Nissan case study - How Open iT software asset management tools helped the company achieve an optimized license portfolio.
STUDYNissan Motor Company LimitedOpen iT helps companies visualize software application usage. Open iT provides the usagedata needed to achieve an optimized license portfolio quickly and easily.“Open iT was designed as a centralized usage metering and management system. It was created tohelp designers check a license’s actual utilization rate and to auto-check the system.Open iT standardizes the management of real usage rates. Management and users can share andvisualize utilization data, thereby providing a constant reminder not to waste license usage..”Nissan BackgroundNissan Motor Corporation Limited uses a large variety of software applications including, butnot limited to, CAD, CAE and others that are used for production simulation and design. Systemoperating information is metered and managed by Open iT and used to make informed investmentdecisions, such as license those dealing with enhancements and maintenance renewals. UsingOpen iT yields remarkable results, such as reducing license costs, allowing tighter control of newinvestments, and the added benefit of creating more cost-conscious users.“Increasing license costs can only be controlled by the effective management of actual usage rates.Software metering makes realistic and optimized software license management possible.”Chief Mr. Kazuhiro Ijima of the log. Moreover, it took two to three days toGlobal Information System analyze each module in detail. Since applicationHeadquarters Engineering usage rates were based on the amount of time usedSystems Department for each license and the amount of maintenance renewal, a large amount both time and manpowerAs part of the reforms to was needed to perform the monitoring process.our design process ourcompany installed an IT Some of the initial problems included unclearsystem. The result was usage rates that led to a lack of consensus asan unacceptably large to whether or not the investment was a wiseamount of software and one. The basic problem, however, was the largehardware accumulating in the development area, number of licenses, as well as the many differentas well as a high number of varied licenses. The IT types of licenses that existed. In the summer ofsystem yielded additional software rental charges 2005, Nissan Motor decided they needed a tooland higher operating costs because of the increased to eliminate these problems.maintenance expenditures. This created doubtsthat the system was being used effectively. Though Reason for selectionour planned target utilization rate was 80%, the “Open iT was selected because it possessed theproblem was that too much work was required to functional capability and reliability needed, andmanage and monitor the usage rates. because of strong customer support provided by Daikin Industry.”Mr. Tanaka:Through the automated count process,the log was being automatically scripted. The CAD Mr. Ijima: We considered our needs and theand CAE applications streamlined the job by uniting goals we needed to achieve using a managementthe script that automated the total processing tool. Since only Open iT satisfied our needs, we
STUDY considered it the best for its functional capability. Also, we effective in speeding up our systems management trusted the support service offered by Daikin Industry. They process. gave us support and helped to implement and launch the system. This helped to reassure us that we had made the Outcome of Open iT Installation right decision. “Removal of applications that had low usage rates and overall license cost reduction of 10%..” After a six month trial, Open iT was completely installed and integrated in March 2006. It was used to Mr. Matsubara: Every month, usage rates allow a meter license usage among the various applications designated manager and a development cost manager used at Nissan’s Technical and Design Centers, and to decide whether there are applications and licenses at the Yokohama factory. The usage information is that should be eliminated. If an average utilization rate is metered and managed by the Open iT server located less than 80%, the number of licenses for an application within Nissan headquarters. Usage rates are metered is reduced in order to reestablish the 80% utilization rate. frequently and processed quickly by Open iT. By eliminating or reducing those licenses that are barely used, the total number of licenses for an application can Usage Status be dramatically decreased. By doing this, we have already “A complete assessment of the usage rate of several reduced our licensing costs by more than 10%. applications can be performed in a matter of a few days..” We tried to find the best combination of floating licenses and nodelock licenses using usage data collected by Open Mr. Dai Matsubara iT. The license costs can be reduced by allotting nodelock Global Information System licenses to a user who executes largescale calculations Headquarters Engineering Systems Department more frequently, and floating licenses to those who execute them less often. After installing Open iT we Open iT allowed us to collect data that reflected user implemented a license inventory requests over a one year period; data that informed our process for all applications subsequent licensing decisions. and server information. We determined a management policy Mr. Masaki Tanaka Global Information System Headquarters Engineering Systems for each of these applications Department in order to formulate which features we would focus on among the various usage data that would be collected Based on past operational results by Open iT. Because of their importance, preparation and and detailed analysis, along data collection were carried out over a long period of with our future business plans, time. This helped inform Management’s decision-making we decided that improving our process. We then used a tool that takes the data from usage rates would improve user Open iT and automatically computes usage rates. efficiency. Now users can view actual usage data that shows Open iT was fully implemented in April 2007, after each application’s hourly and a minimal amount of preparation. As a result of the daily usage. We often used to accept resource requests implementation, calculating our applications’ monthly from users without justification since it was difficult usage rates takes only a few days each month. It to analyze real needs. Now we are able to limit the has been the source of great improvements in work conditions under which enhancement requests are made. efficiency. “Visualizing and communicating usage rates has Mr. Ijima: Daikin Industry helped to integrate an Open resulted in users becoming more aware of issues such iT-centered management system. It has been extremely as waste and the need for increased efficiency.”
STUDYMr. Ijima: Open iT has enabled us to build an effective Mr. Ijima: We expect that Daikin Industry will continue tosystem for centralizing the management of our assist Nissan in finding ways to maximize our utilizationapplication use and controlling our utilization rates. rates. We believe they will offer advice to improve ourMost users have become aware that they will only have management and calculation methods that are neededaccess to licenses that are needed and not those that to further increase our utilization rates. Due to industryare unnecessary. We have been able to provide users trends, this information and assistance is becomingrequesting usage information with immediate feedback even more crucial. One feature that will particularly helpso that they are equipped to manage their license us is the ability to shut down a license which has beenrequirements themselves. launched but is not being used. This puts us in a position where we can achieve standardized business processesThe ability to view our utilization rates and share this and utilize outsourcing effectively.information with our administrators has broughtour users a greater awareness of waste. Initially, our Mr. Ijima: I think we can still make more improvements,administrators were given the task of reducing and particularly with the management of nodelock licenses.eliminating unnecessary licenses, but recently users have One of the reasons why we chose to adopt Open iT isbeen trying to take on this responsibility themselves. that it can be applied to nodelock licenses which is where I want to see further improvements. Also, with projectMr. Matsubara: It will make the jobs of our users and charging for CAE resource costs, I want to keep dataadministrators much easier if they can judge the necessity collection automated, providing the most precise analysisfor a license, or where unnecessary applications can be possible.removed. We expect that one effect will be that userswill learn when licenses are limited and choose otheravailable times when they can use a license, in order toequalize license usage.More improvements to utilizationrates can be expected by thedisclosure of usage data collectedby Open iT.Mr. Tanaka: If no error messageis displayed when there is ashortage of licenses, users will notbe aware of the high usage ratesof a particular license. If users canbe made aware of the shortage,they will know the situation is onlytemporary and can then attemptto obtain a license at a differenttime. When this happens, evenhigher utilization rates can beachieved.Future Expectations“Visualizing usage rates andsharing them with users resultedin greater waste consciousness.“