CIO Playbook: SAP EAM and Industry Engine Licensing
Executive Summary
SAP licensing for Enterprise Asset Management (EAM) and industry-specific solutions is a complex landscape that CIOs must navigate strategically.
In global manufacturing and industrial enterprises, CIOs often manage SAP ERP environments (both legacy ECC and modern S/4HANA) that include core EAM modules (such as Plant Maintenance and Project Systems) alongside industry “engines” or add-ons (for example, SAP IS-Oil or IS-Retail). Each of these components can carry distinct licensing models and usage metrics.
This playbook provides CIOs with clear guidance to understand how these modules are licensed, how to track and stay compliant with usage entitlements, and how to plan for changes—such as an S/4HANA upgrade or adoption of SAP Industry Cloud solutions—without incurring unexpected costs.
Key recommendations include establishing robust license usage tracking (especially for metrics like number of plants, throughput volume, or projects), preserving entitlements during S/4HANA migrations, and evaluating the total cost of ownership (TCO) implications of new cloud-based asset management offerings.
With the actionable steps outlined here, CIOs can optimize the value of their SAP licenses, avoid compliance pitfalls, and ensure that their SAP EAM and industry solutions continue to support business objectives cost-effectively.
Background and Industry Licensing Landscape
SAP’s licensing model has traditionally been two-fold: Named User licenses, assigned per individual user accessing SAP, and Package/Engine licenses, which are measured by business metrics for specific modules or industry solutions. In the context of Enterprise Asset Management (which in SAP ECC includes modules such as Plant Maintenance (PM) and Project Systems (PS)), organizations must ensure that both users performing maintenance or project activities and the functional engines themselves are licensed appropriately.
Under SAP ECC, many core EAM capabilities were included in the base ERP license, along with the appropriate user license type. Still, certain extended functionalities or industry add-ons require separate “engine” licenses.
For example, an oil & gas company running SAP ECC might have implemented the IS-Oil industry solution for upstream operations, or a chemical manufacturer might use an industry engine for recipe management – each of these comes with its own licensing metric beyond standard user counts.
SAP’s Industry Solutions (IS) for sectors such as Oil & Gas, Retail, and Utilities have historically been offered as extensions to the core ERP, often licensed based on usage metrics that align with industry-specific business volumes.
Unlike generic modules, which many users might count, these industry-specific engines tie licensing to functional capacity measures. For instance: a Retail industry solution might be licensed by the number of stores or POS locations; an Oil & Gas solution could be licensed by annual throughput (e.g. barrels of oil per year or number of wells managed); a Project Systems or Engineering & Construction solution might be tied to the number of active projects or project budget volume. These metrics-based licenses allow SAP to charge in proportion to the business value derived, but they require CIOs to closely monitor actual usage against contractual entitlements.
With the advent of SAP S/4HANA, SAP has simplified some aspects of core licensing but also introduced changes in how industry and EAM functionality is packaged. S/4HANA’s core, often termed “Digital Core” or Enterprise Management, is typically licensed primarily by user count or type for general ERP functionality.
Many traditional modules, such as finance, procurement, manufacturing, and basic plant maintenance, are included in the core S/4HANA license for an enterprise. However, Line-of-Business (LoB) and industry solutions in S/4HANA often remain separately licensed engines, much as they were in ECC.
In other words, moving to S/4HANA doesn’t automatically eliminate engine metrics; a company still needs to license specialized capabilities (e.g., advanced asset management extensions, oil and gas components, retail or carved-out industry functions) via the appropriate metric (such as the number of assets, throughput, or revenue, etc.).
The integration of industry solutions into S/4’s core code line (SAP has progressively embedded industry functionalities into the S/4HANA core digital platform) may give a technical impression that everything is “built-in.”
However, license entitlements for these functions must still be in place contractually. This is a critical point in the licensing landscape: CIOs cannot assume that an S/4 migration automatically carries over all legacy rights – these need to be deliberately mapped and preserved.
Finally, the industry landscape is witnessing an evolution with SAP Industry Cloud offerings. In asset management, SAP now provides cloud-based solutions under the Intelligent Asset Management umbrella (e.g,. Asset Intelligence Network (AIN) for collaborative asset data, Predictive Maintenance and Service (PdMS) or its successor offerings for IoT-based maintenance, and Field Service Management (FSM) for service operations.
