Telecommunications company will leverage embedded software licensing and entitlement management system to reduce manufacturing costs and enhance product differentiation and customer service
Schaumburg, IL & Plano, TX - Sep 19, 2011 - Flexera Software, the leading provider of strategic Application Usage Management solutions for application producers and enterprises, today announced that Estech Systems, Inc. (ESI), an innovative designer and manufacturer of high-performance telephone systems for businesses and organizations, is implementing two Flexera Software licensing and entitlement management solutions, FlexNet Embedded and FlexNet Operations.
FlexNet Embedded enables intelligent device manufacturers to unlock new revenue streams by utilizing software licensing, pricing, and packaging to monetize intelligent devices using embedded software. It also streamlines supply chains by reducing the number of unique physical devices while increasing their usable life. FlexNet Operations empowers software vendors and intelligent device manufacturers to support new revenue models easily and efficiently while streamlining and automating complex back-office processes.
ESI's business phone systems have a licensing component enabling customers to purchase different features sets and functionality enabled via embedded software. The company works with a nationwide network of independent resellers who sell ESI's phone systems directly to end users. As technology and ESI's product lines have evolved, licensing of the embedded software has become increasingly important.
For example, ESI wanted a better understanding of where software licenses were installed, what was installed, and the duration of those licenses. "We wanted to provide automation for these processes, to give our Resellers more control to manage licensing on their own and to allow us to open up new revenue streams," said Tim Pickens, vice president of product operations at ESI.
Pickens said that, with a stable of talented engineers already employed, ESI considered developing its own licensing and entitlement management system, but added, "after looking at the resources we'd have to commit to developing and maintaining these processes internally, over the long run it made sense to acquire a third-party licensing and entitlement management system - to let the experts handle it."
FlexNet Embedded will enable ESI to deliver products with fewer base configurations, and leverage embedded software to enable resellers to activate and deactivate features to their customers' specifications. "This is where the software licensing component becomes valuable," said Pickens. "As we develop new products, we can use licensing to customize them to customer preferences, and use different licensing models, such as 30-day demo periods to enable customers to try out the products before they buy."
Moreover, ESI will use FlexNet Operations to automate back-office licensing processes, enabling the resellers to "self-serve," in order to fulfill customer orders more quickly. FlexNet Operations integrates with ESI's Sage MAS 500 ERP system, which will automatically generate license keys when orders come in. The reseller will then remotely log in to the system to enable the licenses, without requiring any manual intervention by ESI. Resellers will also be able to manage those licenses remotely, and receive critical reminders that will support more robust sales and support efforts. "Resellers can receive automated reminders notifying them when a license or maintenance agreement is about to expire, allowing them to be proactive about renewals," Pickens explained. "Additionally, we'll have better control over the licensing installed- base, which will help us generate more revenue."
"We're delighted to welcome ESI as a new Flexera Software customer," said Mathieu Baissac, vice president of product management at Flexera Software. "ESI is among a growing majority of intelligent device manufacturers that understand the power and potential of using software licensing and entitlements of embedded software as a core strategy to drive higher sales and profits. We are thrilled to be a strategic partner as they grow and evolve their product offerings."
Flexera is reimagining the way software is bought, sold, managed and secured. We view the software industry as a supply chain, and make the business of buying and selling software and technology asset data more profitable, secure, and effective. Our Monetization and Security solutions help software sellers transform their business models, grow recurring revenues and minimize open source risk. Our Vulnerability and Software Asset Management (SAM) solutions strip waste and unpredictability out of procuring software, helping companies buy only the software and cloud services they need, manage what they have, and reduce compliance and security risk. Powering these solutions and the entire software supply chain, Flexera has built the world’s largest and most comprehensive repository of market intelligence on technology assets. In business for 30+ years, our 1200+ employees are passionate about helping our 80,000+ customers generate millions in ROI every year. Visit us at www.flexera.com.
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