Every organization manages software somehow. The question is how well, and what it costs to stay where you are. A maturity model gives you a common language for that conversation: where you are today, what the next level looks like, and what it takes to get there.
The five-level model below is designed to be practical. Each level has visible signs, so you can place yourself honestly, and clear next steps.
The five levels
Level 1: Reactive
There is no central record of software. Purchases happen in many places, renewals are discovered when invoices arrive, and an audit letter triggers a scramble. Signs: nobody can say how much the organization spends on software in total.
Level 2: Tracked
Someone maintains a spreadsheet of contracts and license counts, often in IT or procurement. It is better than nothing but is updated irregularly and has no usage data. Signs: you know your largest contracts, but not whether the licenses are used.
Level 3: Connected
Contracts are linked to usage from identity providers, device management and SaaS consoles. Each major vendor has a named owner. Renewal and notice dates are tracked. Signs: you can produce an effective license position for your top vendors in days, not months.
Level 4: Optimized
The organization acts on the data routinely: reclaiming unused licenses, right-sizing plans, consolidating tools, and preparing renewals months in advance with usage evidence. Software budgets are linked to contracts. Signs: savings are measured and reported each quarter.
Level 5: Governed
SAM is part of how the organization runs. Policies define how software is requested, approved and retired; automation handles routine reminders and reclamation; and leadership reviews the portfolio every quarter. Signs: savings persist year after year, and audits are routine.
Where the value is
The value of moving up is not linear. Going from level 2 to level 3, connecting contracts to usage, usually reveals the largest single pool of savings, because it is the first time idle licenses become visible. Levels 4 and 5 protect and extend those savings.
How to assess yourself
Score each statement from 0 (not at all) to 2 (fully true):
| Capability | Statement |
|---|---|
| Inventory | We have one list of all software contracts and subscriptions. |
| Entitlements | Each contract records quantity, metric, term and notice period. |
| Usage | We know who uses our top 10 products and when they last signed in. |
| Ownership | Every major vendor has a named owner. |
| Renewals | No agreement renews without being reviewed before the notice deadline. |
| Optimization | We reclaim unused licenses at least every quarter. |
| Finance | Software budgets are linked to the contracts behind them. |
| Governance | We have a written SAM policy and a regular review. |
A total of 0–5 suggests level 1, 6–9 level 2, 10–12 level 3, 13–14 level 4 and 15–16 level 5.
Moving up one level
Collect your contracts and list renewals for the next 12 months.
Connect usage data for your top vendors and assign owners. This is where to focus first.
Run a reclaim cycle, prepare the next three renewals with evidence, and link budgets.
Write the policy, automate reminders, and start quarterly portfolio reviews.
How MI One helps
Frequently asked questions
Is there a standard SAM maturity model?
Several exist. The ISO/IEC 19770-1 standard defines requirements for an IT asset management system, and many consultancies publish their own models. The levels here are a practical simplification.
How long does it take to move up a level?
With focus on the top vendors, moving from level 2 to level 3 typically takes weeks, not months.
Do small organizations need level 5?
Not necessarily. Level 3 or 4 captures most of the value for mid-sized organizations.
Sources
- ISO/IEC 19770 family of IT asset management standards. https://en.wikipedia.org/wiki/ISO/IEC_19770