These are typically sold as cloud subscriptions, separate from the on-premise ERP license. Each comes with its licensing metric aligned to its cloud nature – for example, AIN might charge by the number of assets or a subscription tier, FSM is often licensed per field service user or technician (or resource), and predictive maintenance services can be priced by the number of equipment or sensors monitored.
This shift to cloud solutions means CIOs have to manage a hybrid licensing landscape: traditional on-premise licenses for core ERP/EAM, and subscription licenses for cloud extensions. Understanding how these interact and contribute to the overall cost is now an essential part of strategic planning.
Key Licensing Models and Risk Factors
Licensing Models for SAP EAM and Industry Engines:
SAP EAM components and industry engines use a mix of the two main license types: Named User licenses and Package/Engine licenses.
- Named User Licenses: These are assigned to individuals (employees or external users) who access the SAP system. Different user categories (e.g., Professional User, Limited Professional, Employee Self-Service, Worker) come at varying price points, depending on the scope of activities permitted. In an EAM context, maintenance planners or engineers might require Professional licenses (full access to create work orders, manage maintenance plans, and run reports). In contrast, shop-floor technicians could operate under a lower-tier license if they only record maintenance confirmations or time (some contracts use “Worker” or similar user types for these limited roles). Ensuring each user is correctly classified is vital – misclassifying a large number of users as a higher type than needed can inflate costs, while under-licensing users (assigning a lower license type than their activities require) can lead to compliance issues in an audit. Named user licenses are common to both ECC and S/4HANA. However, S/4 introduced new user categories (e.g., SAP S/4HANA Functional, Productivity, or Developer user types in the S/4HANA context), which roughly map to the old model but with slight differences in definitions.
- Package/Engine Licenses: These cover specific functional solutions and are measured by usage metrics, rather than per user. SAP has over 100 different metrics defined in its price list for various engines. Common metrics relevant to manufacturing and asset-intensive industries include: number of plants or locations (for solutions that are deployed per factory/site, perhaps how SAP Manufacturing Integration (MII) was licensed by plant, or how some EHS modules might count sites), annual throughput or production volume (often seen in Oil & Gas or Mill products – e.g. barrels of oil, tons of output, etc.), number of projects or project cost volume (for project management or capital portfolio solutions), number of assets/equipment (for certain asset management add-ons or leasing management solutions), number of sales orders or documents (for engines like Global Trade Services or Transportation Management basic engines), and even metrics like revenue or spend (in some cases, pricing for engines in procurement or sales might scale with company revenue or procurement spend). For example, the SAP Oil & Gas’ Downstream’ solution may be licensed based on the volume of oil refined or processed through the system. In contrast, the count of retail stores or transactions processed might license a Retail engine (like Customer Activity Repository). These metrics directly tie license costs to business activity levels.
Risk Factors in Managing Metrics and Entitlements:
Managing these license models comes with several risk areas that CIOs must proactively address:
- Complex Metrics and Tracking Challenges: A key risk is simply knowing how to measure and track usage for each metric. Unlike user licenses, which SAP’s auditing tools can count automatically by user type, many engine metrics require the customer to measure their usage. SAP provides some tools, such as USMM and LAW (System Measurement tool and License Administration Workbench), to gather data on users and certain classic metrics. Still, not all usage metrics are automatically captured. For instance, SAP cannot automatically “know” how many barrels of oil you processed last year or how many projects you ran unless these are recorded in the system in measurable ways. Often, contracts rely on an honor system, where customers annually report these figures. This opens the risk of inadvertent non-compliance: if the business grows or changes and no one updates the licensing metrics, you may exceed your entitlement. Exceeding a licensed metric (e.g., operating an extra production plant beyond what you paid for or exceeding a throughput band) typically requires a back payment or true-up for the overuse. CIOs should be aware that growth in business operations, such as new plants, increased output, or more projects, can directly translate to a need for more SAP licenses under these models.
- EAM Usage Overruns: Within EAM, consider scenarios such as the number of maintenance objects (equipment or functional locations) growing significantly or the expansion of the project portfolio beyond expected numbers – if these are tied to any license caps, overruns can occur. A subtle risk is that some EAM functionality may be technically available to use without additional license keys (especially in S/4HANA, where the software is not physically modular), so teams might start using a feature without realizing it was not included in their contract. For example, S/4HANA includes basic Maintenance Management in the core, but features like advanced Maintenance Scheduling or Asset Strategy and performance management may require additional licenses. If IT enables these functions to test or use, and they become business-critical, you could end up out of compliance if they weren’t licensed.
