Categories: Licensing

Driving Business Growth through Strategic System Integration

Software monetization is already key for the commercial success of many businesses, and it is only gaining in importance as the world is getting increasingly digital. The optimal integration of a licensing solution into existing systems has become a basic element for any efficient process from when an order is first received to when a license is delivered and activated.

Monetization matters – everywhere

One rule applies to both traditional software businesses and industry enterprises that have come to realize how software is becoming increasingly important for configuring and controlling their machines: The effective and flexible monetization of their software is key for their commercial success. They need to know that their software’s licenses cannot be broken and their IP pirated. And they need to have licensing models that can follow the changes in the markets and adapt to different local requirements.

Software licensing affects businesses in virtually every respect. It concerns many different stakeholders:

  • The sales team needs to define the licensing models for products and brands in consultation with product managers.
  • Developers need to integrate the license queries into the products.
  • Order processing is in charge of taking in orders, and this includes creating the required licenses.
  • Licenses need to be delivered to the end users via the right internal processes.
  • Support needs to know which licenses are active in the field to handle certain jobs or customer queries, e.g. when a user needs to replace a device.
  • Product managers can benefit from insights they gain from statistics about licensing in the field.

All of these stakeholders and all of these perspectives create certain requirements that a licensing system needs to fulfill, all seamlessly integrated into new or existing backend processes.

Automation is the Answer

One decisive factor when it comes to managing and delivering licenses to customers is automation, and lots of it. Every manual intervention in the process costs time and money and introduces a degree of uncertainty. Ideally, an order should be processed completely automatically from the moment it is received. Automated delivery processes should be in place so that licenses can be created and dispatched to the end users, who can then activate them on their devices. This is the exact purpose of CodeMeter License Central, integrated with existing back office systems. These can be internal systems or even external e-commerce systems, which allow even more automation, as it can handle the automated sale and distribution of software (and the right licenses) anywhere and at any time.

CodeMeter License Central

CodeMeter License Central is the powerhouse that takes charge of all the processes for managing and delivering licenses. Its database includes all products with the product IDs they also have in the seller’s order processing systems. That back office system handles all the data about the customer, and CodeMeter License Central all the data related to the licenses. The main job for the license management system: Providing an activation code (ticket ID) for the end users that they can use to activate the licenses after delivery.

The process is simple: Once an order has been received by the ERP / CRM system, CodeMeter License Central is given the basic information it needs to create a ticket: the customer ID, the order number, and details about which licenses are needed (1). CodeMeter License Central then creates a unique ticket ID that entitles the user to receive the license, and it returns that ticket ID to the back office system in the lead (2). Defined internal processes then spring into action and send the ticket ID to the end user, e.g. as a delivery note with the ID included or directly as an email (3). The end user then uses this ticket to activate the licenses on the target device. The seller, i.e. the license provider, can also use CodeMeter License Central to define whether the licenses can be delivered on a CmDongle, in a software CmActLicense, or a CmCloudContainer, or any combination thereof. The same mechanism applies both for the initial activation of a license and for later updates in the field.

Interfaces Aplenty

The market for ERP and CRM products is very diverse. Still, the requirement for CodeMeter License Central is that it should be seamlessly integrated in every case. To do so, it comes with integration interfaces on board that can be used by all back office systems to communicate with webservice interfaces. The functions and data of CodeMeter License Central can also be manually integrated into existing systems. The most common and most important of these are the functions for creating ticket IDs and for end users activating licenses. Connectors (C) can be used to create ticket IDs, and Gateways (G) can be used to activate licenses provided with a ticket via a license portal in a common web browser or via WebDepot. Using a license portal also gives end users the added ability to manage their active licenses themselves.

The activation process can even be integrated directly into the software itself by using the Activation Wizard. The choice of options is wide and varied, as illustrated here. Represented above in the red frame, CodeMeter License Central is provided as a virtual machine, which can be located in the license provider’s / ISV’s data center or hosted as a service by Wibu-Systems. Different packages are available to match the required level of performance and availability. Irrespective of the actual location, both internal and external back office systems integrate easily with CodeMeter License Central.

With the Generic Connector (C) included in the CodeMeter License Central Internet (on premise) package or hosted (Dedicated Server Edition and above), license providers can handle integration with an ERP / CRM system either themselves or via an integrator. Alternatively, the Professional Service Team of Wibu-Systems is available for support.

Our partner INFORMATICS has prepared a fully fledged and easily configurable module for integrating SAP systems.

The Art of Integration

A smart and efficient integration of back office systems and CodeMeter License Central allows an exceptional degree of automation in the creation, delivery, and management of licenses. Flexible licensing solutions can boost software revenue and, at the same time, reduce processing costs for the business – a genuinely integrated win-win solution.


KEYnote 47 – Edition Spring/Summer 2024

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