How to manage unused licenses in Microsoft 365?
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For effective Microsoft 365 license management, it is important to remove unused licenses. Before managing unused licenses, you must get inactive users with licenses assigned in Microsoft 365.
Follow the steps below to get the Microsoft 365 inactive users report.
- Microsoft 365 Admin Center To find inactive users in Microsoft 365 admin center, navigate to Reports»Usage» Microsoft 365 apps. You can track usersâ activity from the Active users section.
- Microsoft PowerShell Run the below cmdlet to find a list of inactive users in Microsoft 365 using PowerShell.
Get-MgUser -All -Property 'UserPrincipalName','SignInActivity','Mail','DisplayName' | Select-Object @{N='UserPrincipalName';E={$_.UserPrincipalName}}, @{N='DisplayName';E={$_.DisplayName }}, @{N='LastSignInDate';E={$_.SignInActivity.LastSignInDateTime}}
To remove unused licenses using the Microsoft 365 admin center, follow the steps below.
- Navigate to Users»Active users and click the desired user.
- Under the Licenses and apps tab, you can see various licenses assigned in the Licenses section.
- Uncheck the licenses that you want to remove for the user. You can also remove the licenses of specific applications under the Apps section.
Run the below cmdlet to remove Microsoft 365 licenses from user accounts with PowerShell.
Set-MgUserLicense -UserId "<UPN>" -RemoveLicenses @("<AccountSkuId1>") -AddLicenses @{}
- Here, you can get the last active time and the inactive days based on various services like Exchange, OneDrive, SharePoint, Teams, Yammer, etc. Additionally, you can view the common last inactive time, which selects the most recent from all the services.
- Using the Advanced Customization feature, you can see the users with most number of inactive days.
- Pro Tip: Revoke access to specific Office 365 services due to prolonged user inactivity.