SAP LICENSING

SAP License Evaluation

EFFECTIVE LICENSING POSITION

Awareness

JNC’s SAP License evaluation provides organisations with an enterprise-wide view of their licensing and compliance position also known as an ELP (Effective Licensing Position).

Our license evaluation process provides you with the intelligence and insight you need to get compliant and stay compliant.

JNC’s SAP License evaluation helps you identify and mitigate compliance concerns. Being aware and prepared to address any potential non-compliance will dramatically reduce efforts and budgeted costs.

License Audits can result in costly and unexpected license fees and with vendor Audits on the increase, there is no better time to take control.

  • Discover the non-compliant use of the SAP software ahead of a license measurement.
  • Reveal licensing risks that SAP’s standard measurement tools can’t measure.
  • Discover whether your SAM tool is providing a false sense of security.
  • Remediate under licensing.
  • Retain previously negotiated discounts and avoid back-dated maintenance.
  • Address technical factors falsely inflating license deployment and use.
  • Get an accurate and concise view of your entire SAP licensing estate.
  • Identify opportunities to optimise SAP licenses.
  • Understand how to maintain a compliant and optimised licensing position.
measurement-simulation

A review of SAP agreements, surplus assets, maintenance fees, and roadmaps resulting in a report outlining actionable cost optimisation strategies with quantifiable business benefits.

WHAT OUR CLIENTS SAY

Business Benefits

” JNC’s License Measurement was by far the most in-depth and detailed licensing summary I’ve ever received “.

Real licensing intelligence from the leading experts in the field, which put us in a position of knowledge and control we would have otherwise struggled to achieve.

THE PROCESS

License Evaluation

Review the client’s SAP master agreement and support maintenance contract(s) including annual invoices and order forms. JNC will determine terms of software use and quantify entitlements in the form of a Bill of Material (BoM).

In order to deliver a detailed and accurate software licensing bill of material (BoM), the review will specifically focus on the clients use rights of the SAP software including a detailed overview of the associated metrics to measure software use. This will also entail a total cost of ownership summary.

The Named-User Licensing (NUL) measurement phase provides an accurate view of the named-user licensing required by the business to support actual usage of the SAP software compared to the licensing assets currently held. The process identifies surplus or shortfall against each named-user license type within your contract (as documented in the BoM) or other applicable license types not already procured.

The Named-user Measurement process involves establishing the total number of unique named-users who require a license including, identifying and eradicating dormant and duplicated users.

We convert contractual definitions to technical definitions according to the clients contract, and then perform a measurement per individual named user license type. We review a user’s authorisations (what they can do) and compare it to historical usage (what has been done). The measurement itself is dependent on the client’s contractual definitions.

The SAP License Evaluation reveals a more accurate and realistic view of licensing compared with the SAP standard measurement tools such as USMM and SLAW. The standard SAP licensing tools count what SAP licenses have been allocated by the systems administrator and are known to be error prone as they have no direct link to contract definitions, user authorisations or actual use.

The SAP Packages Measurement determines over or under usage of package licenses measured by comparing consumption against the entitlement purchased for package based on the contractual metric.

Whilst named-user license metrics are more or less consistent for all organisations, SAP Packages are licensed based on business metrics. For many core and non-core SAP products, a Package is required to deploy and use that solution. The metrics for packages vary greatly based on how the products is used. For example, the metric could be revenue, data, employees or CPU to list a few, and some packages are tired i.e. after a threshold is reached the next tier has a lower unit cost.  This makes pricing scalable and proportionate to each customer buying the software. It should also be noted that depending on the year of purchase, the Package metrics can differ. Many Packages can be measured using the standard SAP license audit tools however, many are non measurable by the standard SAP license audit tools and require a form of self-declaration.

The Packages Measurement process involves establishing all SAP Packages in use and comparing usage to packages purchased and the level of entitlement held for each. Due to the SAP marketplace, it is easy and common for organisations to use SAP system functionality that they haven’t purchased, and with companies growing an expanding rapidly, entitlement levels can unknowingly be exceeded leading to non-compliant use.

The measurement evaluation detects unlicensed package usage, and the over or underuse of existing packages.

Indirect Access is a user or third-party application creating, manipulating, or viewing data in SAP Systems via an interface; we can evaluate that use. Unlike direct use such as users working with the software using the SAP GUI (Graphical User Interface) with a user ID and password, detecting indirect use is not so straight forward. Using SAP software processes and capabilities is licensable regardless of how the software is accessed.

The indirect software use review can be performed in many ways depending on the specific client and SAP landscape. Such ways include utilising the standard SAP license audit tools, specialist tools, SAP landscape documentation and business process documentation.  Once the areas of potential unlicensed software use are identified, the review quantifies the potential risk. Once the concerns have been identified and quantified, the consultants will propose risk mitigation plans and licensing options.

License Optimisation can be conducted in a multitude of ways commercially and technically with the aim of reducing the Total Cost of Ownership.

Technical optimisation is primarily based on reviewing authorisations granted to users and comparing that to historical usage and may involve some redesign of roles.

Commercial optimisation focuses on the redundant software and whether associated support can be cancelled or those products credited against future purchases.

ARRANGE A DISCOVERY CALL

SPEAK WITH AN EXPERT

Arrange a complimentary call with a specialist to discover more.
Global SAP support, license compliance, cost optimsation and business transformation for over 10 years