softwareone oracle licensing introduction 18.02.14
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Procuring and Effectively Managing Your Oracle EstatePart 1: Oracle Licensing
February 2014 Robert Lamb
Oracle Practice Head
Dave Bloxham
Head UK Marketing
Subject Matter
SoftwareONE
Oracle Software Licensing- Difficulties and Challenges
Oracle License Review (Audit)- Preparation and getting a win
Taking Control and Summary
A Global Company
Software Portfolio Management is a proven enterprise methodology that combines three
core data streams of SAM, technology demand roadmaps & commercial analysis services
to drive an all up view of IT investments”
“ A successfully implemented SPM service ensures IT investments”
support evolving business needs while delivering value, innovation, and alignment to cost
management initiatives.”
As a solution provider with software licensing at its core, SoftwareONE gains added
insight into the challenges and opportunities your software lifecycle presents, enabling
us to provide the highest level of expertise and most complete services throughout the
lifecycle of your investments.
A Proven Partner
Founded in 1985
Authorisations and local presence in 83 countries
Revenue of $3.4B in 2013 Over 25% YoY growth for last 5 years
Microsoft’s and Oracle’s fastest growing Partner
1,900 Publishers Represented
43,000+ Contracts Managed
Software Licensing
Company Overview
“
And still continue to be so…
Terms & Conditions
Product Releases
Acquisitions
Oracle Revenues 30+ years
Research
Company Overview
In average 19% of a IT budget contains
of software and license costs
70% of organisations have a 30%
discrepancy in their actual vs. planned
software use
35% can expect an external audit
20-30% is the expected initial ROI for
implementing a SAM process
Compliance: $10 in software per laptop
or server with regard to compliance
Licence optimisation: From $50 per
desktop to $300 per server
Other costs: 10% in IT support, costs in
training, research and productivity
improvement.
Gartner Forrester
New Challenges in the Datacentre
Company Overview
Gartner: In 2014; 69% of a datacenter budget is software and license costs
Complex licenses rules, policies and price models for business software e.g. ERP, CMDB, etc.
Multiple platforms such as Terminal Servers, application virtualisation, server virtualisation, all with different dependencies on your license optimization and compliance.
Source: Gartner
Oracle Licensing – Procurement ViewPossibly your estate is bigger than you realise
Database
Oracle Database 11g
Enterprise Edition
Options
Data Warehousing
Database Security
Data Integration
Exadata
Enterprise Manager
MySQL
Middleware
Java
Application Grid
Exalogic Elastic Cloud *
SOA | BPM
Content Management
Enterprise 2.0 and
Portals
Enterprise Performance
Management and
Business Intelligence *
Identity Management
Enterprise Manager
Applications
Oracle Fusion
Applications
Oracle E-Business Suite
PeopleSoft Enterprise
Oracle Policy
Automation
Siebel
ATG
Oracle CRM On
Demand
JD Edwards
EnterpriseOne
JD Edwards World
Hyperion
Primavera
Server and Storage
Systems
Exadata ‘ Logic
SPARC Servers
Sun Storage and Tape
Sun Oracle Database
Machine
Oracle Solaris
Oracle Linux
Virtualization
Enterprise Manager Ops
Center
Sun Blade Servers
• Multiple Price Lists
• 000’s of Products
• Many new Acquisitions
Oracle Licensing Complexity- IT ViewEnd User View
Service and
Process
information
All software
installed, versions
& patches
Map Virtual
Machines to
Physical Hosts
Options installed,
Options in USE
SAN and disk
configuration
Who is using what
CPU Model, # of
CPU’s, cores, etc.
EM Packs
Oracle LicensingWhy is it difficult to manage?
Procurement
License Agreements (OLSA’s - OMA may vary
Lack of understanding of Pre-requites and dependencies of Products
Overlooked in the heat of the sales _ internal price list
Supplements
Technical/Business
Pre-loaded software (Availability of license assumes right to use)
Contractor implementation
Infrastructure changes
Software Estate Management
Oracle
Constant licence agreement and rules changes
Changes to Business Practices
Inconsistent account engagement
Or to quote clients…..” It’s Oracle”
Oracle LicensingWhat may be the consequences?
“ Drifting” Non - Compliance Due to a mixture of Procurement, Technical And Oracle
Commercial advantage of centralising known spend on Oracle Knowledge of Oracle Products diluted by multiple sourcing
Ability to maximise ROI Movement of assets x-border and x-company
Duplication of Assets
Overspend on Support and Maintenance
An unplanned visit from Oracle LMS or COLs Emergency and unplanned compliance spend
Oracle LicensingGotchas and Trade Secrets
“ Just fill in the spreadsheet.”
Oracle Licensing Audit (Review)Steps into & through a review (i)
Precipitation causing Stress on Current License Position
OSW from Oracle requesting, or escalated to LMS
Strategic review required for compelling Business reason
Or you simply do not know should state a position
Time Window
Pressure from Oracle
Business pressure for Finance or M&A
Is the outcome financial or administrative
Support – Redundant Product – Compliance & SAM standards
Oracle Estate information
A support renewal spread sheet from Oracle is not good enough
OLSA / OMA and any contract details
Discovery – Methodology and Tools
What information is available from Oracle
Factor in any decommissioning, Project roll-outs, and M&A
Oracle Licensing Audit (Review)Steps into & through a review (ii)
Project Plan
Set timescale with clear objectives
Oracle expertise required from Vendor Independent or Internal
Engagement with Oracle
Who – When – Where – Why
Oracle Relationships
Use review and any engagement to maximise Oracle relationships for
technical / procurement and any relevant stakeholder
…. Where do we start?
