Microsoft 365 licensing waste is endemic in UK mid-market — Servnet audits typically find 15-30% over-licensing on first review. This is the 8-point checklist that identifies the most-common wastes + the actions that fix them.
The 8 most-common wastes
- •1. Ex-employees still licensed — Joiner/Mover/Leaver gaps. Typical 3-8% waste.
- •2. E5 assigned where E3 + specific add-ons cheaper — over-licensing for Power BI Pro, Microsoft Defender, Sentinel users.
- •3. Visio + Project licences for users who don't use them — historic blanket assignment, never reviewed.
- •4. Microsoft 365 Apps for Business assigned alongside M365 Business Premium — duplicate Office.
- •5. Power Apps + Power Automate premium licences over-assigned — most users don't need premium connectors.
- •6. Multiple Teams Phone licences per user (e.g. seat + add-on call plan when minutes-included plan cheaper).
- •7. Defender for Office 365 P2 assigned to all when P1 sufficient for most + P2 for high-risk only.
- •8. Excess Exchange Online Archiving + In-Place Hold licences where retention policy already in place.
How to identify waste
Run Microsoft 365 admin centre usage reports + Software Asset Management (SAM) review.
Most CSP partners (including Servnet) can run free audit + provide reduction recommendations.
EA / CSP / MCA structure impacts what can be flexed mid-term — and renewals are a natural moment to bundle Defender for Endpoint consolidation and Entra ID hardening.
Typical UK mid-market savings
500 user organisation, current £80k/year M365 spend → typical SAM review identifies £12-24k/year (15-30%) reducible waste.
Most savings achievable at next annual renewal cycle without contract penalty. For organisations carrying multiple tenants (post-M&A), pair this audit with our tenant consolidation playbook and the CE+ premium-reduction programme.