On Monday May 6th, SAP announced its time-bound Digital Access Adoption Program (DAAP) with financial incentives for customers who choose to proactively license their Indirect Access on the basis of their business-document consumption.
Due to the importance of the subject, we also released a more detailed white paper which you can download here.
What do you need to know about DAAP?
The Digital Access Adoption Program (DAAP) is valid for one year and guarantees no back-maintenance will be due as part of the program. DAAP offers a 2-step approach that begins with (1) measuring your document consumption rates and (2) choosing a financial incentive either covering 100% of your current document consumption at a 90% discount, or purchasing at least 115% for your current document consumption plus growth. Customers will have to calculate which scenario best suits their needs.
What are the Gotchas?
While these discounts are tempting, you need to consider the options for measurability. Customers can either work with SAP’s Global License Audit and Compliance Group (GLAC) — which still relies on SAP’s flawed estimation note — or install SAP’s Passport Tool which (supposedly) adds accurate detection of documents created via 3rd party applications, but: the tool is already delayed, will initially only be available for the most current versions of ECC, and only starts counting documents from the time of installation — so it won’t give you an immediate and accurate annualized estimate either.
Please note that these discounts only apply to the initial purchase of documents, which is a perpetual license, and won’t apply to your annual maintenance which is based on SAP’s List Prices.
SAP also confirmed that EDI communication is considered Indirect Access. If you already performed your own investigation of the financial impact of Indirect Access at your organization, your results are most likely too conservative if EDI was not considered.
Finally, the topic of Robotic Process Automation (RPA) was addressed, as non-human use falls under SAP’s definition of what constitutes Digital Access. This confirms that all non-SAP RPA solutions integrated with ECC or S/4HANA will create additional licensing demands for customers.
What should you do now?
We believe that DAAP is an opportunity for customers to compliantly license their Indirect Access once and for all — the difficulty is in the right approach to ensure that you are actually receiving the maximum benefit from the program.
What will happen once the program expires in May of 2020? It’s hard to say — but given SAP’s strategic use of its audit machinery, future non-compliance penalties are expected for customers that continue to ignore SAP’s efforts to transition its customer base over to its Digital Access model.
Introducing VOQUZ Assisted “Digital Access” Adoption Projects (VQ-ADAAP)
The challenge with DAAP and SAP Licensing in general is getting the right stakeholders aligned to reach the best financial outcome. That’s why we created a tailored program to support SAP customers in resolving their Indirect Access.
VOQUZ’s Assisted “Digital Access” Adoption Project (VQ-ADAAP) combines output from objective SAP License Measurement and Optimization Software (“samQ”) with the expertise of our in-house License Advisory Group to create a clear path forward for you that ensures the lowest-cost resolution, while implementing contractual protections and eliminating audit risk. Would you like somebody to drive your actual negotiations with SAP? As independent advisors, we can support you with that as well.
ASUG recommends in its latest blog post that you should “…determine your level of license compliance within the next six months — […] If you determine that you are under licensed, the two options available to resolve this with SAP have a time limit of one year (expiring in May 2020). Given that it will take time to understand your current indirect access exposure, current licensing entitlements, and negotiations to update your license—you have very little time to spare. Starting now will help make sure you and your organization is prepared to make the best decision.”
We agree with ASUG’s position and have done precisely this for hundreds of customers since the Diageo court ruling, ranging from small SAP shops to mega multi-nationals eclipsing 50,000+ users and total contract values exceeding $500M.
We’re here to be your champion throughout this process — take the first step now and arrange a 1:1 consultation with our SAP License Advisory Team!