SAP’s licensing mechanics are evolving to match the shift to cloud and subscription models, and the changes impact every customer, whether you’re still on ECC or deep into S/4HANA. The two big areas to understand are Full Use Equivalents (FUEs), and Digital Access. Read on to learn more.

Full Use Equivalents (FUEs): Simplifying or Obscuring?

In the newer cloud subscriptions, SAP no longer sells fixed numbers of Professional or Functional users. Instead, you buy pools of Full Use Equivalents (FUEs), a standardised unit of licensing capacity.

How it works:

• Each user type is given an FUE value (e.g., 1 Advanced Use = 1 FUE, 5 Core Use = 1 FUE, 30 Self-Service Use = 1 FUE).
• Your purchased FUE pool covers your workforce dynamically.
• If user roles change, you can reallocate within your pool rather than requiring new license types.

Benefits:

• Flexibility: Easier to accommodate changes in workforce size or roles.
• Simplification: Fewer license SKUs to track.

Risks:

• Budgeting Ambiguity: The shift makes it harder to compare costs with your old perpetual licenses.
• Overestimation: Buying too many FUEs leaves you paying for unused capacity.
• Underestimation: Buying too few risks non-compliance and expensive “true-up” fees.

Tip: Use historical usage data and growth projections to model your FUE needs over a 3–5 year horizon. Don’t let SAP’s suggested numbers go unchallenged.

Digital Access: From Indirect Users to Document-Based Charging

Indirect Access—when non-SAP systems create or update data in SAP—used to be one of the trickiest compliance issues. SAP’s answer: Digital Access licensing. Instead of charging by indirect Named User, SAP now charges based on specific document types created in or imported into SAP by external systems or users, for example, Sales Orders, Purchase Orders, or Invoices.

Key points:

• Nine document types are currently in scope (check SAP’s latest list as this could change).
• You’re billed for the creation of those documents, not for reads or updates.
• Digital Access Passports—SAP’s tracking mechanism—can tag and measure these documents for better audit readiness.

Why it matters:

• If your CRM, warehouse, or e-commerce system integrates with SAP, you could be creating thousands of chargeable documents without realising it.
• Underestimating document volumes can cause massive unplanned costs during an audit.

Action: Analyse your interfaces and document flows. Implement Digital Access Passports or use SAP’s estimation tools to validate your exposure. Consider external advisors if your integration landscape is complex.

Common Pitfalls

• Ignoring Role Drift: Users quietly accumulate extra permissions, pushing them into more expensive license types.
• Assuming Old Metrics Apply: FUEs are not 1:1 with your old licenses. Direct comparisons can be misleading.
• Underestimating Indirect Access: Overlooking a middleware or automated process can trigger big compliance risks.

Strategic Approach

1. Do a Baseline Assessment: Use tools (USMM/LAW or third-party solutions) to map current usage against SAP’s new models.
2. Clean Up Roles and Users: Deactivate dormant accounts and streamline authorisations.
3. Model Multiple Scenarios: Compare costs for different FUE pools and Digital Access volumes before signing anything.
4. Factor in Tiered Pricing models: For some products (including Digital Access) pricing is tiered, if you’re close to the next tier it can be cheaper to purchase more licenses than you actually need by moving to the next (cheaper) tier.
5. Negotiate Proactively: Use independent benchmarks and clearly documented needs when discussing FUE volumes or Digital Access pricing with SAP.
6. Integrate SAM and CMDB Data: Context from your CMDB plus insights from a SAM tool—or Acuity—can reveal which users and processes are truly business-critical.

Bottom Line

SAP’s licensing changes—FUE pools for flexibility and Digital Access document charging—aren’t minor tweaks. They represent a fundamental shift in how usage is measured and billed. The good news: with the right audits, modelling, and negotiation, you can avoid surprises and even save money.

Start early, know your numbers, and don’t let complexity become an excuse for overpaying. A proactive approach now will save you from costly compliance headaches later.

Need help?

Get in touch to discover our SAP licensing services and how Livingstone can take the pressure off you. Contact us and one of our experts will be happy to chat.

Author

Lucy Shillito, Senior Consultant at Livingstone Technology