SAP introduces a new concept of pricing for consulting

We live in the era of data, digital data to be precise. That’s why old and outdated approaches are going, and new approaches are leading their way to the top of the hype.

Many may see SAP as an old company, which has 40+ years of experience in ERP market. But still, SAP changes. You can see it in the product range. You can see it in the pricing policies.

Nobody is surprised now when SAP builds its pricing policy on data consumed, processed and stored in the system, rather than by an outdated “user” or “time consumption” methodology. SAP users are paying their license fees by number of sales order line items, by turnover gone through Treasury module, and so on.

It comes to no surprise that SAP is also changing the way how consulting works are charged. Are you a consultant working for a customer? How are you charging your customer? By hour or by day? That is yesterday’s methodology. Do you have a fix-price deal? That is last century! Forget about that!

New recommendations by SAP is to charge the customers by volume of work the consultant does, and it can be measured by strict system tools. Let’s have a look at some of these recommendations:

ABAPers

Charge by the line of ABAP code produced. Every single line counts, except for comments starting with an asterisk (*) sign. Yes, if you comment by the old statement trick “IF 1=2.” your work still counts as chargeable. But any comments with * should be dropped as a waste of time and money. At the end of the day, who does need comments in ABAP?

FICO consultants

Charge by the table entry you put in the transport. Every record counts, except for table T001, because creation of Company Codes is a too rare process anyway. It does not matter if you deleted the record afterwards, and they are not going to be transported anywhere. As long as it is in the transport, it is chargeable.

Logistics consultants

Same as above for FICO consultants, you should be charging by records in the transport. The only exception here are condition records. They are charged as double price. The condition records with user-exits in them are charged as triple price. You can see that having these conditions not only allow you to charge customers more for yourself, but also creates work for ABAPers. No matter if a standard condition can be used instead. Create a new one and earn money!

Once you charged the customer and got the payment, it will be a time to relax and have some well-deserved rest. SAP Expert already gave you an idea.

It is an interesting concept, isn’t it? Do you want to learn more – read here.