SNCF's Experience Feedback

“With Softcorner, you are guaranteed that the licenses offered are completely valid and of quality.”

Software sourcing director for the SNCF group since 2017, Philippe Berquin previously held a more operational role as regional director of TER. Thus, he approached his new responsibilities with a completely different perspective, particularly regarding relations with publishers. The second-hand market then offered him a legal and secure alternative to 'classic' licenses. 

What is your approach to software sourcing?

My primary challenge is to manage compliance and software usage concerning acquired rights. My team and I also need to ensure contract management over time. I am very surprised by the software ecosystem. Indeed, in my previous roles, I was used to managing large purchase volumes, which could represent up to 100 million euros per year, and conducting constructive negotiations with suppliers. But the relationship with publishers is very different and much more focused on profit maximization. This led my team (composed of about ten people) and me to rethink how we could achieve cost savings.

What assessment have you made of your software assets?

We mapped our software assets and realized we had purchased licenses under commercial pressure that we did not need. Either some applications were useless, or they contained features that we did not need. In other cases, the publisher did not inform us that the solution included paid options whose cost exceeded our budget.

What options did you consider then?

We conducted an internal audit of our needs. Subsequently, we terminated several contracts, contracted with new European publishers, and especially found alternative solutions like open source. In parallel, I became interested in this second market that I did not know. We then focused on studying the legal issues to ensure that the purchase of second-hand licenses was indeed legal and to avoid any challenge from publishers. At the same time, we needed to acquire a few hundred Microsoft Project and Visio licenses. It was a great opportunity to test the second-hand license market. And this first test conducted in 2018 fully satisfied us.

Why did you choose to work with Softcorner?

My team had already been in contact with Softcorner. We conducted a market study and compared their rates and product availability with their competitors. They were better positioned. They also reassured us a lot about the quality of the licenses and were very attentive. And we are delighted to work with a French company.

Since this first test, have second-hand licenses found their place in your processes?

Absolutely. In 2019, as part of an office license renewal imposed by the publisher's roadmap at a prohibitive rate, we decided to seek an alternative supply source for several tens of thousands of licenses. Despite the risk of friction this could cause with the publisher, we launched a European call for tenders... won by Softcorner.

Does the Softcorner platform represent a new purchasing support?

Not exclusively. We also sell our surplus licenses through this system, notably database licenses. Here again, we appreciated Softcorner's professionalism in ensuring the validity of the licenses offered.

What return on investment have you observed?

The first benefit is financial. We have been able to achieve more than 50% savings thanks to second-hand purchases. However, monitoring compliance is more complicated because these licenses create a new sub-software park within the park usually managed by the official publisher. But for years, I have shared my doubts about the 'classic' licensing model. As a result, the second-hand solution was very well received.

“Software maintenance costs are increasing every year while the level of service offered does not evolve. My role is also to raise awareness internally among the different stakeholders.”

What recommendations would you make to your peers?

My first advice is not to hesitate to go for it... but not with just any company. It is necessary to pay close attention to what you are buying and to take the time to get all the guarantees from the broker and the seller. Also, check, if it is your wish, that you can apply maintenance over time. With Softcorner, you are assured of the quality of software sources.

What are the next possible steps?

One of the main interests of these marketplaces is to still offer on-premise licenses while perpetual licensing is disappearing. But the fear lies in the risk of blockage in the coming years due to the subscription model. Subscriptions move to named users, thus not available for resale. Within the SNCF group, we regularly have projects 'eligible' for second-hand. Therefore, we closely monitor this second market based on our occasional needs and planned purchases in 2021.

The 3 key points

• The price: second-hand purchases not only allow you to buy at the best price but also reduce additional costs related to changes in publishers' roadmaps.
• A legal and secure alternative to reduce the share of major publishers in the company's software park.
• The availability of products that are no longer maintained by the publisher but which you need.

Key figures

• First test conducted on the purchase of 500 Microsoft Visio and Project licenses.
• European call for tenders carried out on a software scope of several tens of thousands of licenses.
• Approximately 50% savings achieved.