How to Save in 2018 with Oracle Software Asset Management

Your organization spends hundreds of thousands or even millions of dollars each year on your Oracle software, so it is critical to manage that investment to avoid additional, preventable costs.

If you don’t understand your Oracle licensing and usage, your company could be vulnerable to massive penalties during your next Oracle audit, or paying for services you don’t need at your next contract renewal.

This blog will explores how your organization can save money and avoid those costs in 2018 using software asset management (SAM) strategies.

Understand Oracle licensing policies

Oracle licensing is extremely complex, and many corporations lose money simply because they don’t fully understand Oracle’s licensing policies. Learning the intricacies of Oracle licensing and contract policies puts you in a better position to negotiate and helps ensure your company doesn’t get into compliance trouble on your next audit. For instance, a common licensing mistake is deploying database options that require additional licensing, without even realizing it.

Of course, learning Oracle licensing policies is no small feat. Your organization should have a solid understanding of what does and doesn’t need to be licensed, as well as perform regular self-audits to ensure licensing compliance. It may be prudent to hire or allocate staff to manage your Oracle licensing, or you may find it beneficial to outsource to a vendor with expertise in Oracle SAM.

Be prepared to negotiate

The saying “knowledge is power” is an essential one when it comes to negotiating any contract. If you don’t have a clear understanding of what you do and don’t need in regards to Oracle solutions, you could be wasting huge sums of money. We also find that companies feel pressure to rush the negotiation process when the signing deadline is near and/or their organization needs to implement the software as soon as possible.

An effective Oracle negotiating strategy should address many facets, including Entity Lists, User Groups, Auditing terms, Licensing & Support policies, Virtualization, Governing Law, and Assignment. It’s common to forget a critical part of your contract in the heat of negotiating, particularly since the Oracle ecosystem is so extensive and complex. Go into negotiations prepared with a deep understanding of Oracle licensing, a list of your company’s needs, and thoughts on where you specifically want to negotiate.

Make sure you have a solid SAM strategy

Techopedia defines software asset management (SAM) as: “a business process in which an organization's overall business investment in software solutions is maximized for optimal value and impact. The SAM model is used for the purchase, budgeting, management and use of software in an organization.” When it comes to Oracle SAM, your strategy should incorporate clear guidelines and policies regarding Authority, Internal Resources, Trusted Inventory, Accurate License Records, License Reconciliation Processing, and Licensing Expertise.

Because Oracle SAM is so critical—and so complicated—many organizations choose to partner with third-party firms who specialize in that area.

At Olitech, we are experts in Oracle licensing and software management, and work with many corporations to understand their Oracle investment and minimize avoidable costs. Learn more about how we can support your Oracle needs.


By Melissa Cortale

Melissa Cortale is founder and President of Olitech Solutions, LLC. Melissa has worked with Oracle licensing, both for Oracle and on the client side, for over 10 years where she has negotiated more than 300 transactions. Melissa has shared her Oracle expertise at multiple SAM conferences and has has taught IBSMA’s Practitioner’s Certificate in Oracle License Management (PCOLM) course across the US and abroad.

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