Software vendors or third-party organizations conduct software audits to assess your organization’s compliance with software licensing agreements and usage terms. The purpose of a software audit is to verify whether your organization is using the software in accordance with the terms and conditions outlined in the software licenses. If your organization is found to be non-compliant, an audit can result in a hefty fine or penalty.
It's critical to take software license compliance seriously and proactively manage software assets. This includes understanding license terms, tracking software usage, conducting regular internal audits and seeking legal or consulting advice if needed. With effective ITAM practices, prevention is often more cost-effective than dealing with the consequences of non-compliance.