- Indirect Access and IoT integration: Many industrial companies integrate SAP with shop-floor systems, IoT sensors, or external maintenance contractors. If, say, a sensor triggers a maintenance notification in SAP or a third-party field service app creates service orders in SAP, this is considered indirect usage. SAP’s rules on indirect digital access require either having proper user licenses for those interactions or adopting the SAP Digital Access Document licensing, which counts documents such as orders created by external systems. A CIO must factor this into EAM licensing – a wave of IoT-driven predictive maintenance alerts could generate thousands of documents that, in SAP’s eyes, require license coverage. The risk is getting hit by an audit finding for indirect use if this isn’t addressed, which can be costly. Mitigating this involves either the Digital Access license, which SAP now offers as an add-on based on document counts, or ensuring that an appropriate license model covers external users and devices.
- Upgrading to S/4HANA – Entitlement Gaps: When transitioning from ECC to S/4HANA, there is a significant risk around license conversion. SAP’s S/4HANA licensing model, while simplifying core user licensing, may omit some previously licensed components if they are not actively accounted for. For example, under ECC, a company might have licensed “SAP Industry Solution – Automotive,” which allowed certain VIN management or automotive processes. In S/4, automotive features may be built into the core product technically, but SAP may expect a new S/4HANA-specific license for the same (unless your contract was grandfathered). If a CIO assumes everything will be one-to-one, they might later discover they need to license an S/4HANA equivalent engine for that functionality. SAP offers conversion programs (Product Conversion and Contract Conversion) to help migrate licenses; however, these require careful analysis to ensure equivalent or superior entitlements post-migration. A Product Conversion often involves a one-time fee to move core ERP users to S/4, but explicitly excludes industry engines, which must be licensed separately on S/4HANA. If those engines are already in use, SAP may offer credits or migration discounts, but it’s not automatic – it must be negotiated. Missing this can lead to unexpected costs when the engine usage is discovered in the new system.
- Cost Creep from Industry Cloud Additions: As companies adopt SAP’s Industry Cloud solutions for EAM (such as AIN, PdMS, FSM, or the SAP Asset Manager mobile app), there is a risk of overlapping subscription costs. These cloud services often complement or extend on-premise EAM. If not planned, an organization could end up paying for redundant capabilities. For example, suppose you implement SAP Field Service Management (licensed per field technician user) and still maintain a legacy on-premises customer service module. In that case, you might pay for both until decommissioning one. Or adopting Asset Intelligence Network (perhaps licensed by number of assets or a membership fee) adds a new recurring cost. If the value of collaborating with OEMs on asset data isn’t fully realized, it could increase the TCO. Another consideration is data or transaction volume: some cloud services charge based on how much you use them (such as interactions or data storage for asset telemetry). Without governance, usage (and cost) can scale quickly. CIOs need to manage these risks by phasing deployments carefully and monitoring the actual usage of cloud services against their value.
In summary, the main risk factors boil down to compliance (staying within what you purchased) and cost control (not overpaying for unused or redundant licenses).
Each licensing model – whether user-based or metric-based – requires active management to avoid surprises. Now, we turn to strategic recommendations to mitigate these risks and optimize your SAP licensing position.
Strategic Recommendations
1. Build a Comprehensive License Inventory & Usage Baseline:
Start by creating a clear inventory of all SAP licenses your organization owns, along with the specific metrics or scope of each. This means documenting all Named User licenses (by type and quantity) and all Package/Engine licenses (module name, metric, and licensed volume or limit).
For each EAM-related module or industry engine in use, identify how usage is defined in the contract. For example, does “number of plants” refer to manufacturing plants only or any physical site? Does a “project” count only active projects in the SAP Project System or all projects created annually? Clarify these definitions and then baseline your current usage against them.
Leverage SAP’s measurement tools for what they can cover (users, some document counts) and supplement with custom reports or manual data collection for specific metrics (such as counting the current number of production facilities in the system, or total throughput processed last year). This baseline will highlight any areas where you are near or exceed your entitlements and where future growth might lead to a breach.
It also forms the factual foundation for any discussions with SAP about adjustments or additional licenses. Treat this inventory as a living document – update it at least annually or whenever significant business changes occur (such as acquisitions, new plant go-lives, or expansion into new countries, which can all impact metric counts).
