Showing posts with label sharp practices. Show all posts
Showing posts with label sharp practices. Show all posts

Friday, February 21, 2014

When consumers speak out about licensing sharp practices, we're belligerent. When the industry acts belligerently, they're justified?


Definition:  “Belligerence” - aggressive or warlike in nature.  
“…your belligerence is commendable…”
This discussion is a result of a LinkedIn post regarding a shortage in skilled SAM practitioners. Not sure how we moved to this topic but my reply was too in-depth for the LinkedIn word count.

Thanks, Paul!  Just so you understand, this has been an enjoyable interaction. I genuinely wish we could all sit down as a group & discuss these topics – without interference from the software industry players & their friends. Unfortunately, these groups have managed to divide the business technology consumers so that very little coordinated resolutions will be forthcoming anytime soon.


Let’s take your questions one at a time:

It never ceases to astound me how many people perceive anyone who pushes back at the predatory software industry enforcement groups as belligerent. A majority of licenses is specifically designed to be nearly impossible to comply with; license terms & conditions can be changed at will, as frequently as desired, and with little or no notification to the consumer; online licenses are intentionally designed to be nearly impossible to read as well as impossible to print and those of us who speak out against such sharp practices are belligerent? Gee… I guess that would be me, except I have spent years trying – and failing – at the “Renaissance man” approach. 

It’s beyond time that our IT execs & the CEOs/CFOs woke up to discover that it’ll be THEIR names on the non compliance settlement papers. Has anyone READ Sarbanes Oxley or related due diligence regulations? It is beyond time to haul our heads out of that fascinating hole and lead with intelligent awareness.

“…with your process how do you propose to deal with a CEO of an End User who is looking for compliance when his view follows the logic that he does not need to understand electricity to be able to turn a light on and off…”

My clear statement for over a decade has been to require the enforcement industry to publish their audit process, their audit results, and their audit records. As long as these people continue to intentionally hide audit activities – humorously entitling them as “educational”, our executives will never become well aware of the entire range of compliance issues.

Example: Even while “advertising” their $1,000,000 whistle-blower reward programs, the US enforcement groups are actually only handing out around $4,500 in rewards in less than a tenth of the audit action events. Very few people will actually read the fine print in the offer, or actually hear the whispered “up to” in the heavily published ads. In fact, sincewe began teaching SAMs to track enforcement industry press releases, those releases are becoming more & more difficult to locate. (I wonder why?)

I’m sorry but, if a CEO, or any C-suite executive of even a partially sophisticated enterprise is still unaware of at least the fringes of the license compliance environment, they do not belong in their position. At the next level of the org chart, if the IT people, or purchasing, or whoever is working with the licenses is not aware enough to communicate the issues to the C-suite, then THEY do not belong in their position. Let’s see… The real world demonstrates that license compliance & audit costs are serious business & ethical issues. One would reasonably believe that genuine leaders, not figureheads, should be aware of the topics by now.

Example: Any effective captain of a ship is trained & capable of a clear awareness of all aspects of operating & managing that ship. They even know better than to stick a screw driver into a live electrical outlet. That’s called leadership and it’s in rather short supply.

“Why over complicate an issue when we should be feeding the ‘need to be compliant’ story at the User end rather than creating confusion and complexity at the MSP end….”  

Precisely “who” is going to “feed” this information to the end users? I recognize that MSPs are relatively new on the scene but if they cannot fully define their industry perhaps they shouldn’t be in that industry in the first place. In order to sell in a managed service, shouldn’t a key performance indicator be to educate the buyers of root cause & critical underlying operational issues? We can bet the enforcement industry isn’t going to “educate” the end user – there’s WAY too much money to be made in conducting punitive audits for the auditing groups to deliver any thoroughly meaningful awareness campaign.

Example: SAM training programs that are managed by, or reliant upon, the software or enforcement industry players do not teach SAMs how to negotiate audit clauses OUT of licenses. Most of these same programs don’t even discuss negotiating agreements for more favorable terms. And THESE SAMs are the “qualified people” that IT Directors have to call upon for advice?

How many people are aware that the generations & industries who are responsible for a majority of incorrectly licensed products being used on systems are also the most “educated” generations on the planet. The average sixth grader probably knows more about piracy and copyright than our average executive? (Now THAT is scary.) Since the software industry, recording industry, video industry & general copyright enforcement industry began their “education” campaign, incorrectly licensed software & other copyright violation use has soared.

