The Foundation for Higher ROI Software vendors and intelligent device manufacturers often understand they have problems with their ent it lement and compliance management processes licensing policies, but frequent ly do not know where to begin to address the problem, nor the value associated with improving their situat ion. This “confusion” can result in lower-than-expected ROI.

Today, one of the most common problems holding organizations back is the lack of a license and compliance policy. The license and compliance policy document is a living document that defines standardized policies and business pract ices for licensing and monetizing software within the customer’s organization. A well-defined license and compliance policy is vital to a successful licensing ent it lement and compliance management deployment. It enables organizations to:

• Build a solid foundation for definit ion of licensing, ent it lement and compliance management business and market needs

• Provide a clear vision and object ives of the business problem addressed by licensing ent it lement and compliance management

• Define and communicate commercial intent clearly

• Improve operat ional efficiency and reduce risk in deployment

• Provide guidance on processes, governance and organizational structure

• Accelerate t ime to market for new products reliant on licensing, ent it lement and compliance management

• Improve customer experience by simplifying communicat ion of products and product structure

Outside of creat ing basic software license governance and management, creat ing a corporate license and compliance policy document is the simplest and probably best investment that a software vendor or intelligence device manufacturer can make to improve their business results.

Flexera Software has extensive experience helping software vendors and intelligent device manufacturers successfully develop cohesive licensing policies. The License and Compliance Policy Design offering from Flexera Software Global Consult ing Services empowers organizations to create official license and compliance policy documents.

How License and Compliance Policy Design WorksLicense and Compliance Policy Design enables organizations to increase their return on investment of any exist ing or new licensing and ent it lement deployment by clearly ident ifying important business policies, behaviors and commercial structures that are enabled by a licensing and ent it lement management solut ion. In addit ion, the governance and processes associated with delivering ongoing excellence to meet changing market requirements are also defined and documented.

This service is accomplished via a combination of preparat ion, requirements gathering workshops and document preparat ion and review. At the end of the service, the organization will have established a licensing policy document.

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License and Compliance Policy DesignImproving Business Growth, Operat ional Efficiency and the Customer Experience

License and Compliance Policy Design Objectives:

• Provide a living document for defining business requirements

• Reduce or eliminate risk of late or incorrect requirements

• Document decisions on entit lement and compliance approach based on best practices

• Provide a single source of communication and knowledge transfer

• Accelerate deployment success through well-defined and accepted requirements definit ion

• Ensures that the business requirements, structure and processes are defined to a level that is able to support the Operational Model

Education& Assess

Policy OperationalModel

Evaluate& Plan

Design Build, Test,Deploy

2 Weeks

Go Live

8-10 Months

3 Months

• Assessment Report• Context Sett ing

• Policies• Operat ional Model (Use Case Catalog) • Reference Architecture

The License and Compliance Policy Design is part of the policy phase of Flexera Software’s High Output Ent it lement Management Deployment Methodology (figure 1) to deploy high-value solut ions in the shortest amount of t ime. This

methodology uses the Flexera Software Success Framework®

(figure 2) which begins with the definit ion of business solut ion architecture. This service forms the core of defining the business solut ion architecture.

Prospect-to-Support Systems & Processes

Enforcement

Compliance Strategy

Product (Line) Strategy& Structure

License Metrics

Revenue Generation Model• Recurring vs. Up-front Revenue• Perpetual, Subscript ion, Ut ility, etc.

A unit of Usage to Apply Pricing• Simple, Fair, Scalable, Measurable• CPU, Server, named user, etc• Use Model

Compliance Approach• Philosophy & Vision• User Experience

Technology Considerations• Common License Layer• License Key Methods & Structure

License Ent it lement & Fulfillment• Business Systems & Integrat ion• Business Processes

Commercial Structure• Product Taxonomy & Structure – Products, Bundles, Suites…. – Upgrade, Upsell, Update, etc• Commercial Units

RevenueModel &CommercialIntent

Compliance & Enforcement

Ent it lementManagement& Delivery

License Model

Product &Market Climate

Corporate BusinessDrivers & Principles

CustomerNeeds

Figure 2: Flexera Software Licensing, Ent it lement Management and Delivery Success Framework

Figure 1: Flexera Software’s High Output Ent it lement Management Deployment Methodology

Typical Policy Table of Contents

1. Purpose 2. Scope 3. Guiding Principles 4. Definit ions & Lexicon 5. License Models 6. Product Taxonomy & Lexicon

7. Compliance Segmentat ion and Enforcement 8. Technology Deployment Standards 9. Mergers and Acquisit ions Act ivity 10. Change Management & Approval 11. Governance 12. Vocabulary

The license and compliance policy document is a living document that defines standardized policies and business pract ices associated with software licensing within the customer’s organizat ion.

