Oracle third party support

Negotiations with Oracle Third-Party Support Providers

Introduction In Oracle contracts and licensing, negotiations with Oracle third-party support providers are pivotal.

This article delves deep into the intricacies of these negotiations, offering insights, best practices, and common pitfalls to avoid.

By the end of this guide, you’ll be equipped with the knowledge to navigate these negotiations confidently and secure the best possible deals for your organization.

Top 5 Best Practices for Successful Negotiations

Negotiating with Oracle Third-Party Providers
  • Research and Preparation: Before entering negotiations, arm yourself with all the relevant information. This includes understanding market rates, the provider’s history, and their reputation in the industry.
  • Clear Communication: Establish open channels of communication. Outline your expectations, requirements, and potential deal-breakers clearly.
  • Understanding Market Rates: Familiarize yourself with the prevailing market rates. This ensures you’re not overpaying or undercutting the provider.
  • Building a Long-Term Relationship: Look beyond the immediate negotiation. Building a long-term relationship with the provider can lead to better deals and smoother negotiations in the future.
  • Avoiding Aggressive Tactics: While standing firm on your requirements is essential, avoid overly aggressive tactics that can sour the relationship.

Tips for Negotiating with Oracle Third-Party Providers

  • Please do not reveal your annual support; tell them what you will pay.
  • Make sure you eliminate the support costs for unused software.
  • 50% is the baseline number; we see organizations able to negotiate as much as 70% and more depending on the type of contract and products.

FAQ

Why is it important to negotiate with third-party support providers?

Negotiating ensures you get the best value for your money and fosters a beneficial relationship with the provider.

What are the key factors to consider during negotiations?

If your future roadmap for Oracle software decreases, you should be able to decrease payments.

Is 50% off what you paid to Oracle their best offer?

No, we have seen offers closer to 70% – but it depends on your Oracle estate. It is challenging to generalize discounts.

Is Oracle Third-party support legal?

Yes, it is legal if you and the third-party support provider follow the Oracle contracts.

Conclusion Negotiating with third-party support providers is both an art and a science. By understanding the provider’s perspective, being well-prepared, and following best practices, businesses can secure favorable deals that benefit both parties.

As Oracle contracts and licensing evolve, staying informed and proactive in your negotiation approach will ensure your organization remains ahead of the curve.

Author

  • Fredrik Filipsson

    Fredrik Filipsson brings two decades of Oracle license management experience, including a nine-year tenure at Oracle and 11 years in Oracle license consulting. His expertise extends across leading IT corporations like IBM, enriching his profile with a broad spectrum of software and cloud projects. Filipsson's proficiency encompasses IBM, SAP, Microsoft, and Salesforce platforms, alongside significant involvement in Microsoft Copilot and AI initiatives, enhancing organizational efficiency.

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