Example: These problems aren’t easy to resolve. However, when a clear majority of end users cannot understand the licenses, they are at minimal fault for not knowing how to behave.(Oh, wait. I nearly forgot. The compliance auditors are “letter of the law” people. Consumers are expected to have a fully legal understanding of all compliance issues.) When these same “end users” are intentionally confounded by shifting terms & conditions; shifting audit procedures; and clueless leaders, what is the logical result? Lots & lots of non compliant companies to audit?  Lots & lots of easy audit issues for levying fines & penalties?

As to an executive not needing to know how electricity works to be able to plug in a light; let’s see how well they learn when they short out the circuit by incorrectly inserting the plug. Don’t suppose someone had to teach them, somewhere, what the hazards of electric current could be… Go back to my knife in the socket analogy.

“If the IT Director has trained staff who are educated to remain compliant in the software deployed on his estate and also trained in the basics which enable the User to follow a path that ensures correct software usage ie not overspending, surely that is panacea? “

This is the key point I have been trying to make: A clear majority of IT Directors does NOT have a staff genuinely trained in compliance. Well over ¾ of existing SAMs have been trained & certified in literal “overnight” certification mills. An additional 70% – have been trained by the enforcement groups or software industry players themselves. Does anyone genuinely believe that these special interest groups are actually delivering the full SAM perspective in less than 12 hours of actual training?

Example: The Institute SCCA & SAM programs deliver over 29 individual online, on-demand, sessions that teach credential candidates the basics of over 42 different types of software licenses. We cover more than 30 specific key license clauses that SAMs must know & understand. We walk candidates through two actual audit scenarios to help them understand what they’ll need to know/do. We discuss how to negotiate many clauses that are onerous OUT of licenses as well as how to insert many clauses that are necessary but missing INTO the license. A majority of SAM certifications – including so-called “standards” – do not touch these topics…

“Are you stating that the ‘Just In Time’ process is not right for SAM?”

Anyone who is foolish enough to play a “just in time” license compliance game does not belong in our industry. Licensing begins when the enterprise identifies an initial need and continues until all products & derivative products relating to the original agreement have been eliminated from all enterprise systems. Compliance issues must also be carefully tracked & managed for as many as ten years after the last product or derivative has been removed.


Maybe you are correct. While I prefer to be labeled as “passionate” about these topics, maybe belligerence is the only method to gain the attention of people who are being robbed blind by an industry that has created the problem, continues to find new methods of enhancing the problem, and continues to conceal their actions behind self-righteous “educational woe is me” public relations campaigns. Anyone who has suffered through a conversation with an enforcement agency or software publisher auditor is well aware that this industry has declared war on its own consumers. My apologies if my “push back”, “know your rights”, and “openly proactive SAM training” frameworks are not gentle enough.

Friday, November 20, 2009

New to technology asset management? Want to succeed? Here are some things to consider.

Technology asset management - software asset management - It's all about putting a stop to status quo - putting a stop to "This is the way it's done...". If you are a "go along with the program" kind of person, you may get the job but you probably won't get the results. If, on the other hand, you are a "cut the the core" kind of individual, you probably have the capabilities to get the results but you probably won't get the chance to do the job.

Interesting quandary? Been there. Done that.

So here's my challenge to you: If you are willing to step up to the plate and change the asset management world, I'll help you all I can. How will you know if joining forces with "The Network!" and "The Institute!" would be right for you? Measure against your honest responses to the following items - don't present your corporate face - present your OWN. Answer as a buyer and use the word "Agree" for "I accept" or use the word "Disagree" for "I'll be taking this acquisition to your competitor" (I'll interpret your score when you have finished...)

  1. This software contract is not negotiable...

  2. The hardware agreement is not negotiable...

  3. The provider reserves the right to change the agreement at will and without notice...

  4. This product is sold "as is"...

  5. You can only purchase a new computer with this specific operating system...

  6. Our product is the only one of its kind...

  7. Our services are supplier-neutral...

  8. Subscription-based licensing is less costly than perpetual licensing...

Remember, "Agree" if you would accept or believe the clause or statement, "Disagree" if you would not accept or believe. Once you are finished, I'll explain how we can help you create a more cost-effective technology environment.

Here's the bottom line:

If you answered "Agree" to ANY of these items, you are an easy target for over-priced & under-delivered technology goods and services. You are a victim of the "this is the way it's done" mindset. You'll pay whatever the supplier asks and accept whatever product they plop down on your desktop. (Scary, isn't it?)

