Insights for IT Negotiations

Microsoft had another stellar quarter, beating expectations and posting double digit growth, both for top and bottom line. These impressive financial results were directly tied to the continued strength of their cloud business. Commercial Cloud revenue grew 41% with Office 365 commercial revenue up 30% as a result of continued install base expansion and average revenue per user (ARPU) growth. Azur...

After 27 years at SAP, Robert Enslin resigned from his position as President of the Cloud Business Group. In this podcast, UpperEdge’s SAP Practice Leader, Len Riley, discusses how SAP is restructuring its leadership responsibilities, the challenges SAP will face from these changes, and how customers will be impacted. Host: Len Riley: https://bit.ly/3fqLI99 SAP Commercial Advisory Services: https:...

Oracle has been struggling to meet Wallstreet’s expectations for cloud revenue. To motivate their on-premise customers to migrate to the cloud, they have offered two key cloud incentive programs: Universal Cloud Credits and Bring Your Own License (BYOL). In this podcast, Erwann Couesbot discusses what customers need to know about these programs, including the key benefits of both and potential dow...

Some things we’re seeing from Oracle coming out of their Q3 earning are similar to what we saw with IBM a few years back. Their revenue is flat or slightly declining (like IBM’s was) but their earnings per share are growing, just like IBM’s had—the main reason for this? Stock repurchasing program, like IBM had done, Oracle is doing the same now, Oracle just spent in Q3 alone $10B to buy back 206M...

Best Practice Metrics for Tower-based I&O Services When going to market to secure proposals for Infrastructure and Outsourcing (I&O) services, the responses you receive can be overwhelmingly complex and can challenge your ability to do a true apples-to-apples comparison. This 5-part series takes you through the steps you should take to ensure your responses are not only normalized but aligned in a...

How CIO’s can ensure they maintain control of their sole source negotiations: Make no mistake, your SI’s plan to secure a sole source award for your Implementation is set in motion from the moment they land resources to begin the strategy phase of your transformation initiative. There are several key tactics SIs will employ to lay the foundation to obtain a sole source implementation award.

Workday's performance in Q4 2019 has been going very well. Workday's subscription revenue was up 33% YoY, they are forecasting more than 27% growth next year and their customer satisfaction rating is at 98%. How are they going about doing this? Their focus has been on HCM, which is the hallmark of their product base and continues to show value to their clients. Once this value is realized, Workday...

In this podcast, Adam Mansfield provides a recap of Salesforce’s Q4 and full year Fiscal 2019 earnings call. Once again, Salesforce posted impressive revenue growth across all of their clouds. They also raised their FY 2020 guidance and announced they are now targeting FY 2023 revenue of $26B-$28B. If they were to achieve this, they would essentially organically double their revenue in the next 4...

Erwann Couesbot discusses some of the main commercial hurdles when it comes to Workday negotiations. Similarities exist when negotiating with major ERP companies, but there are some important differences when negotiating with Workday. They are not a full ERP provider yet, but with M&A they are moving up fast to compete with the likes of SAP and Oracle. This podcasts discusses important commercial...

Mergers and acquisitions are opportunities for SAP to push S/4HANA onto clients. During an M&A there is an optimistic air to discuss synergies, efficiencies and future benefits. But SAP at this time is thinking about big acquisition budgets, revenue opportunity and the possibility to audit either or both companies. SAP will take this time to win in the short term as as well as the long term for fu...

Part of SAP’s 2019 Capital Markets Day presentation centered on “The SAP Top Ten” which includes SAP’s ambition to be #1 in Cloud ERP by 2023. There was also a significant amount of time devoted to C/4HANA’s evolution, its position against competitors like Salesforce, and how the recent acquisition of Qualtrix comes into play. Host: Chip Hanna: https://bit.ly/37gknCk SAP Commercial Advisory Servic...

Oracle’s recent legal battles with the U.S. government have been widely reported. Here is a brief summary of the two prominent legal battles and what they could mean for Oracle customers. Host: Jeff Lazarto: https://bit.ly/37eCXdN Oracle Commercial Advisory Services: https://bit.ly/3jdtF7p

ServiceNow has long been known as an IT helpdesk but in recent years, they have evolved into much more than that. As they strive to become the ultimate digital transformation platform, they have made behavioral and licensing changes to drive adoption of new solutions and expand into lines of business outside of IT. In this podcast, Erik Bullard discusses ServiceNow’s land and expand strategy and w...

