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The Hidden Costs of Software Sprawl

Dozens of overlapping subscriptions cost more than their fees. Here is how to audit and consolidate your company’s software.

By Daniel Whitfield, Leadership Editor

Updated 1 min read

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The Hidden Costs of Software Sprawl
Image: Unsplash

As teams adopt their own tools, companies accumulate software faster than anyone tracks it. The visible cost is subscription fees; the hidden costs are duplicated data, security gaps and wasted time switching between systems.

Take an inventory

Combine expense reports, card statements and single sign-on logs to find every tool actually in use.

Look for overlap

Group tools by function and identify where several products do the same job.

Consolidate carefully

Involve the teams who use each tool before switching, and plan data migration properly.

Key takeaways

  • Take an inventory
  • Look for overlap
  • Consolidate carefully

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About the author

Daniel WhitfieldLeadership Editor

Daniel writes about management, boards and the operating habits of effective leaders and organisations.

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