ Concurrent Licensing – Challenges & Benefits
Part 3: ‘ Concurrent Licensing – Controlling & Optimising Costs

For further information on how ITAMS can help your organisation with Concurrent Licensing please download our ITAMS_LM Service Overview.

Alternatively, you can contact us on: 03704 050508 or email your enquiry to info@itamsolutions.com.