This piece takes a deep technical look at the topic. If you’re looking for a shorter summary, you can find it here.
Managing SAP licenses is often a complex task. Organizations must balance compliance requirements with cost control across different license types, user roles, and increasingly hybrid IT landscapes. Tools like SAM4U aim to simplify this process by providing visibility into usage and license allocation, especially for organizations preparing to transition to S/4HANA.
The following visualizations collectively provide a comprehensive overview of SAP user classifications, license utilization, and system user management:

(Picture 1 – Dialog & Licensed Users Overview (Source: SAM4U Demo)

(Picture 2 – Classified/Dialog Users & User Types Overview (Source: SAM4U Demo)

(Picture 3 – Inactive & Locked Users Overview (Source: SAM4U Demo)

(Picture 4 – Deleted & Developer Users Overview (Source: SAM4U Demo)
Beyond user classifications, SAM4U provides a structured set of views and tables that enhance transparency into license entitlements, usage, and consumption across SAP environments. These capabilities offer organisations a detailed snapshot of their current state – a crucial first step toward understanding how licenses are allocated and consumed.
Picture 5 displays your current Engine Licenses versus usage based on the SAP System Measurement Program. By clicking on the folder icon, users can view purchased licenses and compare actual usage against entitlement.

(Picture 5 – Measurable Engines Overview (Source: SAM4U Demo) )
Picture 6 presents indicators for engines identified as active in specific scenarios:

(Picture 6 – Indicators for Engines identified Overview (Source: SAM4U Demo)
Picture 7 lists Engine Licenses that are not automatically measurable by the SAP System Measurement Program, requiring manual verification through self-declaration. By clicking on the folder icon, purchased licenses are displayed, and the edit button allows entry of the self-declared usage quantity.

(Picture 7 – Self Declaration Products Overview (Source: SAM4U Demo)
While SAM4U provides these detailed overviews, it’s important to note that the tool does not quantify the risk exposure or surplus value resulting from discrepancies between measured usage and purchased entitlements. Likewise, for self-declaration products, SAM4U identifies where manual input is needed – but it does not offer clear instructions or methodologies for measuring those licenses correctly.
That’s where JNC adds tangible value. Our dedicated license and compliance team provides risk quantification, entitlement variance analysis, and guided measurement support for self-declaration products. We help you understand not just what the data shows, but what it means – and how to act on it efficiently.
This overview is divided into three tabs, providing different perspectives on your license portfolio:

(Picture 8 – Overview of license entitlements with purchase history grouped by material and sales order (Source: SAM4U Demo)
These tabs can be populated by uploading a Customer License Entitlement file through the Administration section.
Note: Tabs 2 and 3 are only available when CLE data is obtained from an SAP Contact Person. If CLE data is sourced from SAP for Me, only the first overview tab will appear due to the structure of the exported dataset.
Terminated and Extension Licenses (picture 9) provide a view of all licenses that have either expired or been consumed through extension policies. These are excluded from active entitlements, ensuring an accurate license baseline.

(Picture 9 – Terminated & Extended Licenses Overview (Source: SAM4U Demo)
Picture 10 displays current Licensed versus Measured Units based on the SAP System Measurement Program’s output. By clicking on the folder button, users can view purchased licenses and identify variances between allocated and consumed quantities.

(Picture 10 – Users License Consumption Overview (Source: SAM4U Demo)
This view highlights potential overallocations or underutilizations but does not explain why those variances occur or how to correct them. At JNC, we extend beyond visibility by performing root-cause analysis and optimization modeling to help rebalance license assignments and reduce cost exposure across the SAP landscape.
When an organization is licensed under the ECC Named User License model (e.g., SAP Business Suite / SAP Application Professional User), SAM4U visualizes how legacy users would map to the S/4HANA Enterprise Management User model (e.g., S/4HANA Enterprise Management for Professional Use), based on SAP’s ruleset.

(Picture 11 – User mappings and classifications under ECC or S/4HANA license models (Source: SAM4U Demo)
Picture 12 displays users and their mapping from the current classification to the target classification (S/4HANA or PCE-RISE). This mapping is based on the assigned authorizations and the active ruleset configured under Administration → Authorization Ruleset Management.

(Picture 12 – Authorization Analysis Overview (Source: SAM4U Demo)
Even with this comprehensive mapping, SAM4U does not provide migration guidance, cost impact simulation, or business justification for license reclassification. This is where JNC supports the process by using SAM4U’s diagnostic data together with our modeling tools and SAP expertise to quantify migration costs, identify optimization options, and guide compliant user reclassification as part of an S/4HANA transition plan.
Transparency is SAM4U’s greatest strength. The tool consolidates license information across systems into intuitive dashboards, providing a clear overview of:
This visibility is especially useful for organizations in the early stages of migration or planning, helping them establish a baseline, identify risks, and detect inefficiencies before moving to S/4HANA.
Additionally, SAM4U supports hybrid environments, combining on-premises and cloud data for a unified, cross-system perspective—an increasingly valuable capability for complex SAP landscapes.
While SAM4U’s diagnostic features are robust, it stops short of delivering actionable optimization.
Key weaknesses include:
In summary, SAM4U is an excellent diagnostic tool, but not a complete license management solution. It highlights what’s wrong, not how to fix it.
This is where JNC adds value by transforming SAM4U’s diagnostic insights into actionable, cost-focused outcomes.
Our expertise spans the full lifecycle of SAP license and security management, including:
In practice, SAM4U provides the visibility; JNC applies the analysis and action needed to convert that visibility into savings, compliance, and control.
| Item | Details |
|---|---|
| 1. License Classification Review |
Organizations use SAM4U to identify users who have been automatically assigned to high-cost licenses, preventing avoidable expenses. The challenge is that remediation still needs to be done manually. JNC extends this process by performing detailed user reviews, mapping business functions to roles, and implementing tailored authorization frameworks that improve both security and compliance. |
| 2. Migration Planning Baseline |
SAM4U supports S/4HANA preparation by offering a consolidated view of current licenses and gaps. However, it cannot model alternative migration paths or simulate financial impact. JNC builds on this foundation by creating cost scenarios, benchmarking license spend, and designing optimized S/4HANA transition strategies that deliver both financial and operational readiness. |
SAM4U provides a strong foundation for understanding your SAP environment. Its dashboards and consolidated reporting bring valuable transparency to license usage and user management. Its limitations, including minimal automation, basic reporting, and the absence of predictive modeling, mean it should not be treated as a complete solution. For organizations operating complex or hybrid SAP landscapes, visibility alone is not enough. Sustained optimization, proactive planning, and audit readiness require specialist support.
JNC operates in this space by turning visibility into value, compliance into confidence, and data into decisions that lower total cost of ownership.
Sources
This article was written by Valeria Pulbere and Martin Ridos.
Connect with them on LinkedIn to stay informed on SAP licensing, commercial strategy and security best practices.
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