In our recent webinar, Roy Topham, our Principal SAP Security and GRC Architect, explained the changes to how SAP users are licensed, how Full Use Equivalent (FUE) licensing works, how usage is measured, and where unnecessary costs tend to arise. Under the previous model, licence audits were open to interpretation, which gave organisations room to manage their position. Under the STAR measurement matrix, that flexibility is gone. Either a user has an authorisation object assigned or they do not, and SAP measures this continuously.
SUMMARY: Our recent webinar explained the shift from named user licensing to FUE under the STAR measurement matrix, where SAP classifies users by authorisation objects rather than transactions. It showed how inflated FUE can increase infrastructure costs, and how Soterion’s SAP License Manager identifies role clean-up opportunities, measures actual usage, and simulates the licensing impact of role changes. It also covered FAQs on ECC roles, minimum FUE commitment, unused legacy licences, RISE contract renewal, and when to start preparing.
In our recent webinar, Roy Topham, our Principal SAP Security and GRC Architect, explained the changes to how SAP users are licensed, how Full Use Equivalent (FUE) licensing works, how usage is measured, and where unnecessary costs tend to arise.
Whether you are planning a move to S/4HANA or already on RISE with a renewal approaching, the session was designed to give you a clearer picture of what FUE licensing means in practice and what you can do about it.
Watch the webinar on-demand here.
Under the previous model, licence audits were open to interpretation, which gave organisations room to manage their position. Under the STAR measurement matrix, that flexibility is gone. Either a user has an authorisation object assigned or they do not, and SAP measures this continuously.
Unlike the old named user model, FUE is calculated from the authorisation objects assigned to users, not the transactions they actually perform. That gap between assignment and real usage is where most organisations find their FUE count is significantly higher than it should be. Legacy ECC roles were never designed with the STAR matrix in mind, and they routinely carry far broader authorisation objects than users need day to day.
The number of FUE an organisation commits to also directly influences the infrastructure size SAP allocates under their T-shirt sizing model. Overestimating FUE means carrying infrastructure costs you do not need. The smarter approach is to optimise your FUE count first and add infrastructure extensions where needed, rather than letting an inflated FUE number drive your infrastructure spend.
Soterion's SAP License Manager analyses actual system usage and gives organisations three clear data points:
The gap between where organisations start and where they could be is frequently significant.
Two clean-up paths exist:
Soterion's simulation capability also flags the licensing impact of changing a role or adding access to a user before the change is approved, so licence exposure is caught at the point of the request before it becomes a cost problem.
Our clients asked these questions in our recent webinar:
SAP inflates it. The STAR matrix classifies users based on authorisation objects, not transactions. Legacy ECC roles carry far broader authorisation objects than users actually need, pushing them into heavier FUE categories. A user who only processes purchase orders could end up classified as Advanced simply because their role carries objects they never use.
Yes, SAP sets a minimum FUE threshold before you can sign. The risk is accepting SAP's suggested numbers without challenge, which locks you into a higher cost base for the full subscription term with very limited ability to reduce it mid-contract. Knowing your actual FUE position before those discussions is the only way to push back with confidence.
You need a proper licence inventory before those conversations begin. SAP will rarely volunteer the best terms on legacy licence trade-ins. Without knowing what you have and what it is worth, you are negotiating blind. Soterion License Manager can help you identify which licences are actively used and which are dormant, giving you a clearer picture before you engage SAP.
Yes, and the earlier the better. Most organisations wait until SAP initiates the renewal conversation, which hands SAP the advantage. Going in early with a clear view of your actual FUE consumption gives you a much stronger negotiating position. Soterion License Manager can simulate how role changes would impact your FUE calculation, giving you data to support that conversation.
Ideally 6 to 12 months before your migration or renewal. The earlier you start, the more time you have to clean up roles, reduce authorisation creep, and model scenarios before you are under commercial pressure. Organisations that start late often end up accepting SAP's numbers because there is not enough time to build a credible alternative position.
Download the SAP S/4HANA FUE Licensing Readiness Checklist to help assess whether your organisation is truly prepared to navigate SAP’s FUE licensing model and avoid locking in inflated long-term costs.
Book a personalised Soterion License Manager demo for you and your team to analyse actual usage, identify savings opportunities, and avoid unexpected license costs.
Request a free license assessment if you want to understand how your current role design translates into FUE consumption. Our experts will highlight potential overspend and optimisation opportunities without requiring any complex setup or ABAP transports.
Read this blog: The path to SAP S/4HANA: Are organisations underestimating the impact of FUE licensing?