SOFTWARE ASSET MANAGEMENT: What Is It and Why Do I Need It? Chapter 11: Variance Analysis and License Reconciliation Carl A. Bolton Author

Description A variance, at its most basic, is the difference between two values, the planned value vs. the actual value. In Software Asset Management, the variance analysis looks for differences between software entitlement and consumption. That is, it compares actual license entitlement (e.g., purchases, subscriptions and contract maintenance grants) with consumption (e.g., user or device access and installed software inventory). It may also compare planned purchases and the intended use given for them with historical patterns. The primary objective is to find discrepancies that require further examination and determine whether to take any corrective action.