Microsoft Select Plus Licensing:
- Perpetual Licensing: Allows organizations to purchase licenses with no expiration.
- Flexible Purchasing: Buy only what you need when you need it.
- Enterprise-Wide Coverage: Ideal for large organizations with multiple business units.
- No Agreement Expiration: Unlike EA, Select Plus has no fixed term.
- Centralized Management: Consolidate purchasing across departments for easier tracking.
What is Microsoft Select Plus Licensing?
Microsoft Select Plus Licensing is a volume licensing program for medium—to large organizations. It was introduced to offer a flexible, scalable, cost-effective licensing solution for enterprises that manage software across multiple departments or locations.
The Select Plus program’s flexibility ensures that organizations can adapt as their software needs change without being constrained by traditional license contracts.
Unlike other licensing programs, Microsoft Select Plus Licensing has no fixed expiration date, making it ideal for organizations with ongoing software requirements.
The program is particularly well-suited for companies with a decentralized purchasing structure where different departments may need to acquire licenses independently but still want the benefits of a consolidated agreement.
Benefits of Microsoft Select Plus Licensing
Microsoft Select Plus Licensing offers several key benefits that cater to large-scale operations, particularly those with complex or evolving requirements:
- No Agreement Expiry: Unlike standard Microsoft Enterprise Agreements, Select Plus licenses do not have a specific end date. This feature allows for continued usage without the hassle of renewing contracts every few years.
- Cost Efficiency: Select Plus offers volume-based discounts, meaning organizations can leverage their purchasing power to get the best prices for software. If a company buys more licenses over time, they get higher discounts.
- Centralized and Decentralized Purchasing Flexibility: This program works well for companies with multiple branches or divisions, allowing them to buy licenses individually while benefiting from a single, centralized agreement.
- Simple License Management: Select Plus allows for easier license management through tools like the Microsoft Volume Licensing Service Center (VLSC), where organizations can track, manage, and review all license purchases centrally.
How Does Microsoft Select Plus Licensing Work?
Microsoft Select Plus Licensing offers an effective solution for enterprises that require flexibility in their software purchasing.
Below, we will review how this program works and why it benefits certain organizations.
- Volume Licensing Tailored for Growth
Select Plus Licensing allows companies to purchase licenses incrementally based on their current needs while getting benefits for future growth. For instance, if a company expects to grow its workforce over the next few years, it doesn’t need to immediately commit to large, upfront purchases. Instead, it can scale the license purchases to match the current headcount and add more licenses as the company expands.
Example: Imagine a manufacturing company with central and multiple regional offices. The IT department at headquarters may purchase enterprise software licenses for core personnel. As regional offices grow, they can purchase additional licenses under the same agreement, allowing for a consistent software standard across locations.
Consolidated Agreements for Large Organizations
One challenge for large organizations is that different departments often operate independently, each making its software purchases. Microsoft Select Plus Licensing simplifies this by consolidating all licenses under a single agreement.
This is particularly useful for organizations that wish to streamline procurement and ensure that each department is compliant and running the latest software versions.
Example: A university with separate IT budgets for each faculty can use Select Plus Licensing to ensure all departments purchase their licenses under a single agreement. This keeps pricing consistent and helps with compliance by using the same terms across the university.
Purchasing and Discounts
Discount tiers are a major part of Microsoft Select Plus Licensing. The program applies volume-based pricing across the entire organization. The more licenses a company buys, the greater the discount, regardless of which department makes the purchase.
This means even smaller groups within a large organization can benefit from lower pricing due to collective purchasing power.
Key Points About Discounts:
- Points-Based Discount Model: Microsoft applies discounts based on the number of points accumulated by license purchases. Products accrue different point values, but discounts are unlocked for future purchases once the overall point total reaches a certain threshold.
- Enterprise-Wide Benefits: All departments and affiliates enjoy the benefits of accumulated points, meaning there is no need to negotiate separate discounts for every new license.
Tracking and Managing Licenses with Microsoft Select Plus
Effective license management is important for maintaining compliance and optimizing costs. Microsoft Select Plus includes tools that make license tracking straightforward.
- Microsoft Volume Licensing Service Center (VLSC): VLSC is the primary platform for managing licenses under the Select Plus agreement. Through VLSC, organizations can:
- View License Agreements: Gain visibility into current licensing agreements, enabling better forecasting and budgeting.
- Track Software Assurance: Monitor any acquired Software Assurance benefits, such as technical support or new version rights.
- Generate Reports: VLSC can generate various reports, making it easier to provide information to stakeholders.
Software Assurance and Microsoft Select Plus
Another key feature of Select Plus is Software Assurance (SA), an optional add-on that provides significant additional benefits to license holders.
Benefits of Software Assurance:
- New Version Rights: Organizations can upgrade to the latest versions of licensed software without incurring additional costs.
- Training and Support: Software Assurance includes training resources and tech support, which can be particularly helpful for IT staff needing to roll out new systems.
- Disaster Recovery: It also provides access to cold backup and recovery options, ensuring critical services can be restored if disaster strikes.