2. Implement Ongoing Metrics Tracking and Compliance Checks:
To avoid drifting out of compliance, CIOs should institute a process (with assigned ownership, e.g. a License Manager or SAM team) to continuously monitor key usage metrics. Many successful SAP customers integrate license metric checks into their business processes. For instance, if you have an entitlement for 10 production plants on a certain engine and plan to open an 11th, there should be a trigger to review licensing before activating that plant’s SAP system.
Similarly, if your contract allows a certain throughput (say, X transactions per year or a financial volume), consider building a dashboard that tracks that KPI monthly – so you can see if you’re trending towards the limit. Internal audit or compliance teams can be valuable allies; have them include software license compliance in their audits, verifying that usage data (such as the number of projects in the system) aligns with what you have licensed.
Regularly run SAP’s compliance reports. The annual measurement (LAW) should be prepared diligently, and consider running more frequent internal reviews (quarterly or biannually) for additional checks. Also, stay on top of user license classification – users’ roles can change, and they may need to be reclassified to a different license type.
A periodic attestation process where managers confirm their reports’ SAP usage can catch if someone now needs a Professional license due to expanded duties. By treating license usage tracking as part of operational monitoring, you can catch and correct issues proactively, well before an official SAP audit or true-up occurs.
This practice not only avoids compliance penalties but also often uncovers opportunities to optimize costs (for example, identifying inactive users who can have their licenses reclaimed, or noticing that a drop in one metric could allow for downsizing the license if it is on a flexible contract).
3. Optimize License Allocation and User Types:
A strategic but often overlooked area is ensuring that you are using the right mix of user license types and engine capacities. SAP environments tend to evolve, with new functionalities being used by more people over time, which can lead to “license creep” (everyone ends up assigned a high-level license just to avoid restrictions).
Conduct a license optimization exercise: analyze usage logs to see what transactions different roles are using. You may find that some users currently holding expensive Professional licenses never go beyond display or simple tasks – they could potentially be downgraded to a lower license category, freeing up budget for other needs.
Conversely, check that no critical users are on a too-low-licensed, which could be a compliance risk if they perform unlicensed activities. For engines, check if you have engines licensed that you aren’t fully using (sometimes companies buy a package and later find their usage is far below the entitlement – this could be an area to negotiate a reduction or redeploy that budget elsewhere). Align license types closely with job roles.
For example, maintenance technicians who only record work done and check tasks might be suited for an “Employee” or industry worker license instead of a full Professional license. Adjusting these allocations can yield savings, which can then help buffer any new license requirements, such as an industry cloud subscription.
Importantly, document these decisions and ensure that your SAP user provisioning process is tied to license assignment, so every new user is assigned the correct license type based on their role from the start.
4. Strategize Your S/4HANA Migration with Licensing in Mind:
Upgrading to S/4HANA is not just an IT project – it’s also a contract and licensing project. Well in advance of any migration, perform a thorough analysis of the license impact. Map every SAP product/component you use in ECC to its S/4HANA equivalent.
SAP provides guidance and “transformation maps” for this, and you should also consult your SAP account executive to confirm which engines are carried over. Identify any ECC engines or industry solutions that will not have a one-to-one inclusion in S/4HANA’s core. For each, work out the plan: will you need to license a new S/4 product?
Will SAP honor a conversion credit for your existing license? Under the Product Conversion approach, SAP typically allows you to convert your existing ERP Package licenses to S/4HANA licenses at equivalent value. Still, you must ensure to include the industry engines in the conversion. Often, the basic S/4 conversion (for core ERP) explicitly excludes industry solutions; thus, you may need to purchase S/4 versions of those solutions.
However, because you already paid for them in the past, negotiate to preserve your entitlements – SAP has been known to offer discounts or “grandfathering” of rights, especially if the functionality is now delivered in a new way. If you have a lot of legacy SAP products, consider a Contract Conversion instead, which completely re-negotiates the contract for S/4.
This can sometimes let you offset 100% of your previous investments towards the new licenses, essentially trading in what you owned for S/4 equivalents. The key is to not let the technical migration outpace the commercial discussion: do not retire your ECC contract or terminate maintenance until the new S/4 contract covers all critical functionality.
It’s wise to get SAP’s commitments in writing (via contract clauses or annexes) that certain industry capabilities you rely on (e.g., “rights to use SAP IS-Retail functionality X in S/4HANA”) remain in effect. Additionally, budget for the HANA database if you’re running S/4 on-premises. (The HANA runtime license is usually part of the S/4 license, but if you need full HANA use or sidecars, that might be an extra cost.)
