Customers Must Resolve SAP Indirect Access Risk When Investing in SAP Functionality


Archived Published: 05 April 2017 ID: G00321827

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Summary

A February 2017 U.K. court decision has strengthened SAP's position regarding indirect access. Sourcing and vendor management leaders must identify indirect access risk now, and leverage future SAP investments to achieve immediate and long-term cost certainty.

Table of Contents

  • Introduction
    • SAP v. Diageo U.K. Court Judgment Increases Indirect Access Risk
    • Common Triggers for Indirect Use Discussions
  • Analysis
    • Identify the Prevailing Use Definition in Your SAP Contract, and Recognize That Negotiation Will Be Required to Limit Financial Exposure
      • SAP Indirect Access Language Now Exists in Many (but Not All) SAP Contracts
      • Protect Older Contracts and Negotiated Use Terms to Limit Exposure
      • Incorporate Gartner's Principles of Licensing Fairness in Your SAP Contract to Limit Financial Exposure and Gain Cost Certainty
    • Use SAP's Desire to Sell New Licenses for Strategic Products Like S/4HANA as the Incentive to Resolve Indirect Use Cost Uncertainty
    • Negotiate a Strategic Resolution to Indirect Access Exposure
  • Gartner Recommended Reading
© 2017 Gartner, Inc. and/or its Affiliates. All Rights Reserved. Reproduction and distribution of this publication in any form without prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartners research may discuss legal issues related to the information technology business, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice.

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