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Oracle Audit Support

Oracle Licence Audit

Got Audit Letter from Oracle ?

You get a “friendly” and “innocent” review letter from Oracle, asking to share information about your current Oracle usage. This letter, mostly not containing the word “audit”, states that your company has been randomly chosen and suggests an intention to assist you with effective license optimisation and addressing areas of potential non-compliance. The letter would also specify which legal entities and which Oracle software would form part of the audit.

The audit letter is generally sent to the CIO and the CIO to make sure that the Oracle licence audit gets the utmost attention within your organisation and also to escalate to in case Oracle feels that an organisation is not cooperating with the audit. You will also be expected to assign a single point of contact within your organisation, who will act as the coordinator for the audit from your side.

Your first thoughts …
  • Have we been chosen randomly OR Strategically nominated based on specific established parameters ?
  • Is it really an Optimisation Exercise OR An unexplained agenda towards discovering license non-compliance ?
  • Will the engagement head towards a reconciliation OR Will there likely be a big bill waiting at the other end ?

Oracle Licence Audit

Consequences to your organization ?

Historically even smaller Oracle licence estates have been liable for very big fines from an Oracle audit. The final non-compliance bill could be anywhere up to several million ££’s, and most unsuspecting customers have previously paid up the big fines without a good defence.

This happens due to a number of reasons, including:
  • Licensing Anomalies
  • Virtualisation Complexities
  • Contractual Pitfalls
  • Lack of Expert Support

The Oracle Compliance Policy makes it clear that:

“ … it is the customer’s responsibility to ensure that they are utilizing their licenses in accordance with the terms and conditions of the license agreements.”

Bear in mind that Oracle already has a “plan” in advance, and you have been selected for a reason. If you are found non-compliant in an Oracle audit, it is common to see that Oracle would come back to audit in the next 3 – 4 years, or even earlier in many cases.

Bear in mind that Oracle already has a “plan” in advance, and you have been selected for a reason. If you are found non-compliant in an Oracle audit, it is common to see that Oracle would come back to audit in the next 3 – 4 years, or even earlier in many cases.

Oracle Licence Audit

Your IMMEDIATE Next Step ?

The audit notification from Oracle may or may not invoke the audit clause from your OLSA, yet it is contractually binding on you to take it seriously and respond appropriately within your contractual time-frame. Ignoring the audit letter for long will raise Oracle’s suspicion and have them pursue even harder and for longer – eventually the issue will be turned over to Oracle’s Legal Department and your indifference will be looked upon as a material breach of the license agreement resulting in legal steps from Oracle.

At the same time, you need not rush to respond to the audit request either. When you are ready, respond to Oracle by seeking a briefing on the engagement to discuss the process, expectations and timelines. The terms of the standard agreement states, “Upon 45 days written notice, Oracle may audit your use of the software programs”. If you have not been keeping a good and accurate record of your software deployments, 45 days may not be enough time to be completely prepared for the audit.

Oracle Licence Audit

What Oracle expects at the end !

At the end of the Oracle Licence Audit, if you are found to be non-compliant for the deployment and/or use of any of the Oracle software programs, you are required to pay any fees applicable to your use of these programs. In such a situation, Oracle will refer you to its Compliance Policy, and your agreement will require you to purchase the appropriate licenses and related support fees within 30 days, without any additional discounts.

At the end of the Oracle Licence Audit, if you are found to be non-compliant for the deployment and/or use of any of the Oracle software programs, you are required to pay any fees applicable to your use of these programs. In such a situation, Oracle will refer you to its Compliance Policy, and your agreement will require you to purchase the appropriate licenses and related support fees within 30 days, without any additional discounts.

In a situation where you have been found to use unlicensed volumes of an Oracle program but you are ready to un-install them with immediate effect, Oracle will still ask you to pay for the term license fees and associated support costs for the period that you have used those Oracle programs without a legitimate purchase.

Oracle Licence Audit

How We Can Help!

Once you receive that audit letter, time is ticking out! Let our expertise take control and bail you out of the substantial financial risks arising from an Oracle audit. An Oracle audit, without informed expertise, could prolong over several months and effectively suck up your business resources, only to hand you over a million ££’s bill at the end. Along with the large non-compliance bill and fines from a typical Oracle audit, this will also hold your business in bad repute and even invite repeat audits in the times to come.

Oracle Licence Audit

Why Konnagar ?

Our highly successful Oracle Audit Support program has been designed based on extensive knowledge and practical experience of Oracle License Management, encompassing many years of helping Oracle customers manage Oracle audits through their entire lifecycle.

Our deliverables towards the Oracle Audit Support program will include the following:

  • Assistance with Collection and Analysis of Data
  • Interpretation of Contractual Agreements
  • Expert Advisory on How to Respond to Specific Requests
  • Analysis of Oracle LMS Script Outputs
  • Complete Optimisation of the Oracle License Estate
  • Contractual Negotiations and Commercial Discussions


Testimonial

Sibaji recently helped us through the long and complex process of an Oracle audit. I am sure that through working with Sibaji we came away with the best result possible. He is knowledgeable, eager to help and always available to answer any questions. I have no hesitation in recommending him.

— Head of Finance and IT (International Retail Business – Japan)

Sibaji has been invaluable in helping us set up an Oracle License Management Function for the Scottish Government and 56 other Government Bodies in Scotland. His expertise and in depth knowledge of Oracle ULA, Oracle License Audit, Oracle Contracts, and Oracle License Optimisation have given us a much better understanding of our Oracle estate and the processes around an Oracle audit.

— Chief Information Officer (Scottish Government)