Assuring Smooth Compliance Internal and External

SAP recently statedthat those companies that indirectly access its software without paying for it could give rise to problems for some longstanding customers of the software vendor.  They have now tightened its norms and have become stricter in dealing with violations, like charging enterprises millions of dollars in license and support fees unlike in the past when it resorted to just issuing a waiver or an exception. Why this issue needs to be given importance is because it can prove to be problematic for many SAP customers due to its broad definition of ‘indirect’ access.

Those who face a letter claiming non-compliance due to indirect access face a tricky situation as the problem lies in the ambiguity of the definition of “use” within the agreement. Most of these agreements fail to mention the idea of “indirect access” as a means of use which is what causes confusion. So, to avoid being called non-compliant, companies should make surethey understand all the definitions and terms of use. Those getting newly associated with SAP must read the fine print in their license agreement and make sure that they are clear about their exposure to indirect access beforehand.

Companies might have been lenient about the issue of indirect access in the past but now things have changed and companies too must take special care.While others promise to bring just the best practices….we at EnCrisp® leverage our real-life experience from a rich array of global SAP and SOX compliance engagements to show our customers how to avoid the worst practices… because in the journey towards ERP security & controls failure could prove to be a very costly option.

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  1 comment for “Assuring Smooth Compliance Internal and External

  1. June 12, 2012 at 9:55 pm

    SAP has indeed been cracking down on companies “violating” software use terms. This article further explains this increasingly important topic http://www.upperedge.com/blog/2012/05/sap-and-indirect-access-is-sap-taking-advantage-of-its-customers

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