Date:
9 Mar 2023
Author:
PREO AG
On-Premise vs. Cloud
How companies and public administrations benefit from second-hand software
The Corona pandemic and the energy crisis have shown us that our society has some catching up to do in terms of digitalisation. This is particularly visible in the area of public administration. For example, Education and Research Minister Stark-Watzinger recently had to explain that the development of an online platform for the payment of the energy allowance of 200 euros to students is still not ready for take-off!e, Due to a lack of digitalisation, the purpose of an "emergency aid" is reduced to absurdity. The more we see there is a lack of digitalisation the clearer it is that efforts need to be stepped up to match the current digital age.
Increasing automation and efficiency improvements in work processes and organisational procedures in companies and public administrations are already opening new perspectives and revealing exploitable potential. Cross-border, location-independent working and the use of artificial intelligence (AI) are two current and future trends.
"Software as a Service" offers numerous opportunities here to benefit quickly from the latest developments. Large providers, such as Microsoft, are growing strong in the area of their cloud products and associated services. However t current cloud software and services also generate corresponding IT costs. What is in any case a lucrative business model on the provider side can quickly turn into a financial, but also a security-related challenge for customers. Financially, high rental costs tie up a large part of the budget in the long term, and IT costs will continue to rise due to dynamic development. Security-wise, companies or public administrations place the availability of their software applications at least partially, but often completely, in the hands of providers, which noticeably increases the dependency risk.
Reduce IT costs, increase data security and availability
Recentlyit hasbecome clear on several occasions what massive drawbacks , even a temporary server failure at a large cloud provider, hacker attacks or fibre optic cables cut during construction work can cause. Companies that work with MS Teams, Deutsche Bahn and Lufthansa, among others, had to deal with the sometimes chaotic consequences. Especially in sectors whose business is in the area of public services, such as health, energy, transport or waste disposal, as well as public administrations, the factors of data availability, data sovereignty and data security are particularly important. A credo of many decision-makers and IT managers is therefore: to reduce IT costs and increase data security and availability. PREO shows you how this works in practice with used software.
Reduce IT costs with used software
Our experience shows that in most companies there are a large number of workstations for which comparatively high-priced cloud software is usually significantly oversized due to the existing requirements. Particularly in the stationary area, for example, used volume licences are an ideal alternative and ensure a sustainable reduction in IT costs:
Advantage 1 - Direct cost saving
With common standard software from Microsoft, such as used MS Office licences, savings of 50 to 70 percent can be achieved compared to the latest manufacturer version. This is similar for operating systems, such as used Windows licences or used Microsoft server licences including server CALs. The sustainability effect is particularly rewarding because the savings achieved continue year after year.
Advantage 2 - Re-monetisation of licences no longer required
Since used software licences do not age, there is always the possibility of selling them again when they are no longer needed. This happens more often than you might think, for example in the case of internal restructuring, outsourcing projects, site closures or the sale of business units.
Advantage 3 - Reduced internal user support and training effort
As a rule, older software is much more mature. It has usually already been updated several times, runs more stable and the applications are better known, especially with standard programmes such as MS Office. The result: less work for user support and less effort for internal training.
IT costs reduced sixfold and more independence gained
Due to an imminent end of support for implemented Microsoft Office licences, the strategic question for the Medius Hospital Association from Baden-Württemberg with over 3,000 employees at three locations was: Switch to Microsoft Cloud and rent the Office 365 software or rely on more up-to-date used Office licences and thus a proven on-premise solution?
In this customer case, you can find out why IT manager Dietmar Zelinski decided against a cloud switch instead of using software, and how PREO's independent consulting and industry expertise convinced him. As a result, Medius Clinics were able to realise six-figure savings over three years.
Reduce dependencies and preserve data sovereignty
The greater the degree of digitalisation of a company, the more important all security factors become in this context. Because only when software assets and the data volumes to be processed are compliant, secure and available at all times do real competitive advantages arise. Compliance and audit security are the top priorities for PREO's used software. For this reason, we offer all customers the PREO Safe3 system, which provides them with real added value in terms of security and transparency. In all three phases of the buying or selling process, we ensure that
- the resale is legitimate,
- the rights chain is fully documented,
- is secured via our blockchain,
- you receive audit-proof evidence and
- We are insured against any recourse obligations.
This is particularly appreciated in industries where a high degree of sensitivity is required in daily data handling and high demands are placed on data security and availability. It is not without reason that many of our customers come from the energy, waste disposal, finance, transport and health sectors. This is also confirmed by the following customer case of a large German hospital operator.
Reduce IT costs, increase self-sufficiency, increase data security
Cost pressure, data protection, compliance guidelines - the demands in the healthcare sector and especially on hospital operations are high. With over 160 clinics and healthcare facilities and more than 47,000 employees nationwide, the healthcare group Asklepios is one of the leading private operators. In this interview with Christian Schmidt, Managing Director of Asklepios IT Services, you will learn how he found a legally compliant and scalable solution with used software from PREO and thus achieved a 50 percent saving.
With used software from PREO you not only reduce your IT costs
Are you planning to sustainably reduce your IT costs in the area of software asset management with used volume licences, for example from Microsoft, while maintaining or expanding your data independence? Have you not yet completed your internal considerations? Then take advantage of the free and non-binding initial consultation with the PREO licensing experts and benefit from:
- high savings in ongoing licence costs compared to the respective new version of up to 70 percent and in individual cases even more.
- personal advice on all issues relating to the integration of used software into your software architecture and licence management.
- 100 percent legally and audit-proof licence acquisition with maximum transparency in all processing steps including complete documentation in the PREO licence portal "Easy Compliance".
- Existing capacities for software licence management in large IT infrastructure projects with thousands of workstations and transnational locations
- detailed market knowledge and extensive experience through the audit-proof transfer of over one million used software licences.
That's not convincing enough for you? Then take a look at our reference projects, which we have already successfully realised for numerous well-known companies.
