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VA Taps AI to Slash Software License Waste and Boost Savings

The VA uses AI to track software usage and identify redundant licenses, saving $136 million so far. This helps optimize contracts and reduce overlapping tools.

2 min read
Management

How the VA is Using AI to Improve Software License Management

The Department of Veterans Affairs (VA) is advancing its software license management by integrating artificial intelligence (AI) to identify unused or redundant licenses faster. The VA’s Enterprise Software Assessment Management program, launched in January 2024, has already helped the agency avoid $136 million in costs by improving visibility into software usage and optimizing license management.

Jeff VanBemmel, executive director of end user operations at the VA Office of Information and Technology, shared insights on the program’s progress during a recent House Veterans’ Affairs Subcommittee hearing. He highlighted that the program now has clear visibility into more than 80% of the VA’s software licenses and can track actual software usage at the user level—capabilities that were not available even a year ago.

From Visibility to Action with AI

With comprehensive data on software purchases and usage, the next step is to use AI for deeper analysis. AI will assist in aggregating large datasets to determine which licenses are actively used, which are redundant, and where renegotiations could lead to further savings. This approach aims to streamline the VA’s software portfolio and enhance cost efficiency.

VanBemmel pointed out that redundancy is a bigger problem than simple duplication. For example, the VA currently licenses multiple video conferencing tools—Zoom, Microsoft Teams, Cisco Webex, and Google Meet—that offer similar functions. The challenge will be to reduce these to one or two preferred options, maximizing value without compromising functionality.

Long-Term Efforts and Practical Benefits

Even after implementing AI-driven asset management, the VA expects a long-term process to rationalize software titles fully. The goal is a simplified, cost-effective software environment that supports the agency’s needs while eliminating waste.

  • Improved visibility into software usage at the user level
  • AI-assisted analysis to identify underused or redundant licenses
  • Potential for renegotiating contracts to reduce costs
  • Targeted reduction of overlapping software tools

For managers looking to apply AI to software asset management, keeping a clear, data-driven approach is essential. Tools that provide detailed usage data combined with AI analytics can reveal significant savings and improve procurement decisions.

To learn more about AI applications in software management and related skills, explore AI training courses for management professionals.

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