Webinar Siebel CRM - The most common license compliance issues seen

Presentation Richard Spithoven & Anamaria Avram
LICENSING SIEBEL CRM:
AN OVERVIEW OF THE MOST COMMON
LICENSE COMPLIANCE ISSUES

ANAMARIAAVRAM RICHARD SPITHOVEN
Meet our Siebel experts
2014 – present
Senior Technical Licensing Expert
b.lay, the license management company
!
ORACLE!
2012– 2014
Senior Siebel Technical Analyst
Oracle License Management Services
ORACLE!
2011– 2012
Technical Licensing Analyst
Oracle License Management Services
2013 – present
Director / Partner
b.lay, the license management company
ORACLE
2009 – 2013
REGIONAL DIRECTOR
LMS Europe South
ORACLE
2005 – 2009
Principal Licensing Consultant
Oracle EMEA

Agenda
1.  License Entitlements – How does it work?
2.  Horizontal and Vertical applications
3.  Employee, Customer and Partner
4.  Unawareness of Siebel License Keys
5.  Siebel pricing vs Oracle pricing & metrics
6.  Users
1.  Authorized vs. Used
2.  Inactive Users Still HavingAccess?
3.  Incorrect Assignment of Responsibilities
4.  Professional Edition vs. Enterprise Edition
5.  External Users vs. Internal Users
7.  Concurrent migrates to Processor
8.  Custom Views Determine Usage
9.  Conclusions

License Entitlements – How does it work? (1/1)
In order to understand what your real license entitlements are,
a number of documents and sources need to be
reviewed, analyzed, understood and maintained
on a regular basis.

License Entitlements – How does it work? (1/1)
OF OLSA
SR
SP1 PD10g BP
SR SR
SP2 PD11g
SR SR
Time
These sources include:
-  Order Form (OF)
-  License Agreement (OLSA, SLSA or OMA)
-  Support Renewals (SR) – Subject to change
-  Support Policies (SP) – Subject to change
-  Prog. Documentation (PD) – Subject to change
-  Online Documents (BP) – Subject to change
-  Online Guidelines (BP) – Subject to change

Siebel CRM – Horizontal and Vertical (I)
o  HorizontalApplications are industry independent solutions,
o  for instance Siebel CRM Base and Siebel Contracts.
o  Vertical applications are industry specific solutions such as
Siebel Public Sector CRM Base and Siebel CME Contracts
(Communications, Media and Energy).
o  Vertical Applications contain the entire set of modules including
horizontal applications, which means they are more expensive.
Differences between the two Siebel business solutions
can have a huge impact on licensing.

Siebel CRM – Horizontal and Vertical (II)
Example:
When an organization licenses the Siebel Contracts
they should install Siebel Contracts functionality and not Siebel CME Contracts.
*Exposure Value= (Number of Users*License Price) + (Number of Users*Support Price)

Siebel CRM – Employee, Customer and Partner
In addition to the Horizontal and Vertical classification,
Siebel applications may also be classified by the Employee, Customer and Partner user type:
•  Employee Applications – products to be used by an organization’s employees,
for instance sales people using Siebel Contracts;
•  Customer Applications – products to be used by an organization’s customers,
mainly designed for purchasing online, e.g. Siebel Public Sector eService;
•  Partner Applications – products to be used by partners of the organization,
e.g. Siebel Public Sector Partner Portal.

•  Prior to Oracle’s acquisition, an end user had to enter into a license
agreement with Siebel, after which he would receive his unique license keys
to enable the functionality purchased.
•  Post Oracle’s acquisition, the licensing model changed to Oracle’s licensing
model:
•  Customers can now download license keys from:
http://www.oracle.com/us/support/licensecodes/siebel/index.html
The downloaded license keys often include more functionalities than the
organization is licensed for. Extra Siebel modules/functionalities in use
will need to be licensed, reflecting the total number of authorized users.
Siebel CRM – Unawareness of Siebel License Keys

Siebel CRM – Siebel pricing vs Oracle pricing
Prior to Oracle’s acquisition, Siebel products were sold as an individual application
(e.g. Siebel Sales Enterprise) and as application bundle (e.g. eAdvisor and eConfigurator Bundle).
Once with the acquisition, Oracle started selling Siebel products under the three standard pricing models for
Oracle applications:
•  Component licensing
Oracle’s traditional à la carte pricing model and cost effective for customers licensing one or a few Oracle products
with a limited number of end users. ( e.g. Siebel CRM Base, licensed per Application User, allowing one individual to
use one single Siebel software program.
•  Custom Application Suite (CAS) licensing
Under CAS licensing a customer may purchase different software products in one bundle (e.g. Siebel CRM Base
licensed per Custom Suite User). This metric allows one individual to use multiple Siebel software programs as
defined in the bundle.
•  Enterprise licensing
allows customers to license the desired Siebel software programs for their entire organization without having to keep
track of specific user licenses, servers or deployment locations on which the Siebel software programs are installed.
( e.g. Siebel Asset Management licensed by the Enterprise Metric “Enterprise $M in Revenue.”

