Short answer enterprise agreement with Microsoft:
An Enterprise Agreement (EA) with Microsoft is a licensing program where organizations can purchase software licenses and cloud services at discounted rates for a specified period of time. The EA also provides centralized management of licenses, simplified compliance, and the ability to add new products or services as needed.
How to Set Up an Enterprise Agreement with Microsoft: Top Tips
Setting up an enterprise agreement with Microsoft can be a daunting task, but it’s a crucial step for any business looking to streamline its software procurement processes. As one of the world’s leading providers of business technology solutions, Microsoft has multiple licensing and pricing options that cater to businesses of all sizes. In this blog post, we’ll walk you through some top tips for setting up an enterprise agreement with Microsoft.
1. Know your business needs
The first step toward setting up an enterprise agreement with Microsoft is to gain a thorough understanding of your business requirements and priorities. This includes taking stock of the number of users who may need access to different products or services, identifying what types of devices will be used in the workplace environment and determining which applications or systems are critical to daily operations.
When you have a clear understanding of these factors, you can work with a Microsoft representative to identify the best licensing options that align with your specific needs—a process known as license optimization. For instance, if a large proportion of your staff use cloud-based productivity tools like Microsoft 365 apps such as Word or Excel extensively, then selecting an Office 365 E5 plan—including features such as Teams—it could make sense.
2. Plan long-term
Your company’s needs will likely evolve over time—new employees might join the team; existing ones may leave while others require additional software tools or services simply appeared on the market since you signed up last time. It is therefore vital that you consider future state scenarios while planning.
To ensure that your enterprise agreement remains relevant and useful over time: work closely together with both internal stakeholders (like IT) and external advisors (such as our experts here at Kosbit), utilize continuous monitoring tools so that changes or usage trends do not go unnoticed.
3. Understand licensing models
Microsoft offers several licensing models including per-user (!) and device licenses – determined by how many devices the user uses in accessing programs-, making it important for businesses to understand which model best suits their requirements. The software package itself, whether used on devices or through cloud-based SaaS, has its own unique licensing models as well.
When it comes to this part of the process, it’s crucial that companies engage with a Microsoft representative or an expert consultant who can help accurately identify licensing options suitable for the present and future stages of your business, ensuring long-term software investment returns and cost savings.
4. Factor in employee needs
We all know how essential remote access is when running a modern global operation- especially with limited physical office space due to the constraints of Covid response efforts such as social distancing measures! So when setting up an agreement with Microsoft, you need to accommodate employee mobility needs. Will they be accessing applications from home devices? How will they access web-based email clients on-the-go?
Take these concerns into consideration while setting up your agreement to make sure that no mobile device usage channels are left out; missing even one vital element could significantly compromise productivity for employees working outside the office.
5. Keep in sync with change
Change management
A Step-by-Step Guide on Establishing an Enterprise Agreement with Microsoft
As a business owner, you know that technology is an essential part of running your company smoothly. And when it comes to technology, there’s no bigger name than Microsoft. From Windows to Office and Azure Cloud Services, Microsoft has got you covered with the tools you need to succeed. However, before you can fully leverage their suite of services, you’ll need to establish an enterprise agreement.
An enterprise agreement with Microsoft is essentially a contract between your company and the tech giant for licensing software and cloud-based solutions. With an enterprise agreement in place, your company gains access to a range of benefits including discounted pricing on software licenses, simplified license management through the Volume Licensing Service Center (VLSC), and flexibility to add or remove licenses as needed.
So if you’re ready to take your business’s IT game to the next level by establishing an enterprise agreement with Microsoft, here is a step-by-step guide on how to do it:
Step 1: Determine Your Business Needs
Before diving into negotiations with Microsoft for an enterprise agreement, it’s important first to define what your specific business needs are. For example, do you require only basic office applications like Microsoft Word or Excel? Or do you need more robust offerings like advanced analytics tools or cloud computing services?