Also, factor in SAP’s Digital Access model in S/4, as the older indirect usage arrangements may change. Consider swapping some user licenses for digital document licenses if that suits your EAM scenario, particularly for IoT integrations.
5. Preserve and True-Up Industry Engine Entitlements During Migration:
During the migration to S/4HANA, it’s crucial to actively manage the continuation of industry engine usage rights. Create a crosswalk document that lists: “ECC Engine X (metric Y, licensed quantity Z) -> S/4 Engine or equivalent.” Use this to drive negotiations with SAP, so that, for example, if you have five plants licensed for IS-Oil downstream, your S/4 contract explicitly allows at least 5 plants for the S/4 Oil solution or any new form it may take.
If any existing engine is being phased out by SAP (perhaps replaced by a newer cloud service), you have leverage to ask for entitlements to that new service as part of the deal (at least for an interim period). Be cautious with timing: many industry solutions were provided under compatibility licenses for S/4HANA, meaning you can temporarily use the old ECC version in S/4 until SAP provides a true S/4HANA replacement, often until 2025 or 2030.
Suppose you rely on such a compatibility pack, keep track of its expiration, and have a roadmap to either fully migrate to the new S/4-native module or find an alternative. The cost risk here is if the deadline passes and you haven’t replaced that functionality, SAP could require a new license purchase. In general, treat license migration as part of the project plan, with a workstream for “License & Commercial.” Include tasks such as contract review, pre-migration license audits, engaging with SAP on proposals, and final true-ups after migration. This will ensure no engine or module is left unlicensed in the new environment.
6. Evaluate SAP Industry Cloud Solutions in TCO Calculations:
For the new SAP Industry Cloud products related to EAM (Asset Intelligence Network, Predictive Maintenance, Field Service, etc.), take a strategic approach before adopting them.
These cloud solutions can offer specialized capabilities (for example, AIN enables easier collaboration with equipment manufacturers and a repository of asset information, and FSM provides modern mobile tools for field technicians).
However, they come at a subscription cost that might be significant over time. Conduct a business case and TCO analysis for each: quantify the expected benefits (reduced downtime, improved maintenance efficiency, etc.) versus the costs.
Licensing for these cloud services is usually by metric such as number of assets/equipment (for asset-centered networks or predictive maintenance, you might pay per asset monitored or per device), number of users (for user-centric apps like field service or asset manager mobile app, usually per named user or technician), or interaction/transaction volume (some network services charge by data volume or transactions between parties, though SAP’s AIN as of now often uses a tiered subscription rather than micropayments per interaction).
Get clarity from SAP on how, for example, the Asset Intelligence Network is priced. It is often a flat subscription fee for a certain range of assets that includes a set number of business partner connections. Understanding this is important because if you connect a large fleet of assets, costs can scale non-linearly. Include these costs in your long-range IT spending plans.
It might be beneficial to negotiate packages or bundle deals if you plan to use multiple cloud services. Sometimes, SAP can provide a better rate if you adopt a suite, such as the entire Intelligent Asset Management bundle. Another consideration is overlap with existing licenses: if an Industry Cloud solution effectively replaces something you licensed on-premises, consider whether you can reduce your on-premises license.
For example, if you migrate to SAP FSM for all field service, you may eventually retire some SAP CRM Service or CS module user licenses. Coordinate these changes to avoid paying twice for similar capabilities.
Ultimately, CIOs should ensure that any move to cloud solutions is done with a full awareness of incremental costs and that contracts for these services have flexibility as needs change. This is crucial, as avoiding being locked into an asset count that cannot be adjusted downward if you retire equipment is essential.
7. Strengthen Governance and Communication:
Licensing management should not happen in a silo. Establish governance so that any project that could impact SAP usage (e.g., new implementation, adding a production line that doubles throughput, or connecting a new third-party system to SAP) triggers a license impact review. Communicate the importance of license compliance to operational teams – they should know, for example, that spinning up an extra SAP client for testing or using a new advanced module has licensing implications that they must clear.
Many CIOs establish a governance board or steering committee for SAP that reviews both technical and business aspects. This group can periodically review license usage reports, approve license purchases or reallocations, and ensure alignment with the overall business strategy (for example, deciding whether to invest more in on-premises licenses or shift the budget to cloud alternatives as the company’s strategy evolves).