•  The metric units that Oracle applies today for the Siebel products are not totally different from the legacy
metrics used by Siebel System. Siebel products were generally sold per user.
Siebel CRM – Siebel metrics vs Oracle metrics
Historical license metric Current License Metric
Named User is defined as an individual authorized by you to use the programs which
are installed on a single server or multiple servers, regardless of whether the
individual is actively using the programs at any given time.
Customer may copy, install and use these Siebel Programs for additional Named
Users only upon payment of additional Siebel Program license fees.
Application User is defined as an individual authorized by you to use the
applicable licensed application programs which are installed on a single
server or on multiple servers regardless of whether the individual is actively
using the programs at any given time. If you license the Oracle Self Service
Work Request option in conjunction with Oracle Enterprise Asset
Management, you are required to maintain licenses for the equivalent
number of Application users licensed and you are granted unlimited access
to initiate work requests, view work request status and view scheduled
completion date for your entire employee population. For Order
Management, application users are allowed to manually enter orders
directly into the programs but any orders entered electronically from other
sources must be licensed separately by Electronic Order Line

•  Another type of user-based license is Registered User. The current Registered User licenses
are equivalent to the legacy Registered User licenses: both focus on the number of business
partner individuals authorized to use the software. Partner Applications are typically licensed
under this metric.
•  For the non user based licenses such as Processor, Physical Server, Computer etc., usage
counts are based upon the (physical) hardware on which the Siebel software programs are
deployed. Computer licenses are very similar to the legacy Physical Sever licenses; both
focus on the number of servers where the software is installed. Licenses on the Physical
Server metric often come with limitations such as number of CPUs on the machine or
number of records stored in the database installed. End users need to make sure that these
extra limitations in the terms of their agreement are being met, since any breach of these
restrictions would require purchasing additional licenses.
•  Some metrics only became available for Siebel Products after Oracle’s acquisition, such as
Custom Suite User, Enterprise, and metrics that are not available anymore like Concurrent
Users.
Siebel CRM – Siebel metrics vs Oracle metrics

For the most common metric definitions (Named User, Application User or Registered User) the total
required number of licenses is determined by the total number of distinct individuals which are
authorized to use the software, no matter if they are actively using the software.
Most of the organizations that are using Siebel CRM license only the users that are actively using the
products, even if their contract states that every user authorized to make use of the software needs to
be license no matter if they are active users.
Proper cleanup involves performing the user deactivation process in a
correct and complete way, so that anyone who doesn’t need access to
the Siebel Programs anymore is being removed.
Siebel CRM – Authorized vs. Used (I)

Based on the reconciliation between these two type of reports, organizations will
be able to perform a proper usage clean up.
Siebel CRM – Authorized vs. Used (II)
Usage Report
•  Siebel Authorized Usage Report – allows organizations to see the number of users that
are authorized to use their Siebel Programs;
•  Siebel Actual Usage Report – allows organizations to see the number of users that are
actively using a certain Siebel Program;

Siebel CRM – Inactive Users Still HavingAccess?
•  Most organizations do not comply with Oracle's methodology for measuring usage in a Siebel
environment and often a clear deactivation methodology is lacking.
•  Old users are simply deactivated by changing logins or it is assumed that anyone who left the
company or changed roles should not be counted as having access to the software anymore.
•  Oracle requires organizations to license each person that is formally authorized to use the software,
no matter if she or he is an active user.
It’s extremely important to apply a proper and
complete deactivation process, consisting of updating
employee IDs, statuses, responsibilities and many
other changes at both the database and the
application level.

Siebel CRM – Incorrect Assignment of Responsibilities
Respon
sibilities
Views
Siebel
Product
•  Users have access (are authorized) to Siebel
products, once they have a Responsibility assigned;
•  Each responsibility contains one or more views;
•  Each view belongs to one or more Siebel Products.
Siebel administrators usually assign responsibilities to users
without knowing that the views behind those specific
responsibilities may be part of Siebel products for which the
organization didn’t acquire a license.
Aproper clean up should involve validating the user responsibility
association process as well.