Review Outputs
The VendorThe tradit ional approach
A first Approach – Soft Review OSW
Oracle Rep CSR TSR OD
Invite from the Client
Classic Mistakes They are on your side
LMS are involved
The DBA understands Oracle Licenses
Scripts or Worksheet?
Client interprets SIG or other documentation
Company Name: ORACLE SERVER WORKSHEET Date:
Details provided by:
1* 2 3 4 5 6 7* 8 9 10* 11* 12* 13 14 15 16 17 18 19
Server Oracle Instance Connect Version Application App Status Arch Estimated #
Estimated # of
max. Generic Server
Processo
r
No.
of
No.
of Proc. Op Virtual
Name
DB /
IAS Name String
Standar
d (SE) Name Provider Dev (D)
Client/Serv
er
different
users
simultaneous
users
Login
Used Model type Proc. Cores
Spee
d System
Environme
nt
if DB if DB
Enterpri
se (EE) Test (T) Three Tier
" Named
Users"
" Concurrent
Device"
Y /N/No
Login (Ghz)
Version Prod (P)
Inter/ Intra/
ExtraNet
etc. etc.
Understanding DiscoveryOur preferred approach
Company Overview
Cust Tool Tool Tool Tool Tool Tool Tool Tool Tool Tool Tool Tool Tool
Oracle
CSI
Oracle
Product
Category
Physical
Machine
Id / Host
Name
Virtual
Machine Id
/ Host
Name
Partitionin
g Method
CPU
Pinne
d
Databas
e
Edition
Datab
ase
Name Port
Versi
on
Options
Installed
Options in
use Packs Granted Packs Agreed
CSI
Oracle
Product
Category
Physical
Hostname
Virtual
Hostname
Partitionin
g Method
CPU
Pinne
d Edition Name Port
Versi
on
Options
Installed
Options
Used Packs Granted Packs Agreed
Database ARES N/A None N/A
Enterpri
se
IQOR
CL 1798
10.2.
0.4.0
P,S,AS,RAC
,OLAP,DM,
RAT P,AS
ASC,ASD,DCO,DD,
DT None
Cust Cust RSC/Tool Cust RSC/Tool
RSC/To
ol
RSC/To
ol RSC/Tool Tool Tool Tool
App
Name
App
Status
(prod,
test, dev,
train..)
User Count
(DBA
Users)
User Count
(App)
Top
Concurrency
Timestamp Sessions
Devices
seen
Inst Sess
Highwater Install Date
Server
Manuf Server Model Op Sys
Applicatio
n Name
Applicatio
n Status
DBA Users
Count
App User
count
Top
Concurrency
Timestamp
Max
Sessions
Devices
Seen
Instance
Session
Highwater Install Date
Sever
Manuf Server Model Op Sys
24
27/01/2010
06:01 1 3 4
09/11/2009
10:27
Hewlett-
Packard
HP Pavilion dv5
Notebook PC
Microsoft
Windows 7
Ultimate
20
26/01/2010
06:36 0 1 7
10/11/2009
11:18
Hewlett
Packard
ia64 hp server
rx2600 HP-UX
Tool Tool Tool RSC/T RSC/Tool RSC/T
Sockets
Cap
Sockets
Pop
Total
Physical
Cores
V$License
CPU Highw’
CPU
Count OS
Level
Total
Logical
Cores
Max poss
No.of alloc
CPU Processor Identifier
CPU
Speed
Proc
Factor
Proc Lic
Req NUP Min
1 2 2 1 2
AMD Turion(tm) X2 Ultra
Dual-Core Mobile ZM-82 2200
1 1 1 1 1
Intel(R) Itanium 2
processor (1.5 GHz, 6
MB) 1500
And When It Goes Wrong
Company Overview
Actual customer numbers:
>6,000 devices. 47 Oracle servers, 83 instances
RAC, Partitioning, OLAP, Data Mining, Advanced Security
3 Servers from manual declaration were 100% accurate – 44 were not
Over spent: $1,500,000
Under spent: $ 920,000
Oracle Settlement: $ 560,000 *
* Recovered in 3 years from reduced support bills
SAM & Discovery now in place as part of ongoing license management
process
Taking Control & Summary
Business CaseWhere are the savings?
Reduce support and
maintenance costs
Fit license strategy to
business
requirements
Manage ongoing
requests against
capacity
Reduce cost of
ownership
You can leverage relationships and scale,
to deliver benefits through
negotiation of exceptional terms
Taking ControlThe basic steps
“A successfully implemented SPM service ensures IT investments
support evolving business needs while delivering value,
innovation, and alignment to cost management initiatives.”
In Summary
Oracle Estate
What is the current understanding
Continuous review Process
What steps are in place should Oracle approach
Strategy for Vendors Oracle
SAM
Procurement
Oracle Relationships
Who and what is their motivation
Revenue/Product/Support Industry Leader
Info.uk@softwareone.com
+44 (0)203 5300 270
@SoftwareONE
LinkedIn:
SoftwareONE
Software Portfolio Management
Software Contract Negotiation
Company Overview
Understanding your spend profile,
How to gather vendor spend
Leakage – what is it and how to avoid
Which vendors do we start with? (defining quick wins)
Future Requirements
Build A Roadmap
Calculate full contract costs
Tools available
Virtualisation Modelling
SQL Modelling
Software Procurement Platform Demo
Discovery Tools
SAM Tools
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