SAP Licensing reduction of 34%
Written by Meindert Keuning
PVH, a global leader in fashion and retail, faced challenges in managing its SAP license usage efficiently. Over time, discrepancies between licenses purchased and actual usage had accumulated, leading to unnecessary costs. PVH engaged BR1GHT to conduct a comprehensive SAP license review, powered by advanced analytical tools, to uncover optimization opportunities and align license usage with business requirements.
BR1GHT delivered a tailored SAP Licensing Optimization program. The primary objective was to minimize licensing costs, improve compliance with SAP guidelines, and enable the client to forecast future license needs effectively.
Phase 1: Baseline Assessment and Data Collection
BR1GHT initiated the engagement with a thorough analysis of PVH’s SAP environment. Using a combination of automated tools and expert reviews, we identified discrepancies between licenses purchased and licenses actually in use.
Key activities included:
- Gathering detailed license usage data across all SAP modules.
- Analyzing active and inactive users by license type.
- Evaluating compliance with SAP licensing agreements.
Phase 2: License Optimization Analysis
Our team conducted an in-depth optimization analysis to identify opportunities for cost savings. By comparing purchased licenses with actual usage, we proposed realignment and decommissioning strategies to eliminate excess costs.
Specific actions taken:
- Reallocating licenses to match user activity and needs.
- Identifying unused or underutilized licenses for deactivation.
- Recommending tailored solutions for license redistribution.
Phase 3: Implementation and Reporting
BR1GHT provided PVH with a detailed report summarizing the findings and recommendations. The report outlined specific steps to optimize licensing and projected financial impacts. Additionally, we supported PVH in implementing the proposed changes to achieve immediate cost savings.
BR1GHT is proud to have supported PVH in optimizing their SAP license landscape. By leveraging advanced tools and methodologies, we provided a solution that reduced costs, improved compliance, and aligned resources with business needs. We look forward to continuing our partnership and driving further efficiencies for PVH.
Through BR1GHT’s license optimization services, PVH achieved the following measurable results:
- Total Cost Savings: Approximately 34% annually by reducing unused licenses.
- Streamlined License Allocation: Improved alignment between user needs and license types.
- Enhanced Compliance: Ensured adherence to SAP licensing agreements, reducing audit risks.
These results not only delivered immediate financial benefits but also established a sustainable framework for ongoing license management.