Good governance will also cover audit preparedness: maintaining documentation of how you calculate each metric for your engines. So, if SAP auditors ask, you can demonstrate your method. This transparency builds trust and can make audits smoother.
Additionally, keep an eye on SAP’s licensing policies updates – SAP occasionally changes definitions or offers new license models (such as the move to RISE with SAP bundling or new cloud enterprise agreements).
Being aware of these changes can open up opportunities to simplify your licensing landscape. For example, RISE bundles S/4HANA and certain cloud services in a single subscription, which may or may not be cost-effective depending on your situation.
By following these strategic recommendations, CIOs will create a disciplined approach to SAP EAM and industry solution licensing. The goal is to turn licensing from a reactive, feared topic (“Are we compliant?
What will an audit uncover?”) into a proactive asset management practice that supports the business (“We know what we have, we’re using what we bought efficiently, and we’re prepared for future growth or change”). The next section provides a concise action plan to implement these strategies.
CIO Action Plan: Next Steps
- Audit Your SAP Landscape: Compile a detailed list of all SAP EAM modules and industry-specific add-ons in use, including ECC and S/4HANA. Document the license metric and current entitlement for each (e.g., “Plant Maintenance – covered under core ERP, 500 Professional users” or “IS-Oil upstream – licensed for 50 wells”).
- Establish a License Tracking Process: Assign responsibility to a licensing specialist or team for monitoring usage metrics on a regular schedule. Set up reports or dashboards to track key metrics, such as the number of active plants, throughput volumes, project count, and asset count, and review them quarterly against license limits.
- Train and Communicate: Educate relevant stakeholders (IT, operations, plant managers, project management office) about the license metrics that affect them. For example, ensure that plant managers are aware if adding a new site triggers a licensing review, or that the project office is aware that creating too many large projects might hit a limit. Encourage a culture of checking with the IT licensing team before significantly expanding SAP usage.
- Optimize User Licensing: Perform a user license review to ensure each SAP user has the appropriate license type. Adjust classifications to eliminate under- or over-assignment. In the future, integrate license type assignment into the user provisioning process and conduct periodic recertification of user roles versus licenses.
- Plan S/4HANA Migration Licensing: If an S/4HANA upgrade is on the horizon, start mapping your current licenses to their S/4HANA equivalents now. Engage SAP early to discuss conversion options. Prepare a negotiation strategy to secure all necessary entitlements, leveraging your existing investments to minimize new purchase costs. Secure any necessary contract addenda that guarantee use rights for critical industry functions in S/4HANA.
- Budget for Industry Engines and Cloud Services: Forecast the future usage of industry engines (e.g., adding more plants or expanding output) and include potential license expansion costs in your IT budget. Similarly, evaluate SAP’s Industry Cloud offerings (AIN, PdMS, FSM) and request pricing information. Incorporate these subscriptions into a five-year TCO model before adoption. Present these costs alongside expected benefits to the executive team for informed decision-making.
- Leverage Tools and Partners: Use SAP’s tools (USMM, SLAW) to run internal license measurements, and consider third-party Software Asset Management solutions for SAP, which can automate usage tracking and optimization recommendations. If needed, engage specialized SAP licensing advisory services to validate your compliance and identify savings. An external perspective can help uncover contract quirks or opportunities to negotiate better terms.
- Monitor and Adapt: Set a calendar for periodic license compliance checks (at least annually, with a mid-year internal audit). Keep an eye on SAP’s updates – for instance, if SAP changes a metric definition or announces a new bundle (such as RISE or industry-specific cloud packages), reassess whether it benefits your strategy. Adjust your licensing plan as the company’s business strategy evolves, ensuring your SAP licensing aligns with operational needs and you’re never caught off guard by usage growth.
- Maintain Executive Oversight: Brief the CIO and relevant business leaders regularly on SAP license status – including any risks (e.g., “We are at 90% of our licensed oil throughput volume”) and planned actions. This keeps licensing on the radar as a strategic aspect of IT management and ensures support when it comes time to invest in additional capacity or new solutions.
By executing these steps, CIOs will strengthen their command over SAP EAM and industry solution licensing, turning it into a strategic advantage that supports growth while avoiding compliance landmines. Proactive management and informed planning will ensure that the organization can fully leverage SAP’s powerful industry capabilities without unwelcome surprises in cost or audits.
