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ITPSM  2003

ITPSM 2003

Subject:

Re: Site License Pricing Models

From:

"Montefiori, Karen" <[log in to unmask]>

Reply-To:

The EDUCAUSE Software Licensing Issues Constituent Group Listserv <[log in to unmask]>

Date:

Wed, 12 Feb 2003 16:19:21 -0600

Content-Type:

text/plain

Parts/Attachments:

Parts/Attachments

text/plain (105 lines)

--On Wednesday, February 12, 2003 4:54 PM -0500 Mary Griffin
<[log in to unmask]> wrote:

> Hello,
>
> We are in the process of restructuring our campus software
> licensing strategy. We currently have a cost-recovery model where
> we purchase licenses centrally at a discounted price and then
> charge individuals or departments a fee at the time we distribute
> the licenses. For some licenses this model works well,
> particularly in the case of a volume license that can be resold
> at a discounted unit price. However, the model becomes more
> challenging when we have an unlimited, enterprise-wide license.
> The question then becomes one of how to share the costs equitably.
>
> We are looking to this group to get an idea of "best practices"
> and if you would respond to these questions your help would be
> greatly appreciated.
>
> 1. Is your program managed as a cost recovery operation?

We attempt to recover cost for most of the products we volume
license.  We also sponsor some products to the campus community and
do not recover cost (e.g. antivirus software, email client
software, Oracle software.)
>
> 2. Are enterprise-wide licenses funded centrally or are there
> instances where you attempt to recover the cost by charging
> individual departments?

Most enterprise-wide licenses are centrally funded, but we do have
at least one instance where we have an unlimited site license for a
product (Mathematica), and we attempt cost recovery.  Two units on
campus (Engineering and the College of Arts & Sciences) are the
primary users of Mathematica.  They reimburse us for the cost of
the maintenance and support contract renewal each year and can
install the software on all institution owned systems within their
schools.  If users in other units wish to use Mathematica, we
charge a per unit fee.  At the end of the year, we credit
Engineering and A&S with revenues received from these other
purchases.

>
> 3. If you charge departments individually, do you pass on only
> the cost of the license or do you charge an amount that seeks to
> offset administrative overhead?

We do not try to offset adminstrative overhead in the license fees
we charge since school units pay a "tax" that provides for the
software licensing capability.

>
> 4. Do you charge departments a flat fee for unlimited licenses,
> or do you distribute licenses on a per-unit basis to them?

With respect to Mathematica, Engineering and A&S each pay a fee
that is related to their rate of usage.  Other school units pay on
a per unit basis.  If there was a large demand in other schools
units for Mathematica, then these units could opt into the model
used by Engineering and A&S.
>
> 5. Are you partnering with any outside firms for software
> licensing management and/or distribution?

Yes, we are partnering with e-academy and are working on
implementing their electronic license management system (ELMS.)
>
> Thank you for your assistance.
>
> Mary Griffin
>
>
>
>
> --
> -----------------
> Mary A. Griffin                    Office of Software Licensing
> University of Pennsylvania         Sansom Place West, Suite 302
> 3650 Chestnut Street               Philadelphia, PA  19104-6107
> 215-898-5930 (voice)               215-573-4021 (fax)
> -----------------
>
> **********
> Participation and subscription information for this EDUCAUSE
> Constituent Group discussion list can be found at
> http://www.educause.edu/memdir/cg/.



-----------------------------------------------------------------

Email: [log in to unmask]

Montefiori, Karen
Vanderbilt University
Information Technology Services
143 Hill Center/PD Box 34
1231 18th Avenue South
Nashville, TN 37212-2807
Phone: 615.343.1630
Fax: 615.322-4523

**********
Participation and subscription information for this EDUCAUSE Constituent Group discussion list can be found at http://www.educause.edu/memdir/cg/.

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