Learn from IDC Analyst Carla Arend on the topic of digital transformation, cloud adoption and the impact on software asset management (SAM) and security teams.

1. Digital Transformation, Cloud Adoption and
the Impact on SAM and Security

2. Today’s Speakers
2
John Emmitt
Sr. Product Marketing Manager
Flexera Software
jemmitt@flexerasoftware.com
Carla Arend
Program Director, Datacenter & Cloud Research
IDC
>>Click here to Watch this Webinar On Demand Now<<

3. WHAT IS DIGITAL TRANSFORMATION?
IDC defines Digital Transformation as the
continuous process by which enterprises
adapt to or drive disruptive changes in
their customers and markets (external
ecosystem) by leveraging digital
competencies to innovate new business
models, products, and services that
seamlessly blend digital and physical and
business and customer experiences while
improving operational efficiencies and
organizational performance.
Source: IDC MaturityScape: Digital Transformation (IDC #254721, March 2015)

4. 4
Digital Transformation is Multi Faceted
and Accelerated
Leadership
Transformation
Omni-Experience
Transformation
Information
Transformation
Operating Model
Transformation
WorkSource
Transformation

5. Digital transformation is a CEO priority
5
Kasper Rorsted
CEO Adidas
‘Understand the Impact of New
‘We must understand consumer
behaviour to drive the Adidas
Digital Platform Strategy’
Paul Polman,
CEO Unilever
‘The digital revolution will
continue to change lives and
businesses at an increasingly
fast pace’
Frans van Houten,
CEO Philips
‘Philips has risen to the
challenge by setting up a digital
innovation laboratory’
5

6. Source: IDC
Digital transformation
6

7. 0% 10% 20% 30% 40% 50% 60% 70%
Socially enabled business processes
Cloud computing
Big Data aggregation and analytics tools
Mobile Technologies
Cyber security and privacy technologies
High Importance
Technology Investment for DX
Source: IDC’s 2016 DX Survey: N=3087 7
>>Click here to Watch this Webinar On Demand Now<<

8. 8
Private
Shared within a single
(or extended)
enterprises?
Public
Shared among
unrelated enterprises?
Public
cloud service
On-demand
HPC service
Dedicated
HPC service
Enterprise
private cloud
Owned/operated by
the enterprise?
Owned/operated by a
commercial service provider?
Hosted private cloud (HPC) service
Public cloud-like consumption experience?
No Yes
Control | SLA | Specialization | Security | Agility |Price advantage | Access | Elasticity
8

9. Global Cloud Adoption
9
64% 55%
IaaS
44%
PaaS
49%
SaaS
65%
Private (83%) Public (83%)
Source: IDC’s 2016 CloudView Survey, N=6159

10. Software and Public Cloud Forecast
0
100000
200000
300000
400000
500000
600000
700000
800000
2013 2014 2015 2016 2017 2018 2019 2020
SW Public Cloud
© IDC Visit us at IDC.com and follow us on Twitter: @IDC 10Source: IDC’s Semi-annual Software Tracker, 1H 2016
7% Growth
21% Growth

11. Cloud Management Challenges
Spend Management
Visibility & Control
License
Compliance
Risk
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

12. IaaS Challenges
• Cloud infrastructure cost
and utilization
• BYOSL & license mobility
rights
• Visibility into virtualized,
elastic compute
environment– License
Compliance & Software
Cost Control
11 G
11 G
11 G
11 G
11 G
11 G
Infrastructure
Software Licensing
1
2
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

13. SaaS Challenges
Selecting the Right
Subscription / Plan Level
Overlapping Entitlements &
Unused Subscriptions
Managing multiple non-co-
terminated subscriptions
Controlling Access to Cloud
Services (Reduce Shadow IT)
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential
>>Click here to Watch this Webinar On Demand Now<<

14. Top 5 SW Licensing Challenges
0% 5% 10% 15% 20% 25% 30% 35% 40%
Maintaining a compliant state whilst supporting BYOD
initiatives
Software license compliance in clustered / High-
availability / disaster-recovery environments
Managing licenses in (hybrid-)cloud environments
Managing software license audits from vendors
Software license compliance in virtual environments
Establish automated control of Software/License delivery
and reclamation
Cost allocation (charge-back, show-back)
© IDC Visit us at IDC.com and follow us on Twitter: @IDC 14
Source: IDC’s 2016 Software Survey, N=908

