Maximizing Your MS365 Investment: Tips for Reducing Licensing Costs

Feb 28, 2024

In today’s digital landscape, Microsoft 365 (MS365) has become the go-to productivity suite for businesses of all sizes. But with a vast array of licensing options and an ever-evolving pricing structure, navigating the cost side of things can feel like a complex maze. You might be wondering:

  • Am I paying for features my users never touch?
  • Are there better licensing options I’m overlooking?
  • How can I optimize my subscription to get the most value for my money?

At IMS Solutions, we understand the importance of maximizing your MS365 ROI. We’ve seen firsthand how businesses can significantly reduce licensing costs without sacrificing productivity or security. That’s why we’re here to share some key strategies to help you reduce licensing costs and get the most out of your MS365 subscription.


Maximizing Your MS365 Investment


1. Optimize Your Subscriptions:

  • Audit User Licenses: Regularly review your user base and identify any inactive or underutilized licenses. Consider downgrading or removing them to save costs on your MS365 investment.
  • Utilize User Groups: Group users based on their specific needs and assign them appropriate licenses. This avoids unnecessary features for some users while ensuring others have what they need.
  • Explore Annual Commitments: Annual pre-paid commitments often offer discounted rates compared to monthly billing. Evaluate your budget and usage patterns to see if this option works for you.

2. Select the Right Licenses:

  • Understand User Needs: Assess the specific needs and roles of your users. Don’t assign expensive licenses to users who only require basic functionalities.
  • Consider E vs. A Licenses: E licenses offer the core productivity suite, while A licenses include additional features like Teams and OneDrive. Choose the option that best fits your requirements.
  • Explore Third-Party Add-Ons: Evaluate the need for additional third-party applications before upgrading licenses. Often, these features can be found in more affordable add-on solutions.

3. Utilize Management Tools:

  • Take Advantage of Microsoft 365 Usage Analytics: Gain insights into user activity and identify areas for optimization. This data helps you make informed decisions about license allocation.
  • Leverage Third-Party Management Platforms: Explore tools that offer advanced reporting, license optimization, and automation capabilities for greater cost control.
  • Partner with an IT Services Provider: IMS Solutions can provide expert guidance on license optimization, user management, and cost-saving strategies.

4. Leverage Free Alternatives:

  • Microsoft 365 Free Tier: Explore the free tier of MS365, which offers basic versions of popular applications like Word, Excel, and PowerPoint for online use. This can be a cost-effective option for light users or non-essential personnel.
  • Open-Source Alternatives: Consider open-source software alternatives for specific needs, especially if they offer similar functionalities at no cost. However, carefully assess security and support implications before deploying open-source solutions.


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5. Negotiate with Microsoft:

  • Leverage Your Buying Power: If you have a large organization with significant Microsoft spending, consider negotiating volume discounts with Microsoft directly.
  • Seek Partner Discounts: Many IT service providers like IMS Solutions have established partnerships with Microsoft, allowing them to offer competitive pricing to their clients.

6. Implement Training and Adoption Programs:

  • Increase User Productivity: By properly training users on MS365 features, you can maximize their efficiency and reduce reliance on expensive third-party solutions.
  • Reduce Support Costs: Empowering users with knowledge of MS365 functionalities can minimize the need for technical support, leading to cost savings.

7. Consider BYOD (Bring Your Own Device) Policies:

  • Reduce Hardware Costs: Allowing employees to use their own devices for work can eliminate the need for company-issued hardware, potentially leading to significant cost savings.
  • Ensure Security and Compliance: Implement robust BYOD policies and security measures to protect sensitive data and ensure compliance with regulations.

Remember to tailor these tips to your specific business context and needs. Consulting with an IT expert like IMS Solutions can help you develop a comprehensive and customized strategy for optimizing your MS365 investment.


Make Your MS365 Investment More Efficient


Make Your MS365 Investment More Efficient with IMS Solutions

At IMS Solutions, we are passionate about helping businesses maximize their MS365 investment. We offer a comprehensive range of services, including:

  • MS365 licensing consulting and optimization
  • User migration and onboarding
  • Security and compliance solutions
  • Ongoing support and management

Contact us today to schedule a personalized consultation and discover how we can help you reduce your MS365 licensing costs and achieve your business goals.

Remember, maximizing your MS365 investment is an ongoing process. By following these tips and partnering with IMS Solutions, you can ensure you’re getting the most value for your money and driving success in your organization.


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