In July of 2018, Oracle released a new subscription-based pricing model for Java SE (Standard Edition) and announced certain changes that went into effect in January of 2019. These licensing changes sparked confusion and widespread concern among customers. In this podcast, Erwann Couesbot touches some of the changes Oracle made, who in particular will be affected, and how organizations will be aff...

Google’s parent company, Alphabet, reported Q4 and full year earnings that beat expectations across the board. The company did not provide a lot of detail regarding its cloud business which is part of its “Other Business” category. What they did mention is that they doubled the number of Google Cloud Platform (GCP) deals worth more than $1M and doubled the number of multi-year contracts. Regarding...

Still running SAP ECC? You’re not alone but with support ending in 2025, you’ll need to make a decision about where you’ll move to soon. Unfortunately, SAP hasn’t shared customer success and failure data pertaining to the S/4hana platform. So how do you know if S/4HANA is your best choice? In this podcast, Ted Rogers discusses what you should keep in mind when seriously considering a migration to...

Microsoft Q2 FY19 revenue reached $32.5B which once again represented double-digit revenue growth. Commercial Cloud revenue was $9B and grew an impressive 48%. Office 365, which is part of the Commercial Cloud revenue, grew 34%. This growth was primarily driven by a 27% growth in the number of seats as well as an increase in the revenue per Office 365 user. Revenue per Office 365 user increased as...

ServiceNow had their strongest Q4 ever with $665M in subscription revenue, representing 33% growth. They closed 51 transactions in the quarter with over $1M in annual contract value (ACV). They now have 678 customers with over $1M in ACV, which represents 33% growth. ServiceNow is not only successfully selling their core IT products (ITSM, ITOM, ITBM, ITAM) but they are also having success with th...

Google has announced that starting April 2, 2019, the pricing associated with Google's G Suite Basic and Business plans will increase by 20%. G Suite Enterprise pricing will not be affected by the planned increases. This is the first significant announcement made by Google Cloud since Thomas Kurian took over this year. Even though these increases will directly impact small to mid-size businesses t...

NRF, the world’s largest retail conference, is coming up January 13-15. We fully expect Salesforce to spend a significant amount of time at the conference discussing new products and solutions. While it is good to gain an understanding of what is new and what is coming, it is also important to use this time to ask the right questions of Salesforce. Doing so can help set up your renewal negotiation...

While Microsoft may want to overwhelm you with new products and solutions at NRF’s Big Show, don’t forget to leave with insight that is valuable to you. Definitely understand what is new and what is coming, but also prepare to ask the right questions of Microsoft. Host: Adam Mansfield: https://bit.ly/3rPGp8r Microsoft Commercial Advisory Services: https://bit.ly/2V78ADX

Salesforce had another stellar quarter, beating analysts’ expectations in its third-quarter earnings last night. Revenue is up 26% y-o-y and the Remaining Performance Obligation (RPO) is now at $21.2B, up 34%. The company raised FY 2019 guidance and expects 2020 revenue to reach $16B, expecting continued growth in cloud computing sales. Marc Benioff has even higher expectations for Q4, putting som...

In September, Thomas Kurian took a leave of absence from Oracle after 22 years at the company. Just two months later, he joined Google as the head of cloud computing, heightening underlying tensions between the two companies that have been in an ongoing legal battle for the past 8 years. At Oracle, Kurian led cloud transition efforts but he and Larry Ellison reportedly had differences with respect...

Many organizations are enticed to move to Microsoft Office 365 or even Microsoft 365 by the belief that their cost profile would decrease and that their pricing would come with special one-time discounting. Too often, organizations later discover after closer examination that the discounting not only wasn’t special but it didn’t come with the proper downstream price protections. This is one reason...

The sourcing and selection of your IT Services partner often spans over several months and requires significant time and effort from your cross-functional teams. Closing your services contract on time while preserving the complete integrity of your negotiated commercial construct requires a plan. You must maintain momentum throughout the process and execute an approach that helps mitigate the risk...