Siebel CRM – Professional Edition vs. Enterprise Edition
•  Siebel CRM Professional Edition (SPE) is a scaled-down version of the
Siebel Enterprise Edition.
•  SPE is targeted at small and medium-size businesses (SMEs) that don’t
require the full Enterprise Edition.
•  Siebel Professional Edition is a good fit for smaller businesses, but the
software has its limitations.

Siebel CRM – Professional Edition. vs. Enterprise Edition
Siebel CRM Base Siebel CRM Service Base, SPE
Technical functionality Service Base SPE Base - Service
Product Version 8.1 8.1
# views ~ 900 ~ 100
Impact on licensing:
•  SPE customers often use Enterprise Edition functionality, without realizing it. This usually
happens when the downloaded key provides access to more functionality than needed and as a
consequence will allow the usage of functionality that wasn’t paid for.
•  In case of an audit, organizations making use of SPE modules or functionalities need to migrate
their licenses to the more expensive Siebel Enterprise Edition license.

Siebel CRM – External Users vs. Internal Users
Employee
Products
Customer
Products
Analytics Partner
Products
•  Many organizations provide external users
access to internal applications without owning
an external license type.
•  Compliance then can only be determined on the
available (internal) license metrics (typically
Named User, Application User or Concurrent
User), resulting in large non‐compliance
situations and associated costs.

Siebel CRM – External Users vs. Internal Users
Example
Product Category Product name Quantity
Siebel Base Application Siebel CRM CME Base 40
Siebel CME General Siebel CME Contracts 10
License Entitlements Overview (LEO)
External Users Overview
*Exposure Value= [(Number of Licenses - Number of Users)*License Price)]+ [(Number of Licenses - Number of Users)* Price)]

•  Concurrent User is an old licensing metric that Oracle does not sell it anymore.
•  In case of non compliance customers that are licensed for Concurrent User
will need to purchase additional licenses on the new license metric Processor,
which are more expensive.
Siebel CRM – Concurrent migrates to Processor
Properly keeping track of their changing population will allow organizations to
make sure that old license metrics do not exceed the entitled quantity, and gives
them time to assess the new metrics on which Oracle sells. Moreover, keeping
track of the changing population allows organizations to stay informed of Oracle’s
licensing practices and migrations, and keeps them up to date of implications that
occur when extending the use for certain old metrics.

Organizations should pay close attention to what Siebel modules and
functionalities the custom views are build upon, especially since if only
one single custom view is mapped to an unlicensed application, this
may cause large compliance risks and associated financial risks.
•  Many organization have implemented customized views in their
Siebel installation to accommodate their needs.
•  The bulk of Siebel usage in organizations might come from
custom views;
Siebel CRM – Custom Views Determine Usage (I)

Siebel CRM – Custom Views Determine Usage (II)
Product Category Product name Quantity
Siebel Base Application Siebel CRM Base 40
Siebel CRM General Siebel Forecasting 15
Siebel CME General Siebel CME Contracts 10
•  Example
License Entitlements Overview
(LEO)
Custom Views Overview
*Exposure Value= [(Number of Licenses - Number of Users)*License Price)]+ [(Number of Licenses - Number of Users)* Price)]

Siebel CRM – Conclusions
–  Create an internal software
license management team of
multiple disciplines
(procurement, legal, DBA,
Infrastructure Managers,
Business Application
Mangers, Outsourcers) with
C-level sponsorship and
review on a regular basis:
•  Make software license
management a priority at C-
level and budget for the
proper software license
management practice, tailored
to the specific needs of your
organization.
•  your real license
entitlements (incl. OD,
OLSA, SR, SP, PD, BP)
•  your real deployment
and (licensable) usage of
the software
•  reconcile your license
entitlements with your
license deployment and
usage in order to identify
and address software
license compliance
issues proactively!

①  Oracle License Review or License Audit
Answers to your Top 20 Questions
②  Oracle Licensing Guide:
Your quick Oracle Licensing Guide
③  Oracle Unlimited License Agreements (ULA):
An overview of the major risks you should be aware of
④  Oracle Databases
An overview of the ins & outs of this type of agreement
⑤  Oracle E-Business Suite:
An overview of the most common license compliance
issues
Further reading on www.b-lay.com

Siebel CRM – Questions

Please join our next free webinar
Oracle Enterprise Licensing - A Detailed Overview of How It Works
28th April 16:00 CET

Thank you for your time!

Webinar Siebel CRM - The most common license compliance issues seen

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