If you answered "Disagree" on these items, there is hope for you... You are on the road to getting actual value for your tech dollars. Consider:

  1. This software contract is not negotiable...

    1. Bull. While the suppliers want you to THINK this, it isn't true. If it is, you need to find new suppliers.

  2. The hardware agreement is not negotiable...

    1. Wanna bet? Re-read the item above.

  3. We reserve the right to change the agreement at will and without notice...

    1. No... You do not and you WILL not.

  4. This product is sold "as is"...

    1. Wrong. I purchased this product to perform specific tasks. If you cannot back the product - in writing - to do those tasks, don't come here trying to sell it.

  5. You can only purchase a new computer with this specific operating system...

    1. No. That's you're agreement with the software publisher. You make money on every one of THEIR operating systems you force consumers to accept. There are alternatives. I want to know what they are & I do NOT expect to pay more to select an alternative.

  6. Our product is the only one of its kind...

    1. Not in THIS century. There are plenty of alternatives that fit my needs & I'm perfectly willing to move to one of your competitors.

  7. Our services are supplier-neutral...

    1. If a supplier taking money from a specific systems or software company, or if the supplier is investing money in becoming "certified" through a specific company then I'd be pretty ignorant to believe you weren't going to recommend (push?) that company's goods or services.

  8. Subscription-based licensing is less costly than perpetual licensing...

    1. Let's see... A perpetual license means I pay one fee and use the product until "I" chose to change or I move to a subscription agreement, paying you a repetitive yearly fee to use whatever product "YOU" are pushing at the time. If version 1 works for me, I shouldn't have to move up to versions 2, 3, 4, and 5 just because you quit supporting them. (I rarely used your support anyway.)

These are VERY simple responses to these very common statements and/or licensing clauses. (Don't believe me? Take time out to read three licenses for products on your computers. Many of these clauses are going to be right there in your hand & you're already legally bound to them.)

Businesses are constantly spending too much for too little in terms of software assets, hardware assets & support / maintenance agreements. Not only do we spend too much, we have also been carefully trained to accept whatever products or services are slapped with a "
cutting edge" label. If you want to get serious value for your technology dollar, you need to be part of The Network and The Institute.

Our core purpose is to teach you - YOU - how to change your relationships with technology suppliers. If you do not get proactive on this you'll continue to be a helpless victim of tech sharp practices in licensing & related agreements. Get what you expect & only pay for what's delivered.

Sunday, May 3, 2009

Is that Free Software Download a Deal?

I'm not so sure. Keep in mind that, in the average corporation, nearly ANY employee could easily bind you to the license coupled to the product I am going to discuss.

Last week I found a seriously useful "free download" product that enables you to manage the power consumption of your computer--great idea, right? As one of the world's more slightly pessimistic IT consumers, I carefully reviewed the web site for functionality details. Everything looked pretty good so I decided to try it out. I initiated the "free download" and we were immediately off to what I prefer to call the software licensing sharp practice races.

For those of you who may not be aware, a majority of those free software downloads from the Internet have a licensing process entitled "click wrap" as part of the download. Most of these licenses are acceptable (barely) but many of them are deadly when placed on an enterprise computer.

My first hint that this might be a problem download was when the pre-load license popped up in its tiny little box. You know the license box I mean? It usually measures about two inches high by four inches wide on your monitor and conveniently hides three to thirty pages of highly complex and legally binding license terms and conditions. (And, yes. It has been tested in court.)

The second hint was when I wasn't permitted to copy the license text out of the box so I could read it--printing was acceptable, NOT immediate reading. (The setting on this permission, in my experience, is one of the most significant flags that you do NOT want to place this product on your system.)

So... I printed the license out. (Remember, 99 out of 100 employees--even a majority of your techies--never bother to read this type of license.)

Guess what? One of the most blatant clauses in this license is that the software publisher could download information about your computer at any time and without notifying you. Don't get me wrong. Naturally, the license included clear statements of "Oh, we're not going to..." yadda-yadda. But, in reality, this free download opened your system up for inspection by both the original software publisher AND any secondary publishers who contributed code.

What's more, and it's also very typical of these licenses, the document was absolutely loaded with onerous terms and conditions. I immediately stopped the download and removed all trace of the product from my system. Maybe you would stop it, too, but how about other personnel in your company?

Might be something to consider...