This document summarizes a service from Flexera Software that helps organizations develop a license and compliance policy. The service involves workshops to gather requirements and define elements of the business impacted by licensing. It results in a licensing policy document that provides guidance on processes, governance, and commercial structure. The policy aims to improve ROI from licensing investments by clarifying business needs and objectives.

1. The Foundation for Higher ROI
Software vendors and intelligent device
manufacturers often understand they have problems
with their entitlement and compliance management
processes licensing policies, but frequently do
not know where to begin to address the problem,
nor the value associated with improving their
situation. 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 practices for
licensing and monetizing software within the
customer’s organization. A well-defined license
and compliance policy is vital to a successful
licensing entitlement and compliance management
deployment. It enables organizations to:
• Build a solid foundation for definition of
licensing, entitlement and compliance
management business and market needs
• Provide a clear vision and objectives of the
business problem addressed by licensing
entitlement and compliance management
• Define and communicate commercial
intent clearly
• Improve operational efficiency and reduce
risk in deployment
• Provide guidance on processes, governance
and organizational structure
• Accelerate time to market for new products
reliant on licensing, entitlement and
compliance management
• Improve customer experience by
simplifying communication of products
and product structure
Outside of creating basic software license
governance and management, creating 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 Consulting Services empowers
organizations to create official license and
compliance policy documents.
How License and Compliance Policy
Design Works
License and Compliance Policy Design enables
organizations to increase their return on
investment of any existing or new licensing and
entitlement deployment by clearly identifying
important business policies, behaviors and
commercial structures that are enabled by a
licensing and entitlement management solution.
In addition, 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 preparation, requirements gathering
workshops and document preparation and review.
At the end of the service, the organization will have
established a licensing policy document.
DATASHEET
License and Compliance Policy Design
Improving Business Growth, Operational 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 entitlement
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
definition
• Ensures that
the business
requirements,
structure and
processes are defined
to a level that is
able to support the
Operational Model

2. Education
Assess
Policy Operational
Model
Evaluate
Plan
Design Build, Test,
Deploy
2 Weeks
Go Live
8-10 Months
3 Months
• Assessment Report
• Context Setting
• Policies
• Operational Model (Use Case Catalog)
• Reference Architecture
The License and Compliance Policy Design is part of the
policy phase of Flexera Software’s High Output Entitlement
Management Deployment Methodology (figure 1) to deploy
high-value solutions in the shortest amount of time. This
methodology uses the Flexera Software Success Framework®
(figure 2) which begins with the definition of business
solution architecture. This service forms the core of
defining the business solution architecture.
Prospect-to-Support
Systems Processes
Enforcement
Compliance Strategy
Product (Line) Strategy
Structure
License Metrics
Revenue Generation Model
• Recurring vs. Up-front Revenue
• Perpetual, Subscription, Utility, 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 Entitlement Fulfillment
• Business Systems Integration
• Business Processes
Commercial Structure
• Product Taxonomy Structure
– Products, Bundles, Suites….
– Upgrade, Upsell, Update, etc
• Commercial Units
Revenue
Model
Commercial
Intent
Compliance
Enforcement
Entitlement
Management
Delivery
License Model
Product
Market Climate
Corporate Business
Drivers Principles
Customer
Needs
Figure 2: Flexera Software Licensing, Entitlement Management and Delivery Success Framework
Figure 1: Flexera Software’s High Output Entitlement Management Deployment Methodology

