Customer Success Story
Case Summary
The client has been using various Oracle technology programs for more than 7 years but did not have ULA. The client inherited around $ 6M annual support through various contracts & since then decided to move most of the systems away from Oracle & was only using a few critical systems on Oracle. The client was not able to reduce its support bill despite moving many of the systems away from Oracle due to contractual obligations & Oracle’s support policies.
What we did?
We conducted a detailed analysis of the customer’s license & support contracts. Analyzed program utilization & unused software data using its SAM tools output and our data extracts methods. We designed a multi-dimensional strategy to save on existing support of $ 6 M before the next renewal while designing the new deal to replace the existing licenses & repurchase the new licenses via a separate deal restricted to only run the desired critical systems for the client. We identified all elements of risk balance related to Oracle support policies including the timing of the deal to not collide with support renewal. Identified all important policies & clauses to be negotiated to avoid future issues with this replace & cancel the deal.
Results
Rizen was able to bring down the target deal price by more than 30% resulting in the TCO savings of about $1.7 Million over 3 years and another $600K on existing support. Oracle granted licenses for un-certified programs without additional fees saving $500K over 3 years Negotiated non-standard terms around license metric exception, audit risk avoidance & true-up of the capped licenses only after the end of the term with no audit risks in between giving the customer an important time to realign its IT strategy. Negotiated fresh Oracle Cloud Agreement for customers with many non-standards terms to protect customer’s interest along with the improved discounts on Oracle SAAS & PAAS offerings.
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