Automated User Management Offers Great Savings

There are great financial gains to be made from Identity and Access Management. We will guide you to four key areas where automated user management can save you money.

Let’s be completely honest: implementing an Identity and Access Management solution is an investment; an investment in both time and money. However, it is an investment that quickly yields a return.

Especially if the investment allows you to transition away from manual user management processes – processes that far too many organizations, unfortunately, still depend on. Manual user management is an administratively cumbersome process and practically impossible to audit properly. In addition, manual processes are time-consuming, cost-intensive and often fraught with errors. The more employees an organization has, the greater the challenges.

However, with an Identity and Access Management platform, it is possible to easily respond to such challenges. This is achievable by automating the user management processes, which in the long run helps to strengthen the organization’s security, productivity and compliance. And not least the organization’s ROI.

You Will Save Money in Four Key Areas

Compared to manual processes, automated user management offers substantial financial savings in four key areas:

  • Onboarding and offboarding
  • Day-to-day user administration
  • Auditing and reporting
  • Licenses

But how much will it cost? Let’s have a look! Please note that all calculations below are based on the use of 2ndC Compliance Suite.

Reduced Onboarding and Offboarding Costs

An organization, which relies on manual processes, spends an average of two hours on each onboarding and offboarding. Each time an employee needs to be created and assigned access to systems and applications, the user management manager spends two working hours on the initiation process. The same applies when the employee leaves the organization and must have his rights to IT systems revoked.

However, automating tasks associated with both creation and closure of employee access, as well as access assignments and access closures, the time consumption can be significantly reduced. In fact, 2ndC Compliance Suite can optimize the time spent on onboarding and offboarding by up to 75 percent.

For an organization with 450 users and a staff turnover of 15 percent, this will mean an annual saving on the costs of onboarding and offboarding upwards of DKK 40,000.

Lower Expenditure on Day-to-Day User Management

Over the course of a year, an employee necessitates a surprising amount of corrections. Such corrections include master data corrections, job changes or assignment of new accesses. In fact, 10-15 corrections may be required for each employee in a year.

If a correction needs to be made manually, it takes about 15 minutes to complete the task. The employee in charge of making the correction is usually highly specialized and relatively well paid. In most organizations, corrections are carried out by employees who are paid an average of DKK 400 per hour.

Automation will optimize the time spent on such tasks by up to 75 percent. For an organization with 450 users, this will mean a tangible saving in excess of DKK 500,000 per year.

Auditing and Reporting Tasks are Less Time-Consuming

In addition to day-to-day user management and ongoing onboarding and offboarding, work associated with auditing of IT systems and reporting is highly time-consuming. In many companies, it is the IT department that bears that responsibility, and on average, the department spends as much as 20 percent of its annual working hours on auditing, reporting and supporting compliance.

If the department has five employees, the work will correspond to a full-time position (which in many organizations corresponds to an expenditure of DKK 650,000 per year)

2ndC Compliance Suite gathers the relevant information in one system and has built-in auditing and reporting features. This will make it easy to extract information about users, accesses and licenses when the need arises, and the time spent on auditing and reporting could even be reduced by up to 75 percent.

This means total annual savings of nearly DKK 500,000.

Cut the Cost of Redundant Licenses

Annually, an employee costs an organization an average of DKK 8,033 in software costs. The cost obviously varies depending on the size and industry of the organization, but in general, an average organization is over-licensed by as much as 10 percent. This means that organizations, on average, incur unnecessary licensing costs of DKK 803 per employee each year. Oftentimes, organizations often have too many licenses due to miscalculations, omissions or employees who have not been removed from the IT systems.

Due to automated access management and reporting features, 2ndC Compliance Suite will be able to reduce the cost of redundant licenses by up to 80 percent. For an organization with 450 employees, this will mean a license saving of DKK 180,000 per year.

Find Out How Much 2ndC Compliance Suite Can Save You

For an organization with 450 employees, the total savings potential of 2ndC Compliance Suite will look as follows:

Costs:On- and OffboardingUser AdministrationRapporting and AuditingLicenses
Today53.546 DKK675.000 DKK650.000 DKK2.475.000 DKK
With 2ndC Compliance Suite13.387 DKK168.750 DKK162.500 DKK2.295.000 DKK
Savings40.160 DKK506.250 DKK487.500 DKK180.000 DKK

Are you interested in what the savings table will look like for your own organization?

Try our free ROI calculator by clicking on the banner:

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