Buyer Protection: Enterprise Software Buyers' Bill of Rights

These are some of the items that Forrester Research has included in its recommended Bill of Rights document for enterprise software buyers.


Posted on Jul 30, 2007

SELECTION

  • An entire agreement clause: Instead of relying on generic terms and conditions, vendors should include all of the proposals, sales cycle presentations, demos, and promises in the entire agreement.
  • Definition of user and usage metrics: Vendors should provide up front written definitions of users, usage tiering, metrics, and users' rights.
  • Published price list and discount rationale: Vendors' written documentation should describe how pricing is determined and discounting price tiers are calculated.
  • Full defect disclosure: As part of the sale process, the vendor should disclose up front all known integration problems, performance bugs, related issues, and the average time to resolve known problems.
IMPLEMENTATION
  • Choice of implementation partner: Vendors should allow the licensee to select a preferred systems integrator or to self-implement.
  • Access to vendor resources for support: Vendor resources, such as enterprise architects and solution consultants, should be accessible during implementation at price points predefined in the agreement.
  • Defined service-level agreements: Prior to committing to any work, projects should include defined SLAs. These agreements should be structured with both punitive and reward components.
UTILIZATION
  • Actual usage charges: Vendors must allow the customer to adjust overall counts of license metrics on a defined and regular basis. Users should retain the right to return for full credit any unused software.
  • Affiliates' software use: The licensee, its majority-owned affiliates, and its agents should have access to and usage of the software.
  • Free transfers of software license, regardless of site or hardware: A switch by the company or its managed service provider to new vendor-supported hardware, operating systems, or databases should not result in any additional costs for perpetual license owners.
MAINTENANCE
  • Defined maintenance increases: The vendor and the license should define price protection up front. That protection should be tied to measures such as a fixed annual percentage or the consumer price index.
  • Consistent levels of service: Enterprises should have the right to ensure that service levels for maintenance and support entitlements remain at consistent and defined levels throughout the ownership lifecycle.
  • Continuation of support: Licensees should receive assurances that the vendor will support product releases for defined minimum periods to avoid excessive upgrade requirements.
  • Third-party support: Under perpetual licenses, the licensee should have the option to receive extended support from a third party at will. Furthermore, the licensee should have the opportunity to renew a maintenance agreement that has lapsed, with specific re-entry costs.

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