Usage-Based Procurement

What does usage-based procurement mean in the context of IT procurement?

In this procurement model, you’re only paying for what you actually use. Usage-based procurement is more flexible than tying up your budget in fixed amounts. It means organizations are able to adjust the resources they use according to their actual needs. With it, you can say goodbye to wasted time and expenses on things you barely even use. 

One challenge for this, however, is keeping a close watch on usage to avoid surprise charges, which makes careful monitoring and clear reporting a must.