15. Customer Expectations relating to
Software vendors
48% 50% 52% 54% 56% 58% 60% 62% 64% 66%
Offer higher degree of pay-per-use / pay-for-average…
Offer subscription alternatives to perpetual licenses
Offer Enterprise license agreements
Streamline the process of software license audits
Offer pricing based on Business-outcomes/Value
Offer concurrent user licenses
Provide license administration tools
Simplify licensing terms and metrics
Take responsibility for ensuring compliance
© IDC Visit us at IDC.com and follow us on Twitter: @IDC 15
Source: IDC’s 2016 Software Survey, N=908

16. FlexNet Manager Suite for Enterprises
Manage and optimize cloud infrastructure, software
running in the cloud, and on-premises hardware and
software
Cloud
Infrastructure
Software
in the Cloud On-
Premises
Software
and
Hardware
1
2
311 G11 G
11 G11 G
11 G11 G

17. FlexNet Manager for Cloud Infrastructure
• At-a-glance visibility and control of cloud spending
• Align cloud usage to business needs
• Reduce waste due to low utilization
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

18. FlexNet Manager for Microsoft
Optimize SaaS Costs – Office 365
Legacy
Office Pro
Perpetual
License
Device Based
License
Also Has:
Office 365 E3
Subscription
User Based License
Optimize spend by
• Removing
redundancies
• Selecting optimal plan
levels for each user
• Reclaiming unused
subscriptions
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

19. App Portal Enterprise App Store
• SaaS apps can easily be requested
• Reduces likelihood of ‘Shadow IT’ and Cloud Sprawl
• Proactively maintains license compliance
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

20. Top 2017 Security Trends
© IDC Visit us at IDC.com and follow us on Twitter: @IDC 20
Dynamic Threat Landscape
Digital Transformation Regulatory Upheaval

21. 21

22. The Cyber Threat Facing All Of Us
Costs And Consequences
The consequences of a security breach can include
Extensive downtimeExposure of intellectual property
Damage to brand
and reputation
Theft / exposure of
confidential data
Reduced
productivity levels
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential
>>Click here to Watch this Webinar On Demand Now<<

23. Software Vulnerabilities & Exploits
• Hackers identify vulnerabilities and develop exploits
• Exploits are commercial offerings
• Procured by: hacktivists, cyber criminals, governments, etc.
• Utilized for targeted and broad attacks
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

24. Secunia Research Software
Vulnerability Update – August to
October 2016:
16,081 Vulnerabilities In All Products In 2015
A 39% Increase In Vulnerabilities (5 Year Trend)
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

25. Software Vulnerability Management Products
Reliable, Transparent, Integrated, Cloud-deployed Solutions
• Identify, prioritize
and remediate
software
vulnerabilities
• Intelligent
security patching
for the enterprise
• Free automated
vulnerability
management for
PCs
• Over 7 million
downloads
Corporate Consumer
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

26. Intelligent Solutions to Meet the Challenges
of Digital Transformation
Assess, Prioritize, and
Mitigate Security Risks
Optimize Spending and
Utilization for Software
and Cloud Services
Test and Package,
Automate Service
Delivery
Secure
Optimize
Automate
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

27. Key Take-Aways
27
Digital Transformation is the business agenda for today’s
enterprises
Cloud is the raw material of DX. Cloud services provide
great business opportunties but are complex to manouver
1
Security is the foundation for DX success. New digital
products and services need to be secure to gain
acceptance.
2
3
#IDCIoT16© IDC Visit us at IDC.com and follow us on Twitter: @IDC

28. © IDC Visit us at IDC.com and follow us on Twitter: @IDC 28
Carla Arend
Program Director Infrastructure & Cloud
IDC EMEA
carend@idc.com
@carla_arend
>>Click here to Watch this Webinar On Demand Now<<

29. For More Information
Visit our website: www.flexerasoftware.com/SLO
Read the White Paper: bit.ly/InventoryFoundation
Collecting and Normalizing IT Asset Inventory Data: The Foundation for
SAM, IT Service Management, and Security
Follow us on Twitter: @SAMInsights
Read our Blog: blogs.flexerasoftware.com/ELO/
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential

30. QUESTIONS
© 2016 Flexera Software LLC. All rights reserved. | Company Confidential