Organizations that centralize their software purchases stand a much better chance of being software compliant than those that do not have a formal process in place.  This is true for small and large organizations alike but certainly the risk of non-compliance increases as the size of the organization does.

The advantages of centralizing software acquisition cannot be overstated.  For those organizations that do not centralize their purchases, they run the risk of being either underlicensed or overlicensed.  After performing a software audit, many organizations have found that they are both underlicensed for some software titles and overlicensed for others.

Some organizations that are underlicensed have found themselves in the middle of an enforcement audit or lawsuit simply because the IT department did not have control over the software their employees were purchasing and using on a daily basis.  Organizations that are the target of these types of investigations run the risk of monetary fines and negative publicity. More...