Oracle ULA Case Study: Dutch Manufacturing Group Certifies Oracle ULA After Global M&A Expansion
Oracle ULA Case Study – Dutch Manufacturing Group Certifies Global ULA and Avoids €15M Renewal
Background
- Industry & Country: Manufacturing (consumer goods), Netherlands
- Company Profile: A European manufacturing conglomerate with operations in 20+ countries, grown through acquisitions; 40,000 employees globally
- Oracle Footprint: Multiple Oracle E-Business Suite ERP systems and Oracle Databases supporting manufacturing and logistics, spread across Europe, Asia, and North America
- ULA History: 4-year Oracle Unlimited License Agreement covering Database and E-Business Suite, nearing its end; several acquisitions during the term added new Oracle deployments outside the original agreement’s scope
Challenges
- Post-acquisition sprawl: Each acquired company brought its own Oracle systems. Some of these—like an Oracle EBS instance in an acquired UK subsidiary—were not listed in the original ULA contract. Without action, those deployments would be unlicensed once the ULA expired, creating immediate compliance issues.
- Fragmented license data: The firm’s Oracle usage data was siloed. Different regions tracked licenses differently (spreadsheets, local tools), and no unified view existed. This made planning for Oracle ULA certification difficult, since missing even a single major deployment in the count could lead to a shortfall.
- Renewal vs. exit dilemma: Oracle was lobbying the company to renew the ULA, citing the increased scope after acquisitions. However, top management questioned the value of renewing since they had no plans for major Oracle expansion beyond the current use. They preferred to lock in what they had and avoid another unlimited contract.
- Tight timeline: Coordination across time zones and business units was challenging. With the ULA deadline 6 months away, the licensing team had to quickly gather global data and make a decision, all while keeping regular IT projects on track.
How Oracle Licensing Experts Helped
- Global Oracle audit: Oracle Licensing Experts orchestrated a worldwide license audit across all business units. They worked with local IT teams on each continent to inventory every Oracle Database, EBS module, and Oracle middleware instance. By consolidating these findings, OLE delivered a single source of truth for Oracle usage. This effort uncovered several previously unknown installations, ensuring no surprises later.
- In-scope vs. out-of-scope analysis: The consultants cross-checked each identified Oracle deployment against the ULA contract terms. They flagged any usage of Oracle products not covered by the ULA (for instance, a few Oracle Business Intelligence servers from an acquisition). For these, they helped the client decide whether to decommission, purchase separate licenses, or, in one case, negotiate a one-time inclusion with Oracle as part of the exit process.
- Strategic exit plan: Based on the comprehensive data, OLE recommended proceeding with ULA certification rather than renewal. They developed a step-by-step plan: first, remediate out-of-scope usage; second, optimize deployments to maximize the count (e.g., ensuring all active Oracle users and processors were fully accounted for at peak usage); third, prepare documentation for the Oracle ULA certification submission. They also set internal deadlines for each region to provide data, keeping the global effort on schedule.
- Oracle engagement: Throughout the process, Oracle Licensing Experts managed communications with Oracle’s licensing division. They informed Oracle of the client’s intent to certify and preemptively addressed Oracle’s queries about the acquisitions. By presenting a well-documented usage dossier, they negotiated away potential Oracle pushback (for example, Oracle initially suggested one acquired entity’s usage wasn’t covered, but OLE’s evidence proved it was deployed during the ULA term and thus should be included). This advocacy prevented Oracle from forcing a renewal or extra fees.
Outcome
- Seamless ULA exit: The manufacturing group successfully certified out of the ULA, securing all current Oracle deployments as perpetual licenses. Despite the acquisitions and scattered systems, the final certification to Oracle was accepted in full. The company gained approximately 18,000 Oracle Database and 10,000 Oracle EBS user licenses perpetually – an estimated €50 million value – with no additional cost beyond the original ULA fee.
- Avoided renewal costs: By not renewing, the firm sidestepped a proposed €15 million renewal expense. Since their Oracle usage is now stable, this decision is projected to save significant costs over the next several years, improving the company’s post-merger cost synergies.
- Improved governance: The project yielded an authoritative global Oracle usage repository. License management is now much more centralized. The company instituted new policies for any future Oracle deployments or acquisitions: involve the licensing team early to maintain compliance. This proactive stance is a direct result of the insight gained during the engagement.
- No compliance gaps: All previously out-of-scope Oracle instances were either licensed or shut down before certification, so the company exited the ULA with zero compliance debt. Oracle conducted the standard post-ULA audit and found no issues – a testament to the thorough preparation by OLE and the client.
Executive Quote
“Mergers had left us with a patchwork of Oracle contracts and a lot of uncertainty. Oracle was, of course, pushing us to renew our ULA at a hefty price. Oracle Licensing Experts showed us another path: do the legwork, get a handle on all our Oracle use worldwide, and certify our ULA on our terms. It was a complex project spanning continents, but the OLE team kept us on track. In the end, we exited the ULA cleanly and avoided spending millions on a renewal we didn’t need. Now we have total visibility into our Oracle licensing. It’s a big win for our post-merger integration efforts.”
— CIO, Manufacturing Group (Netherlands)
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