3. Typical Policy Table of Contents
1. Purpose
2. Scope
3. Guiding Principles
4. Definitions Lexicon
5. License Models
6. Product Taxonomy
Lexicon
7. Compliance Segmentation
and Enforcement
8. Technology Deployment Standards
9. Mergers and Acquisitions Activity
10. Change Management Approval
11. Governance
12. Vocabulary
The license and compliance policy document is a living document that defines standardized policies and
business practices associated with software licensing within the customer’s organization.
License and Compliance Policy Design
Objective
License and Compliance Policy Design has three main objectives:
1. Provide the foundation for a higher ROI deployment of licensing and entitlement solutions by helping the customer to
define those elements of the business that are affected by licensing and entitlement management
2. Provide guidance on processes and organizational structure that aligns the business practices and implementation
standards with the operational capabilities of the business systems and processes
3. Enable organizations to become more self-sufficient in maintaining their licensing and entitlement management solution
Delivery Approach
This service is deployed by two Flexera Software Global Services consultants–a strategy consultant and a solution architect—in
three phases:
I. Preparation:
• Define the session agenda in conjunction with executive sponsor
– Define each session and topic for the workshop
– Identify key stakeholders for each session
• Provide and evaluate pre-workshop questionnaires
• Update workshop session material to conduct sessions
II. Workshops:
• Workshops are designed by specific topics, and require a specific set of stakeholders
• Multiple days of workshops are conducted in a systematic manner to provide best practices and gather requirements
• Detailed session notes are gathered and distributed
III. Development of Policy Document:
• Create the initial version of the licensing policy document, based upon requirements gathered during the workshops
• Update and refine the licensing policy document based upon customer feedback

4. License and Compliance Policy Design
Project Timeline
License and Compliance Policy Design is conducted in three phases, usually over a calendar timeframe of eight to ten weeks.
Some client preparation is required in advance to optimize meeting time and enable the generation of deliverables within the
allotted time.
Workshop Deliverables
– At the conclusion of this service, the client will have drafted a Licensing Policy Document.
Primary Audience
Customer resources required for this engagement include one executive sponsor (usually vice president or higher) and multiple
stakeholders to attend one or more of the workshop sessions and provide licensing policy feedback. Attendees usually include
stakeholders from the following groups:
• Product Marketing • Product Management • Operations
• Sales Operations • Customer Support • Legal
• Sales • Pricing • IT
Related Services
License and Compliance Policy Design is part of an overall methodology to produce a high-value licensing and entitlement
management solution in a minimum amount of time.
The following services are recommended prior to Licensing and Compliance Policy Design:
• Licensing, Entitlement Management and Delivery Assessment: a workshop-style engagement that
helps organizations understand the business value of deploying or improving an entitlement and compliance
management solution
• Strategies of Licensing and Entitlement 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
solution for customer products
– Consultant works with client to
create initial 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
questionnaires
– Prepare of licensing policy template
PREPARATION
(1-3 WEEKS)

5. Copyright © 2012 Flexera Software LLC. All other brand and product names mentioned herein may be the trademarks and registered trademarks of their respective owners.
FX_SD_ECM_Licensing-Policy_Sept12
Flexera Software LLC
1000 East Woodfield Road,
Suite 400
Schaumburg, 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
Licensing, Entitlement Management and Delivery
Services and Solutions
Applications 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 differentiated 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 substantial hurdles.
Flexera Software has long been a global leader in
Application Usage Management. Over 3,000 software
vendors and intelligent device manufacturers rely on our
comprehensive licensing, entitlement management and
delivery suite of software licensing, entitlement management,
electronic software delivery, software updates and
compliance management solutions as core components
of a strategic solution for Application 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 solution spanning the full
lifecycle of business processes. These solutions provide
critical business intelligence to sense market change and
develop the appropriate course corrections and are
designed to deliver the flexibility to quickly adapt to your
evolving business needs. Together they transform numerous
tactical tasks to address today’s strategic needs, delivering
continuous software compliance, information at the point of
action and optimized usage and value for your products.
About Flexera Software
Flexera Software is the leading provider of strategic solutions
for Application Usage Management; solutions delivering
continuous compliance, optimized usage and maximized
value to application producers and their customers. Flexera
Software is trusted by more than 80,000 customers that
depend on our comprehensive solutions- from installation
and licensing, entitlement and compliance management to
application readiness and software license optimization
- to strategically manage application usage and achieve
breakthrough results realized only through the systems-level
approach we provide. For more information, please go to:
www.flexerasoftware.com