Profile: Sean Robinson

TAKE a stroll to any office block, and admire the sleek, gleaming company cars in front of it.

Imagine a world in which nobody was sure who owned these vehicles, or whether they were safe to drive.

It sounds like madness. A car is, after all, an asset, and needs proper management.

It’s a sobering thought, but far too many firms could be sleepwalking towards the abyss because they fail to realise that the software they use every day needs the sort of sensitive maintenance that you would lavish on a vast fleet of high performance sports car.

Sean Robinson doesn’t want to sound like a prophet of doom, but many firms could be playing fast and loose when it comes to managing their software licences.

Mr Robinson should know, because he’s been described as the “founding father” for an entire IT discipline – the specialist field of software asset management.

He heads up Pocklington-based License Dashboard, which manages software licences for a host of big name clients.

“A lot of people continue to see software as a consumable rather than an asset,” he said. “When they set their budgets, they just believe that, because they spent £70m last year, they have to spend another £70m this year.

“You need to continue to ensure that you’re consuming that software properly.

“If you don’t, then it’s like having a company car where people don’t know who owns it, or when it needs an MOT.”

License Dashboard, which has 30 staff, aims to double its turnover to around £5m this year.

It’s a spin-out from Phoenix Software, the £84m turnover company which works with Government departments and universities.

In 2005, John Forsyth, the current managing director of Phoenix, saw that many companies were struggling to manage their software licences.

He challenged Mr Robinson, who was a Phoenix employee at the time, to investigate the market opportunities for Phoenix.

This led to the creation of Phoenix’s software audit and asset management practice, which was headed up by Mr Robinson.

Mr Robinson developed a database which tracked and managed software licences for Phoenix’s clients. This was initially developed as a free tool and was first sold commercially in 2007, before the financial crisis.

By 2009, the product was bringing in revenues of £865,000 a year, which gave Phoenix the confidence to launch it as an independent company the following year.

Today, its client base includes FTSE 100 companies and its products are exported across Europe, the US, Canada, Australia and the Middle East. Mr Robinson, who is an accountant by training, said: “A lot of organisations don’t always have the information at their fingertips to make informed decisions when buying software.

“Phoenix made a brave decision to try and change the way that we sold software.

“We wanted to make sure that when a customer rang us up, we were clear on what they required, and why they required it.

“I started to look at the opportunity, and how organisations could optimise their consumption of software.”

We take our software systems for granted, but every piece of it must be covered by an agreement.

Any festering problems can’t simply be left in the IT department’s in-tray.

Mr Robinson added: “Years ago, the IT department was perceived as just being the person who managed the desktop, and the software that was on it.

“That’s where the biggest failing occurred. Every single person within an organisation has a responsibility and is a stake-holder.”

For example, the human resources department has to define and apply good corporate governance practices.

“They have to make sure there are processes in place to ensure you’re acquiring software properly, and you’re managing it properly,” said Mr Robinson.

“An end-user, when they’re making a decision about what software they need on their machine, also has to understand their responsibilities, of making sure that they request the right software.”

The consequences can be unpleasant if you breach the terms of the agreement.

“If there’s a continued failure to demonstrate your compliance, then vendors and regulators can be called in,” said Mr Robinson.

“They have the right to come in and audit an organisation. Once they find they have a shortfall, there can be a significant cost to rectify it, which means you have an unbudgeted expense, which can cripple an organisation quite quickly.”

The cost of sorting things out can run into millions of pounds. It’s vital that all businesses study the small print of their software agreements. It is “a bit of black art” because of the complexity of licences, which means lawyers have to be involved, according to Mr Robinson.

“The vendor predominantly regulates the environment...the vendors are the ones that will go out and challenge the organisation,” said Mr Robinson.

“Our products and our tools help an organisation to fully understand what the compliance position is.”

The bigger the organisation, the bigger the likely saving from managing things properly.

“The reason FTSE 100 organisations are interested is because they want to manage and control costs,” said Mr Robinson.

“They want to make savings where they can. They still have to deliver services to customers, and they still have the same volume of customers.

“They don’t want to cut back their IT technology. But software, if you manage it effectively, is an area where significant savings can be achieved.”

A major bank, for example could have a £70m software budget, so any steps to manage it efficiently will soon have a positive impact on the bottom line.

“There’s a bigger interest in organisations saving money, and making sure that they only buy the licences that they require,” said Mr Robinson.

“We’re starting to employ people in North America and Australia. A good percentage of the growth is now coming from North America. We now have 38 partners globally,” he added.

“Each one of these partners is perceived to be the best in software asset management. We feel very flattered that they’ve decided to use our technology, and we’re working closely with those organisations to develop it further.

“In five years, we hope we will have established a very mature business channel, and our incomes will exceed £10m.

“We’re also looking at new opportunities, where partners are using our technology to deliver outsourced services to their customers.”

Sean Robinson Factfile

Name: Sean Robinson

Title: Managing Director, License Dashboard, based in Pocklington, which was launched in 2010

Date of birth: July 11, 1966

Education: Higher National Business Diploma, Harrogate College

First job: I was a trainee accountant, at Moore’s Furniture Group, based in Thorp Arch, West Yorkshire.

Favourite holiday location: Rome

Last book read: Afghan by Frederick Forsyth

Car driven: Audi A6

What is the thing you are most proud of? My marriage and my family.