There are many benefits of effective SAP license management. Improved control of SAP usage, accurate inventory, and cost reductions are just a few of the benefits. A license performance evaluation (LPE) provides facts against which to evaluate your current processes and determine whether your licensing strategy is on track. This allows you to make informed decisions on how to deploy and optimize your SAP license requirements. Listed below are some of the advantages of implementing an LPE.
One of the major risks of underlicensing is that customers may underlicense their software. The best way to avoid this is to ensure that your licensing requirements are in compliance with industry standards. As part of your SAP license management strategy, you can make your licenses as easy to manage as possible. However, you must be prepared for audits and make sure you have the right licenses. SAP will perform its audits only when your company is fully prepared.
SAP licensing is one of the biggest expenses for most organizations. This is because SAP licensing models are not always easy to understand. Without proper analysis, many organizations continue to increase their license spend year after year to stay in compliance. With the right solution, you can uncover actual SAP usage and flag excessive or non-compliance license allocations. In addition to maximizing the value of your software investments, license management will protect your compliance position by allocating the most cost-effective licenses.
A license type is required for each user. This license type can be changed based on use profiles, which represent user behavior in SAP Systems. A license type should be appropriate for each type of activity and transaction. You must also ensure that users are authorized to perform the tasks outlined in the contract and applicable price lists. In the case of indirect SAP usage, it may be difficult to know which users will need licenses. For this reason, it is imperative to use license management to ensure that you don't exceed the authorized amount.
While SAM tools are essential for license management, you shouldn't rely solely on them. Without proper configuration, they will fail to provide you with a reliable financial overview or compliance overview. Moreover, an accurate SAM tool can't guarantee that a license will never be used by someone who shouldn't. This is a major compliance risk that needs to be carefully considered. So, if you're planning to implement a SAM tool, be sure to consult with an expert.
Once you have a clear picture of your licensing position, you can start preparing for an audit. In the event of a license audit, you can exchange shelf ware for valuable software. With a comprehensive analysis of your licensing position, you'll be able to avoid unnecessary software spending and mitigate indirect access. The right SLA will help you maintain cost savings and follow compliance guidelines. So, consider all your options when planning your SAP license management.
