Siebel Licensing – Tips from Experts

Oracle Siebel Licensing

  • Application User Licenses: These are based on specific users authorized to use Siebel.
  • Processor Licenses: Based on the number of server processors or cores.
  • Computer Licensing: For use on a single specified computer.
  • Non-Compliance Issues: Incorrect view assignments, inactive users, licensing misunderstandings, and contractual oversights.

Introduction to Oracle Siebel Licensing

Oracle Siebel Licensing

Oracle Siebel Licensing is a niche knowledge area with only a few experts worldwide. Fortunately, we are among those who understand this product deeply. Oracle Siebel is a robust customer relationship management (CRM) software platform designed to help organizations manage and analyze customer interactions and data throughout the customer lifecycle.

Founded by Thomas Siebel in 1993 and acquired by Oracle in 2006, Siebel remains a powerful tool for enhancing customer relationship management.

Key Benefits of Oracle Siebel

Enhanced Customer Relationship Management

Oracle Siebel offers a central repository for customer data and interactions, enabling organizations to gain better insights into their customers. This leads to more personalized and relevant customer experiences. The platform includes various tools for managing customer interactions, such as marketing, sales, and service capabilities.

Flexibility and Customization

Siebel’s flexibility allows it to be customized to meet the specific needs of different organizations and industries. It can seamlessly integrate with other systems and technologies, making it a versatile and scalable solution for improving customer relationship management.

Employee Performance Management

In addition to its CRM capabilities, Oracle Siebel includes tools for managing employee performance and productivity. Features such as goal setting, performance tracking, and coaching contribute to organizational efficiency and effectiveness.

Siebel Licensing Metrics

Understanding Siebel’s licensing metrics is crucial for proper utilization and compliance. The primary licensing metrics include:

Oracle Application User Licenses (AUP)

  • Definition: Licenses for specific individuals within the organization.
  • Usage: Ideal for organizations with a small number of users.
  • Example: An organization licenses Siebel for specific users who will be accessing the software regularly.

Processor Licenses

  • Definition: Based on the number of processors or cores on the server where Siebel is installed.
  • Usage: Suitable for organizations with a high volume of users or needing to support numerous transactions.
  • Example: An organization calculates the required licenses by multiplying the total number of cores by the core processor licensing factor.

Computer Licensing

  • Definition: Licenses for the specific computer on which the programs are installed.
  • Usage: Allows the use of the licensed program on a single specified computer.
  • Example: A license for a specific server where Siebel CRM is installed and operated.

Common Reasons for Siebel Licensing Non-Compliance

Common Reasons for Siebel Licensing Non-Compliance

Assigning Unlicensed Views

Organizations sometimes assign views to Siebel modules for which users lack licenses.

Failure to End-Date Users

Not end-dating users who leave the organization or no longer need Siebel access can lead to excessive user counts.

Misunderstanding Licensing Rules

Misinterpretations of Siebel licensing rules and policies often result in non-compliance.

Contract Definitions

Specific licensing requirements for Siebel modules may not be adhered to correctly.

Siebel License Review Service

A Siebel license review service can help organizations optimize their Oracle Siebel licenses. This service typically includes:

Review of Current Siebel License Agreements

  • Objective: Understand the terms of the licenses and their usage.
  • Process: The service provider reviews the organization’s license agreements to identify terms and conditions.

Review of Current Siebel Usage

  • Objective: Determine how the software is being used and ensure compliance.
  • Process: The service provider assesses the organization’s current Siebel usage against the license agreements.

Recommendations for Optimizing Siebel Licensing

  • Objective: Provide actionable insights to optimize licensing.
  • Process: Based on the review, recommendations may include reducing unnecessary licenses, consolidating licenses, or switching to a different license metric.

License Reconciliation

  • Objective: Resolve discrepancies between usage and license agreements.
  • Process: The service provider helps reconcile differences, potentially negotiating with Oracle or purchasing additional licenses.

Ongoing Support

  • Objective: Ensure continuous compliance and optimization.
  • Process: Regular reviews of Siebel usage and updates to license agreements as needed.

Detailed Analysis of Siebel Licensing Metrics

Application User Licensing

Application user licenses, or AUP licenses, are ideal for organizations with a smaller user base. These licenses are assigned to specific individuals authorized to use the Siebel software. Here’s what you need to know:

  • Definition: An individual authorized to use the licensed application programs.
  • Licensing Criteria: Based on the number of users accessing the software.
  • Example: If your organization licenses the Oracle Self Service Work Request option with Oracle Enterprise Asset Management, you must maintain licenses for the equivalent number of application users.

Processor Licensing

Processor licenses, based on the server’s processors or cores, are more suitable for organizations with higher usage volumes.

  • Definition: All processors where the Oracle programs are installed or running.
  • Calculation: Multiply the total number of cores by the core processor licensing factor.
  • Special Cases: For products like Standard Edition One, Standard Edition 2, or Standard Edition, a processor is counted per occupied socket.

Computer Licensing

Computer licensing is straightforward and specific to the hardware where Siebel is installed.

  • Definition: The computer on which the programs are installed.
  • Usage: Allows usage of the licensed program on a single specified computer.

Why Organizations Face Non-Compliance Issues

Non-compliance can result from several factors:

  • Incorrect View Assignments: Assigning views to modules without proper licenses.
  • User Management: Failing to deactivate licenses for users without access.
  • Licensing Misunderstandings: Misinterpreting the rules and requirements of Siebel licensing.
  • Contractual Oversights: Missing specific licensing requirements for certain modules.

Benefits of a Siebel License Review Service

Siebel License Review Service

A Siebel license review service offers numerous advantages for organizations:

Thorough Assessment

  • License Agreements: Reviewing existing agreements to understand terms.
  • Usage Analysis: Assessing current usage to ensure compliance.

Optimization Recommendations

  • License Reduction: Identifying and eliminating unnecessary licenses.
  • License Consolidation: Streamlining licenses for efficiency.
  • Metric Adjustment: Advising on switching to more suitable license metrics.

Reconciliation and Support

  • Discrepancy Resolution: Addressing and resolving usage versus agreement discrepancies.
  • Ongoing Management: Providing continuous support to maintain compliance.

Final Thoughts

Oracle Siebel is a powerful CRM platform that, when properly licensed, can significantly enhance customer relationship management and employee performance. Understanding and managing Siebel licensing is crucial to maximizing its benefits and ensuring compliance.

Working with experienced Oracle licensing consultants can help organizations navigate the complexities of Siebel licensing, optimize their license usage, and avoid common pitfalls.

By partnering with experts, organizations can ensure they are making the most of their Siebel investment while maintaining compliance and reducing costs. This comprehensive approach to Siebel licensing will support better customer management and overall business performance.


  • Fredrik Filipsson

    Fredrik Filipsson is an Oracle licensing expert with over 20 years of experience in Oracle license management. He spent 10 years working for Oracle corporation and then 10 years at a consultant leading engagements on Oracle license assessments, audits, ULAs. He is a public speaker and author

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