SAP License Management as preparation for the cloud
SAP license management is currently dealing with many projects: interpretation of the price list and digital access, use of measurement tools, understanding of Cloud Full User Equivalent (FUE), monitoring of license purchases and existing systems , as well as preparation of S / 4 Transformation of Hana.
In this exclusive interview, E-3 Magazine spoke to Ayhan Aslan, Senior Manager CIO Advisory and License Management at audit firm KPMG, about the various challenges that SAP customers face today. The most important topic: license management. Here, a company’s CFO and IT director work together to protect their business from long-term risk.
Magazine E-3: Where do you see the most urgent need for action from a SAP customer’s perspective?
Ayhan Aslan: SAP customers currently face many challenges and need to take action in SAP licensing. First, companies are more aware than ever of digital transformation and the profitable introduction of new technologies. The complexity is not only evident in the practical implementation, but also with regard to the technical, contractual and business risks that have an impact. SAP offers customers different models for converting their existing contracts and licenses to new technologies. The important thing is to be able to translate your business requirements into a suitable contract. The basis for this is good audit preparation for current usage and architecture, current and future requirements, transparency of contract and license rights, and license inventory. Coordination with SAP at this time is favorable due to current offers as well as willingness to negotiate. It remains to be seen what RISE with SAP will contribute to digital transformation in the short and long term, but it will certainly be exciting to see how license management changes with Rise with SAP.
What does this mean for SAP customers in terms of preparing for a license measurement and audit?
Aslan: The complete preparation of a measurement or audit is crucial for the subsequent outcome – starting with defining the scope, developing the hierarchy of contracts and licenses and deriving the resulting rights of use . Subsequently, the audit can be carried out in accordance with the authorization regulations.
The risk of sublicensing still exists if customers don’t order new software or move to the SAP cloud, right?
Aslan: Correct, under certain conditions there is always a potential risk for SAP customers to sublicense the software they are using. This includes, above all, the fact that matters such as audit preparation are often seen as ad hoc tasks in companies. In addition, the move to the cloud is not without risk either. Many customers assume that the risk of sublicensing no longer exists in the cloud or exists only to a small extent, but they are sorely mistaken. Customer is still responsible for ensuring compliance with any use of software in the cloud.
What mistakes do SAP customers make over and over again and how can they be avoided?
Aslan: From an organizational point of view, as mentioned, the main thing missing is the planning and implementation of a holistic SAM governance model for the continuous implementation and improvement of audit processes in order to generate value. The implementation of such a model would often lead to proactively eliminating other sources of error. From a technical point of view, it is often the details of the measurement systems that lead to divergent results. These include importing current notes, lack of verification of LAW and USMM files regarding user statistics and transaction analysis, multiple logins, high workloads, logon hours, unused accounts , duplication and the potential for indirect use and digital access. The classification of a developer or professional user for internal staff and / or external consultants poses a difficult question for organizations. Many of these issues can be addressed through organizational and procedural measures while onboarding / unintegrating into user management or through in-depth permission management.
Faced with these threatening scenarios, how can KPMG help SAP customers?
Aslan: KPMG offers a professional SAM service that covers all tasks, from initial vision and roadmap, through demand and cost planning, metrics and licensing strategy, to negotiations SAP. Unique to our solution is the possibility of concluding license and IoT guarantees in addition to professional service. This is offered exclusively by KPMG in cooperation with Munich RE and covers both internal and external risks in the event of an audit, regardless of the manufacturer. In the event of a complaint, KPMG assumes all costs incurred, including all subsequent payments and penalties. This allows companies to focus on their core competencies with total cost and planning security. KPMG has been active in licensing for over 20 years, both from an auditor’s and a consultant’s point of view, and always guarantees up-to-date solutions for all common software manufacturers.