License and Compliance Policy Design

Object iveLicense and Compliance Policy Design has three main object ives:

1. Provide the foundation for a higher ROI deployment of licensing and ent it lement solut ions by helping the customer to define those elements of the business that are affected by licensing and ent it lement management

2. Provide guidance on processes and organizational structure that aligns the business pract ices and implementat ion standards with the operat ional capabilit ies of the business systems and processes

3. Enable organizations to become more self-sufficient in maintaining their licensing and ent it lement management solut ion

Delivery ApproachThis service is deployed by two Flexera Software Global Services consultants–a strategy consultant and a solut ion architect—in three phases:

I. Preparation:• Define the session agenda in conjunct ion with execut ive sponsor

– Define each session and topic for the workshop– Ident ify key stakeholders for each session

• Provide and evaluate pre-workshop quest ionnaires• Update workshop session material to conduct sessions

II. Workshops:• Workshops are designed by specific topics, and require a specific set of stakeholders• Mult iple days of workshops are conducted in a systematic manner to provide best pract ices and gather requirements• Detailed session notes are gathered and distributed

III. Development of Policy Document: • Create the init ial version of the licensing policy document, based upon requirements gathered during the workshops• Update and refine the licensing policy document based upon customer feedback

License and Compliance Policy Design

Project TimelineLicense and Compliance Policy Design is conducted in three phases, usually over a calendar t imeframe of eight to ten weeks. Some client preparat ion is required in advance to optimize meeting t ime and enable the generat ion of deliverables within the allotted t ime.

Workshop Deliverables– At the conclusion of this service, the client will have drafted a Licensing Policy Document.

Primary AudienceCustomer resources required for this engagement include one execut ive sponsor (usually vice president or higher) and mult iple stakeholders to attend one or more of the workshop sessions and provide licensing policy feedback. Attendees usually include stakeholders from the following groups:

• Product Market ing • Product Management • Operat ions• Sales Operat ions • Customer Support • Legal• Sales • Pricing • IT

Related ServicesLicense and Compliance Policy Design is part of an overall methodology to produce a high-value licensing and entit lement management solut ion in a minimum amount of t ime.

The following services are recommended prior to Licensing and Compliance Policy Design:• Licensing, Ent it lement Management and Delivery Assessment: a workshop-style engagement that

helps organizations understand the business value of deploying or improving an ent it lement and compliance management solut ion

• Strategies of Licensing and Ent it lement Management: a classroom-style service designed to help organizations maximize their investment in electronic licensing

License and Compliance Policy Design is a pre-requisite for the following services:• Operational Model Design: a workshop-style engagement that uses business polices and requirements to define a set of

prospect-to-support business process use-cases• System Design: a workshop-style engagement that defines the detailed specifications for designing a client-side licensing

solut ion for customer products

– Consultant works with client to create init ial version

– Review and with key stakeholders for acceptance

LICENSING POLICY CREATION (4-6 WEEKS)

– All stakeholders meet to gather requirements

WORKSHOPS(1 WEEK)

Flexera Software consultant to:– Refine agenda and attendees for

workshops – Provide and evaluate pre-workshop

quest ionnaires– Prepare of licensing policy template

PREPARATION(1-3 WEEKS)

Copyright © 2012 Flexera Software LLC. All other brand and product names mentioned herein may be the trademarks and registered trademarks of their respect ive owners. FX_SD_ECM_Licensing-Policy_Sept12

Flexera Software LLC1000 East Woodfield Road, Suite 400Schaumburg, IL 60173 USA

Schaumburg (Global Headquarters):+1 800-809-5659

United Kingdom (Europe, Middle East Headquarters):+44 870-871-1111+44 870-873-6300

Australia (Asia, Pacific Headquarters):+61 3-9895-2000

For more office locations visit:www.flexerasoftware.com

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Services and Solut ionsApplicat ions no longer just help the business, they run the business, and to software vendors and, increasingly, intelligent device manufacturers, they are the business. To compete and win today, software vendors and intelligent device manufacturers must go to market faster with different iated product offerings, ensure they are fairly compensated, make every dollar spent count and retain every single customer. All of this must be done while facing substant ial hurdles.

Flexera Software has long been a global leader in Applicat ion Usage Management. Over 3,000 software vendors and intelligent device manufacturers rely on our comprehensive licensing, ent it lement management and delivery suite of software licensing, ent it lement management, electronic software delivery, software updates and compliance management solut ions as core components of a strategic solut ion for Applicat ion Usage Management: FlexNet Producer Suite for Software Vendors and FlexNet Producer Suite for Intelligent Device Manufacturers.

Flexera Software is unique in its ability to offer a comprehensive and integrated solut ion spanning the full lifecycle of business processes. These solut ions provide crit ical business intelligence to sense market change and develop the appropriate course correct ions and are designed to deliver the flexibility to quickly adapt to your evolving business needs. Together they transform numerous tact ical tasks to address today’s strategic needs, delivering cont inuous software compliance, information at the point of act ion and optimized usage and value for your products.

About Flexera SoftwareFlexera Software is the leading provider of strategic solut ions for Applicat ion Usage Management; solut ions delivering continuous compliance, optimized usage and maximized value to applicat ion producers and their customers. Flexera Software is trusted by more than 80,000 customers that depend on our comprehensive solut ions- from installat ion and licensing, ent it lement and compliance management to applicat ion readiness and software license optimization - to strategically manage applicat ion usage and achieve breakthrough results realized only through the systems-level approach we provide. For more information, please go to: www.flexerasoftware.com