Internet Access Enemy Number One For Software Piracy

Increased employee access to the Internet has led tomisconception as the responsibility for accounting for
a significant rise in software piracy, according to thelicences rests entirely with the organisation using the
Federation Against Software Theft (FAST) annualsoftware.
survey of UK Corporates, as employees download88% of organisations purchase software centrally -
illegal software. To combat this growing crime,This shows some effort is being made to implement
organisations are starting to fight back by monitoringthe controls necessary for achieving a compliant
exactly what employees are up to as they surf thesoftware environment and it enables the setting up of
net, with 80% of organisations now monitoring Interneta properly managed software asset register.
use.76% have disciplinary procedures for employees
With 55% of organisations giving desktop Internetmisuse of the Internet However, with 40% having no
access to all employees and 38% of corporatesformal policies and procedures in place they would find
expecting the percentage of software purchased ontaking proper, legal disciplinary action against an
the Internet to increase over the next twelve months,employee who has misused the Internet almost
the opportunity for downloading illegal softwareimpossible.
whether intentionally or not is huge. According to theRichard Willmott, Head of FAST Corporate Services,
survey 54% of IT professionals think the growth ofcomments: "Regulating employee email, Internet and
e-Commerce is largely to blame for the lack ofsoftware use isn't a big brother tactic in a negative
software compliance in UK organisations because itsense. The bottom line is no company is immune from
makes the management of licence ownershipe-risk, the reality is that illegal software can not only
evidence even harder. This is supported by the factresult in costly litigation and liability for the CEO, it can
that more than half of the respondents (54%) saidalso cost an organisation in terms of inefficiency and
they find it difficult to prove their organisation ispotential viruses and have a negative effect their
software compliant.organisation's reputation.
Findings also revealed an increase in the perceived"You cannot be present in every office every hour of
amount of pirated software in the UK. 83% ofthe day to keep an eye on what employees are doing
participants estimated 40% of software use in the UKand you cannot expect employees to exercise sound
to be pirated and some 71% of these believed thejudgement 100% of the time, therefore automated
illegal software to have been purchased online withmonitoring of Internet access makes smart business
intent. This is surprising as 69% of respondents weresense, particularly as 40% of companies surveyed
aware of the high legal risk to their organisation in failingprovide no management policies to give employees
to be software compliant.guidance on what they can and can't do."
Other main findings show:There are two main ways pirated software enters an
77% of organisations spend less than 4% of their totalorganisation. Firstly as employees increasingly work
desktop budget on managing and controlling the use ofremotely and '24 by 7', there is a growing temptation
software - indicating software compliance is not beingto download illegal software that is required urgently
taken as seriously as it should be bearing in mind thewhen there is no IT manager around to provide the
potential consequences of non-compliance.relevant licence. Secondly, with 90% of UK workers
69% of organisations spend less than 5 man days peradmitting to accessing the Internet for recreational
month on software management - an alarming figurepurposes in company time, the chance of pirated
when more than 50% said they would currently find itsoftware being downloaded accidentally whilst 'surfing
difficult to prove their compliance. Yet they arenot working' is high. This is on top of the traditional
obviously not taking adequate action to remedy theunlicensed software that is being used due to poor
situation.control regimes or lack of understanding.
40% of companies still have no softwareThis year's results show that organisations are starting
management policy. This means the liability for ITto get clued up on the importance of monitoring
compliance in those organisations rests solely with theInternet activity. 80% of respondents said they monitor
company directors. If any employee is found to bethe Internet, with 75% of these companies using
using software illegally it is the company directors whoautomated monitoring as opposed to manual
face legal and financial penalties, not to mentioninteraction - an increase of 15% on last years figures.
damage to their organisation's reputation.Also, 72% of organisations will discipline employees
51% think resellers have responsibility for ensuringwith a verbal warning or dismissal if they are found to
licences are not mislaid or lost. This is a bigput their organisation at risk from software piracy.