Many organizations rely on SAP® for harmonizing business processes. Despite its value and ubiquity, however, many businesses remain unprepared to transition to SAP’s S/4HANA before mainstream support for Business Suite 7 ceases in 2027.
Companies can choose whether to move to SAP S/4HANA On-Premises or Cloud, with SAP explicitly encouraging cloud options. These options are a contract conversion, product conversion or mixture of both. Companies can also choose whether to change to the digital access licensing model. This will require businesses to improve their oversight on system usage, the complexity of which is intensified by hybrid working models.
The consequences of choosing the wrong conversion type may amplify over time. Organizations could end up overspending with no opt-out because contracts could be valid until 2040.
Snow Optimizer for SAP® Software can be your essential tool for optimizing costs and identifying risks. It provides the license data required to identify shelfware you can leverage when negotiating contracts with SAP and helps ensure your company’s successful ERP transition and choice of contract. This guide addresses three areas where SAP administrators can focus to better manage the evolving face of SAP licensing.
Supporting visibility, operational efficiency and governance
Below we summarize the benefits Snow Optimizer for SAP® Software delivers across the three key focus areas of visibility, operational efficiency and governance.
Achieve actionable visibility of your SAP environment
Snow Optimizer for SAP® Software provides comprehensive visibility into license usage and spend. When you truly understand your SAP environment, you can manage risks, effectively govern processes, right-size your technology investments, reduce unbudgeted costs, and feel empowered for commercial negotiations. This enables you to make the right choice of contract for your move to S/4HANA.
SAP license management simplified
When Snow Software conducts a proof of value, we discover an optimization potential of between 10-30%, on average. Using Snow to analyze license allocations and usage to expose 1) unused licenses, 2) inactive or duplicate users, and 3) unnecessary assignment of expensive license types, allows licenses to be fully optimized for your exact needs. You are empowered to set pre-defined rules to continually manage and adjust licenses automatically, maintaining optimal license usage with minimal manual effort.
Correct roles, authorizations and user data
License types should be continuously evaluated as individual roles (and the transactions to which users need access), within an organization may change. Snow Optimizer for SAP® Software provides the tools to see detailed usage and last logon details to manage this centrally and provide visibility through one single view, ensuring governance can be maintained continuously as part of a business’s processes, regardless of how a user’s role or location changes.
Business outcomes of Snow Optimizer for SAP® Software
- SAP administrator resource is freed up for strategic projects, like the focus on the migration to S/4HANA or adoption of RISE with SAP
- Additional annual license purchases and maintenance costs are reduced and upcoming spend is made predictable
- SAP administrators are empowered to show their value by continually delivering compliance and cost optimization