Control and monitor mainframe costs
Mainframe expenses represent between 20 percent and 40 percent of companies’ IT budget. Out of this share, 30 percent are dedicated solely to software license and maintenance costs.
Software billing on the mainframe is complex and requires a thorough follow-up to avoid unpleasant overpriced invoices. IBM & ISVs offer a wide range of billing methods to provide both control & flexibility for their customers, however, it’s not always enough.
Contracts based on Variable Workload License Charges (vWLC) are designed to reduce your invoices as you are paying only for what you use. Nonetheless, without a cost control strategy, your budget can be at risk.
The vWLC methodology is based on the activity peak of each month. When signing up for this method, you commit yourself to an annual MSU consumption. If you exceed this commitment, you will end up with a colossal and unexpected bill at the end of the year.
In this regard, some companies are oversizing their consumption commitments to avoid any surprise in their budget. They end up over-paying for their mainframe software.