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Introduction to Licenses & Cost Saving in Torii

Noga Tubi
Noga Tubi
  • Updated
See how Torii can help you find wasted licenses, monitor the licenses' status, find unused licenses, and save on SaaS costs

Overview

Once you start managing your SaaS, Torii can help you uncover cost-saving opportunities.

Find Wasted Licenses

For seat-based licenses, one of the easiest ways to save costs is to find wasted licenses. For each integrated application, Torii provides a detailed license breakdown. Torii can display inactive or unassigned licenses, that in most cases, can be reclaimed to reduce cost. The most common reasons for wasted licenses are:

  • License assigned to past employees

  • No usage

  • Suspended accounts

  • No access to the account

💡 Even if you are on a fixed annual contract, understanding your license utilization can help you decide on the right size for your contract upon renewal.

View Licenses

You can view the organization licenses from the following locations :

From the specific application page (Applications >> Click the specific application)

  1. See the number of licenses

  2. Under LICENSES BREAKDOWN, get an overview of the active and inactive licenses. hover over the graph to get an additional breakdown

From the Licenses page, view cost-saving opportunities

  1. In Licenses, find four tabs: Current, Recommendations, Trend, and Chargeback.

  2. In the Current tab, you have a comprehensive view of the app's license status.
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  3. For each application, you can very quickly see:
    a. Number of active licenses
    b.
    The number of inactive licenses. Click on the inactive number link to see the full list of assigned licenses and their inactivity reasons.
    C.
    The number of unassigned licenses - will be available if we get this information from the app API
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    [Alternatively, you can run Inactive users report from the Reports page to see the
       breakdown by the user.]

  4. Under the Annual cost per year column, view how much a single license costs for a year.
    Note that you should add the cost per year manually.

  5. Under the Total Cost column, see how much you spend on all licenses, Active, Inactive, and Unassigned.

  6. Under Estimated savings - see how much money you can save on unused licenses!
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  7. Hover over the pie, and get a detailed view of your Active/Inactive licenses (while hovering on blue, grey, or orange)
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  8. Hovering over an application will also discover the Expand button that will open all different types of licenses and present the details per type if those exist
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  9. Recommendations tab

    Here you will find a collection of actionable recommendations that will help you optimize your license utilization and save on SaaS spending.
    Our recommendations are based on feature-level usage and are carefully curated to help you identify the most relevant cost savings opportunities.
    Each recommendation consists of the following:
    • a - What is the recommendation? 
    • b - What is the insight - why was this recommendation surfaced.
    • c - What is the recommended action 
    • d - The expected impact - cost saving, security improvements, or other
    • e - Filter the recommendation by app or by account
    • f - Click the Take Action button to drill into the recommendation details page
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    • Recommendation details
      On the recommendation details page, you will be able to:
    • g - View the recommendation setup and logic 
    • h - View the users we recommend taking action on and the data points supporting it
    • I -  Perform the recommended action
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      Recommendations are now available only for the Zoom app. We will be adding recommendations for more apps soon. 
      View more details on the available recommendations here.

  10. Trend tab

    Under the Trend tab, you can find the license activity over time graph. Use the filter to select the time range, app, license type, or license status.

    Note that you can see trends and notice if a specific license type is being abandoned over time.

  11. Chargeback tab

    Creating an IT chargeback can help you see exactly which parts of the organization drive the IT costs, visualizing which departments are responsible for the internal SaaS expenses.

    Working with chargebacks can help with budgeting, planning, and forecasting.
    Click here to read the full article.
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Additional Information -  Reports & Recommendations

Inactive users report

Note that the Inactive users' report will not always match the inactive licenses list. A user with multiple licenses for the same app might be active in one license and inactive in another.In the Inactive users' report, the inactivity will always be calculated at the app level.
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Available recommendations

The following recommendation types are currently available:

  1. Downgrade underutilized licenses - this recommendation is aimed to help you save costs on expensive licenses that are not fully utilized and can be downgraded to a cheaper or free tier.  
  2. Reclaim past user licenses - this recommendation is aimed to help you save costs on licenses that are assigned to employees that are no longer in your organization. We will surface this type of recommendation also for free licenses as it's not a best practice to keep licenses assigned to past employees from a security standpoint.

These recommendations are only available for Zoom. More apps will be supported soon. 

 

Q&A

Q: How is license inactivity calculated?

  • A: You can set up a license inactivity period in Settings.
    The default is 30 days, which means Torii will mark the license as inactive after it did not see any user activity during the last 30 days.
    Note that license inactivity is set at the org level and will be applied to all integrated apps.

Q: Where does the data about the license's last used date come from?

A: Torii looks at a user's last activity date in various sources.

  • Direct source - if an app is connected via direct integration, Torii might get the last activity day of a licensed user directly from the app.

  • SSO (indirect source) - if an app is behind SSO (Okta, Jumpcloud, OneLogin, Azure AD, or Google Workspace), Torii will get the last login day of a licensed user from the SSO provider. This information might be less accurate since SSOs only report about app logins.

  • The extension (indirect source)

Q: How does Torii know if a license is being used or not?

A: Torii will mark licenses as inactive in the following cases:

  • The user has left the org.

  • User access to an app was blocked.

  • The user has not used the app in the last X days, according to the N of days defined as an inactivity period.
    The inactivity reason is displayed in the Reason column in the Inactive licenses popup.

Q: What is the list of reasons for an inactive license? 

A: See the table below.

Reason for Inactive License   Triggers
  • No usage in last N days
  • No SSO logins in last N days
A user has not used an assigned license for an inactivity period defined in Settings or longer.  The message depends on the app usage source.
  • User left the org
A user was identified as someone who left the org, based on the source of truth defined in the Settings. For example, if the Source of truth is Hibob, users with terminated or garden leave statuses will be marked as past, and their licenses will appear inactive.
  • No access to account
A user was suspended at the app account and does not have access to the tool

 Q: Will Torii consider licenses without the last used date as inactive?

A: Torii will consider licenses without the last used date as inactive in the following cases:

  1. The app has the last used date synced from a direct source. "No usage in the last N days" inactivity reason will be shown in the inactive licenses popup.

  2. The app uses direct sources synced for longer than the organization's inactivity period. "No usage in the last N days" inactivity reason will be shown in the inactive licenses popup.

  3. The app has usage from the SSO provider synced for longer than the organization's inactivity period. "No SSO logins in the last N days" inactivity reason will be shown in the inactive licenses popup.
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    In all other cases, Torii will not have enough data to deduce about license inactivity and will mark licenses without the last used date as active.
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