By rdatson-Oracle on Sep 05, 2014
If you are a user of any of Oracle’s Human Capital Management products, you can expect a call from your friendly Oracle Sales Rep sometime soon. They are going to be calling with an interesting offer – an offer that allows you to do something not previously allowed by Oracle.
We are doing it because the world of application delivery has changed. Once upon a time organisations purchased Oracle software, lots of hardware, built a datacentre, hired a systems integrator for six months, and set about creating HR applications. The software you bought came with a perpetual license. It’s a little crazy really – you own this software forever! And, with the payment of support, Oracle keeps updating your software.
However – updating this software in your environment turns out to be time consuming and costly. It’s not something you do regularly. Advances for your end-users can be years apart.
Meanwhile, there are now lots of vendors offering cloud based HR applications. These new cloud based systems use the latest architectures, allowing rapid deployment, mobile access, and modern user experiences.
The answer is simple. Stop using those HR products you bought some time back, stop paying support for those products, and start using the cloud based products.
Only, if you’ve been an Oracle client for a bit, you’ll understand there is a catch. Because you probably bought the products in a bundle with other Oracle products, you will have received a big discount on the purchase and the support. Like most commercial offers, if you try to break up the bundle by turning off support for individual products, you lose the discount, and there is no reduction in your support costs.
So what is this interesting offer from Oracle? What are we doing that has not been allowed before? Your sales rep is going to let you turn off support for your existing HR applications, and apply the savings to Oracle’s new HCM Cloud applications. You might be very surprised at how little it costs to get access to the latest advances in HR applications. When you weigh up the total cost of ownership – you will be saving money.
My advice: take the call from the Sales Rep, and ask for the pricing analysis. It doesn’t cost you anything. The new Oracle HCM Cloud may not cost much more.