Gartner Research

SAP's Shift to Online Terms Could Mean Increased Cost and Compliance Headaches

Published: 01 April 2014

ID: G00262073

Analyst(s): Alexa Bona, Lori Samolsky

Summary

IT procurement professionals should resist pressure to sign an SAP order form that gives online Software Use Rights precedence over new or existing terms — unless they understand the consequences. Those who fail to do this are risking significant cost exposure and software compliance issues.

Table Of Contents
  • Impacts

Analysis

  • How do online SUR terms differ from prenegotiated terms?
  • Evaluating SAP's agreement history will aid contract comparison
  • SAP's new order forms may mean past negotiated concessions will not apply to new purchases
  • Example of the impact of overriding terms and compliance
  • Where can you find SAP's new online documentation?
  • Transformation of the SAP agreement structure started in 2010

Impacts and Recommendations

  • IT procurement professionals who have already signed an SAP order form requiring compliance with standardized online SAP SUR may have already lost the right to avail themselves of more financially attractive terms from prior agreements when they buy new licenses
    • Creating a communication plan requires clarity on how to evaluate online term changes
    • Let this U.S. SUR example guide you through the analysis
  • IT procurement professionals who have not signed such an SAP order form must proactively protect negotiated use rights or risk SAP eroding them for new license purchases
  • Online terms will change without notification, so software asset managers may need to implement new processes to ensure compliance with changing SAP SUR granted online
  • Delays in updating the category ID in SAP systems, based on definition changes, may expose you to immediate compliance risk when submitting self-audit data to SAP

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