SAP License Management

What are the Additional Components of SAP License Optimization?

Below are potential additional components for license optimization.  

Unused licenses - Employees (system users) rarely use SAP, do not use it at all, or use it differently than expected. They are assigned licenses that are inadequate.  

Inactive/unnecessary users - Many customers use SAP HR, which typically has no integration with user management. The manual provisioning process often leads to errors, such as a user for an employee who is no longer working (and still has a license pinned). There is also the possibility that employees have not logged into the system for a long time or not at all. 

Indirect use - Connection of external systems, lack of control over users of interfaces of external systems communicating with SAP systems. During SAP, audits may result in additional charges (back-maintenance). 

Cloud - SAP platforms such as SuccessFactors, Ariba, Concur - are highly opaque. Reports can be created manually and exported as csv, with no way to get a full overview or transparency of usage.  

LUI/LUPA [License Utilization Information & License Utilization Preparation Area ]. - Does not replace USMM & SLAW process - no optimization, only compliance. There is no license optimization with the SAP measurement tool. 

Optimization of license types - Customers have purchased only a few types of licenses and are not using the full potential of other, cheaper license types (e.g., Worker, Logistic or Shopfloor users). Users are often assigned overpriced licenses.  

Information on the use of roles - If users do not use the roles or use them only partially, they will receive overpriced licenses. 

When the time comes to consider possible additional license fees, this information can be used in time for new negotiations. 

Niewykorzystany pakiet licencji można wymienić na potrzebne licencje. Badając kwestię licencjonowania opartego na uprawnieniach (realizacja przez USU) okazuje się, że użytkownicy SAP wykorzystują średnio tylko 25% tego, do czego są uprawnieni. Przy przejściu z ECC na S/4HANA ta wiedza i odpowiednie „fat burning” jest warunkiem koniecznym.  

Early Warning System - SAP mechanisms lack warnings that you are approaching the limit of licenses granted. The essence is to receive adequate information in advance in order to know about potential additional license fees. 

Duplicates - Lack of duplicate detection in the system. Despite the use of central user administration, duplicates often appear in SAP systems. Even if one user has multiple accounts, only one license should be purchased. This is the license with the highest value (privileges).

What Else is Worth Remembering?

License ID is not a mandatory field in the user's master data, but the catch is: 

• A user without an assigned SAP Named User license will be counted with the default customer license type: production system: SAP Application Professional User / SAP Enterprise Management Professional User 
• A penalty is imposed for a mistakenly assigned license. In this case, discounts negotiated with SAP will be forfeited. 
• Poor management of licenses, permissions, user accounts, use of standard SAP license counting tools do not help reduce costs and fix problems during audits.  

Are we able to improve this situation?

At Lukardi, we provide niche solutions that address pressing customer issues. The answer to these license optimization issues is USU's license optimization software for SAP. This tool ensures that the company pays only for the minimum required licenses.  

USU is a software that supports the counting of SAP licenses while reducing the costs spent on these licenses. Using the collected data from SAP, the matrix, and from the built set of rules, USU creates a summary that shows us the real picture of SAP license usage and a solution proposal aimed at optimizing license costs. 

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If you are interested in SAP license cost savings - we are ready for a dedicated presentation. Feel free to contact us!