Secrets of SAP S-4HANA Licensing
- With the relatively slow uptake of the S/4HANA platform, the pressure is immense for SAP to maintain revenue growth.
- SAP’s definitions and licensing rules are complex and vague, making it extremely difficult to purchase with confidence while remaining compliant.
- Aggressive audit tactics may be used to speed up the move to HANA.
Our Advice
Critical Insight
- Mapping SAP products to HANA can be highly complex, leading to overspending and an inability to reduce future spend.
- The deployment model chosen will directly impact commercial pathways forward.
- Beware of digital (indirect) access licensing and compliance concerns.
- Without having a holistic negotiation strategy, it is easy to hit a common obstacle and land into SAP’s playbook, requiring further spend.
Impact and Result
- Build a business case to evaluate S/4HANA.
- Understand the S/4HANA roadmap and map current functionality to ensure compatibility.
- Understand negotiating pricing and commercial terms.
- Learn the “SAP way” of conducting business, which includes a best-in-class sales structure, unique contracts, and license use policies combined with a hyper-aggressive compliance function.
Secrets of SAP S/4HANA Licensing Research & Tools
Start here – read the Executive Brief
Read our concise Executive Brief to find out why you should explore the secrets of SAP S/4HANA licensing, review Info-Tech’s methodology, and understand the four ways we can support you in completing this project.Besides the small introduction, subscribers and consulting clients within this management domain have access to:
- Secrets of SAP S/4HANA Licensing – Phases 1-3
1. Establish requirements
Determining SAP’s fit within your organization is critical. Start off by building a business case to assess overarching drivers and justification for change, any net new business benefits and long-term sustainability. Oftentimes the ROI is negative, but the investment sets the stage for long-term growth.
2. Evaluate licensing options
Your deployment model is more important than you think. Selecting a deployment model will dictate your licensing options followed by your contractual pathways forward.
- SAP License Summary and Analysis Tool
- SAP Digital Access Licensing Pricing Tool
3. Negotiation and license management
Know what’s in the contract. Each customer agreement is different and there may be existing terms that are beneficial. Depending on how much is spent, anything can be up for negation.
- SAP S/4HANA Terms and Conditions Evaluator