By understanding your particular needs upfront will allow you leverage better bargain with Microsoft representatives during negotiation discussions.
Step 2: Contact A Reseller In Your Country
At this point, You might want to consider contacting resellers in your country who specialize in selling Microsoft products – usually referred service providers engaged in Licensing Solutions Providers (LSP). Ensure that they have reputable experience and strong knowledge in executing such agreements.
Step 3: Negotiations
Once You’ve identified LSPs service provider who have expertise contacting them for further consultation relating licence subscription procedures will resolve many intricacies from start till end negotiation process.
Keep in mind that one of the significant benefits of having an Enterprise Agreement is negotiating with Microsoft to get the best deal possible, so don’t be afraid to go back and forth on pricing, licensing terms, or even service level agreements.
Step 4: Drafting The Agreement
After the negotiation process, you will be provided with a draft of the agreement for review. Ensure that before agreeing to any contract terms; read thoroughly and make amends where necessary (This is where seeking legal advice also comes in handy).
Step 5: Internal Review And Signature
Once reviewed and agreed on by both parties – Your company’s legal team will need to perform an internal review and seek approval from your senior management before signing off on the agreement. Be sure that everyone is happy with its contents before affixing an electronic signature.
Step 6: VLSC Set-Up And Implementation
The Volume Licensing Service Center (VLSC) is the central portal for managing software licenses purchased through an Enterprise Agreement. Once fully executed this final step involves setting up your organization’s VLSC account and configuring software access benefits approved in the agreement.
In conclusion, investing energy into negotiating a
Frequently Asked Questions about the Enterprise Agreement with Microsoft
Are you considering an enterprise agreement with Microsoft? Here are some frequently asked questions to help you navigate through the process and understand what it entails.
What is an Enterprise Agreement?
An Enterprise Agreement (EA) is a contractual arrangement between an organization and Microsoft that enables the organization to license software products for use on a large scale. This licensing model provides the flexibility of choosing from various licensing options, such as software assurance, subscription-based models, or perpetual licenses.
What software products can be included in an EA?
An EA covers many of Microsoft’s popular products and services available across Office 365, Windows 10 Enterprise Edition, Exchange Server, SharePoint Server, Skype for Business Server, Project Online Professional, Visual Studio Enterprise with MSDN, and more. One of the key benefits of an EA is that your organization can have flexibility in the product selection to meet specific business needs.
How is pricing determined under an EA?
Pricing varies depending on several factors such as product selection and volume licensing. It’s important to note that discounts are often offered with higher volumes or longer agreements. Additionally, costs may vary according to whether you opt for subscription-based or perpetual licenses.
Is there room for negotiation in EAs?
Yes! Negotiation is always encouraged when negotiating contracts. An MGX renewal conversation (Mid-Year Global sales eXchange), allows organizations to have meaningful conversations around their existing agreements and discuss relevant organizational changes since their last deal negotiations. You can also work with your Microsoft account representative or reseller partner to arrive at an agreement suited best according to your organizational requirements.
How long does it take to complete a typical EA?
It can take anywhere from four weeks up to six months depending on how complex your agreement may be. It’s important not only about structuring of the contract but also about budget planning because EAs do require upfront payment commitments as opposed to pay-as-you-go models where payments are made monthly.
Who should oversee the EA process within my organization?
The contract negotiation is a cross-functional effort. It involves several teams, IT procurement and asset management departments, finance, legal as well as stakeholders from the IT side of the business who are likely to be impacted by existing or future agreements. It’s important that there’s a clear line of communication between all parties involved in facilitating and finalizing an agreed-upon contract.
What happens at the end of the EA term?
At the end of each agreement period, your organization has three options: re-negotiate a new agreement, renew under the current terms with modifications if necessary or transition away from Microsoft altogether.
Now that you have a better understanding of what an Enterprise Agreement is all about, you can confidently begin exploring this licensing option for your organization. Keep these FAQs handy when considering an EA to help you make informed decisions on software licensing for your company’s success!