Example: A financial services company using Microsoft SQL Server under Select Plus can use Software Assurance to upgrade to newer versions as they become available, ensuring that they are always running a secure and optimized version.
Differences Between Microsoft Select Plus and Other Licensing Programs
To better understand where Select Plus fits within Microsoft’s licensing landscape, let’s compare it to other options:
- Microsoft Enterprise Agreement (EA)
The Enterprise Agreement typically targets larger organizations with 500 or more users or devices, requiring predictable licensing over three years. Unlike Select Plus, EA:- Requires a Three-Year Commitment: EA has a fixed three-year term, making it less flexible for companies with fluctuating employee counts.
- All-in-One Purchasing: EA generally involves purchasing licenses for the entire organization in bulk, which is efficient for some but can be too rigid for others.
- Select Plus, on the other hand, offers greater flexibility. It allows departments to make purchases as and when needed without pre-committing to fixed quantities.
- Microsoft Open License
The Open License program is typically aimed at smaller organizations needing to purchase fewer licenses. Key differences include:- Low Entry Requirements: Open License is ideal for smaller purchases, whereas Select Plus is for larger enterprises.
- Limited Scalability: The Open License program does not scale as effectively as Select Plus, which offers volume discounts and a more integrated purchasing model.
Who Should Choose Microsoft Select Plus Licensing?
Microsoft Select Plus Licensing is ideal for specific types of organizations, particularly those that need a mix of centralized and decentralized purchasing flexibility.
- Large Enterprises with Decentralized Purchasing: Select Plus is ideal if different departments within your company want to manage their purchasing but still wish to leverage centralized agreements for cost savings.
- Educational Institutions: Universities with various departments and software needs benefit significantly from Select Plus. The consolidated purchasing model ensures all departments receive volume-based pricing without needing separate agreements.
- Government Agencies: Similar to large enterprises, government bodies with different branches and functions can benefit from Select Plus because it consolidates license agreements while still allowing individual units autonomy.
How to Get Started with Microsoft Select Plus Licensing
To begin with Microsoft Select Plus Licensing, follow these steps:
- Evaluate Your Needs: Conduct an internal review of your organization’s current and future software needs. Consider questions like:
- How many licenses are required across departments?
- Are there plans for growth or additional locations?
- Contact a Licensing Partner: Contact a Microsoft Licensing Solution Provider (LSP). These partners can provide expert advice on the right configuration for your needs and help facilitate the acquisition of the appropriate Select Plus Agreement.
- Set Up in VLSC: Once you have signed the Select Plus Agreement, you will use the Microsoft Volume Licensing Service Center (VLSC) to manage and track your purchases, add new licenses, and use Software Assurance benefits.
FAQ for Microsoft Select Plus Licensing
What is Microsoft Select Plus Licensing?
Microsoft Select Plus Licensing is a program designed for large organizations that buy licenses as needed without a specific contract time frame.
Who is eligible for Microsoft Select Plus Licensing?
Organizations with at least 250 devices or users are eligible for Microsoft Select Plus Licensing.
How does Microsoft Select Plus Licensing work?
It allows organizations to purchase licenses whenever needed and manage all licenses across departments or locations under a single agreement.
What are the benefits of using Microsoft Select Plus Licensing?
The program allows users to buy licenses as needed and provides consolidated reporting, making it easier to manage licensing across different departments.
How do you track Microsoft Select Plus Licensing purchases?
All license purchases are tracked and reported in a centralized agreement, helping organizations manage and monitor their assets efficiently.
Is there an expiration date for Microsoft Select Plus Licensing?
No, the licensing agreement does not expire, and organizations can continue to purchase and manage licenses as long as needed.
How is the cost determined for Microsoft Select Plus Licensing?
The cost is determined based on the number of licenses purchased and the types of products the organization selects.
Can I combine licenses from different departments under Microsoft Select Plus?
The program allows multiple departments or locations to purchase and manage licenses under a single agreement.
What happens if my organization grows or shrinks?
Microsoft Select Plus Licensing is scalable, allowing organizations to add or reduce licenses as their needs change without renegotiating the agreement.
Is software assurance available with Microsoft Select Plus Licensing?
Organizations can include Software Assurance, which provides access to the latest software updates and support services.
How does Microsoft Select Plus Licensing handle compliance?
The program simplifies compliance by offering centralized management and reporting of all licenses under one agreement, reducing the risk of errors.
Is technical support included with Microsoft Select Plus Licensing?
Technical support is not included by default but can be added through separate support agreements or Software Assurance.
What products are available through Microsoft Select Plus Licensing?
The program makes a wide range of Microsoft products, including Windows, Office, and server software, available.
Can I move my licenses to the cloud under Microsoft Select Plus Licensing?
The program supports transitioning to the cloud, allowing organizations to shift licenses to cloud services like Microsoft 365.
How do I renew my Microsoft Select Plus Licensing agreement?
Renewals are unnecessary since Microsoft Select Plus Licensing is an open-ended agreement without a set expiration date.