Oracle is one of the most widely used enterprise software solutions in the world today. From databases to middleware, Oracle powers some of the most critical business systems and processes in organizations of all sizes across various industries. However, running and maintaining Oracle-based environments can be complex and costly. This is where third party support for Oracle comes into the picture.
In this article, we will provide an in-depth look at Oracle third party support - what it means, its benefits and challenges, effective management strategies, and why it is becoming an increasingly popular choice for many businesses looking to optimize their Oracle IT investments.
Understanding Oracle Third Party Support
Before diving into the details of third party support for Oracle, let's start by understanding what exactly it means.
What is Oracle Third Party Support?
Oracle third party support refers to technical support for Oracle software and applications provided by vendors other than Oracle themselves. Instead of relying solely on Oracle for ongoing maintenance, troubleshooting and upgrade support for Oracle products, companies can choose to work with specialized third party vendors that offer similar services often at lower costs.
Third party support providers have become a major part of the Oracle support ecosystem in recent years. As per industry estimates, over 60% of Oracle customers currently use some form of third party support.
How Oracle Third Party Support Fits into the IT Support Landscape
Oracle third party support occupies an important middle ground in the spectrum of Oracle support services. On one end of the spectrum you have Oracle's own support offerings such as their Platinum Services. On the other end you have completely do-it-yourself maintenance and support. Third party support delivers the best of both worlds - expert assistance combined with flexibility and cost-efficiency.
The Landscape of Oracle Support
Oracle has a range of support offerings to meet different customer needs. At the same time, there are multiple approaches to third party support as well. Let's examine some of the key options.
Types of Oracle SupportOracle offers various support plans, primarily:
- Standard Support: This includes 24/7 access to Maintenance and Support experts via My Oracle Support portal, proactive tools and resources as well as software updates, fixes and security alerts.
- Advanced Support: In addition to the Standard Support offerings, this higher tier option provides customers with an assigned account manager for faster response times and proactive guidance.
- Oracle Platinum Services: This premium support offering is tailored for mission-critical systems. It provides rapid response times, dedicated team of experts and proactive account management.
In addition to support for on-premise Oracle implementations, third-party providers also offer support for Oracle's cloud platforms:
- Infrastructure as a Service (IaaS): Provides computing infrastructure resources on demand, such as storage, networking, and virtual machines.
- Platform as a Service (PaaS): Used for development, testing, deployment and hosting of applications in the cloud. Oracle cloud PaaS offerings include database, middleware, analytics, integration, developer services etc.
- Software as a Service (SaaS): Delivers fully managed applications in the cloud across ERP, HCM, CX, analytics and other business domains.
The Role of Third-Party Support
Third party support has become an essential pillar of the Oracle ecosystem. What are some of the key characteristics and advantages of Oracle third party support models?
Third-Party Support in DetailThird party Oracle support involves an external vendor providing assistance, maintenance and expertise for Oracle implementations. This typically includes:
- 24/7 incident submission and troubleshooting
- Patches and updates
- Upgrade guidance
- Performance tuning
- License advisory services
- Cost savings over Oracle support
Leading third party support providers have extensive experience across the range of Oracle products and can offer deep insights into optimizing your Oracle environment.
Benefits of Third-Party SupportHere are some of the most compelling reasons businesses choose third party support for Oracle:
Cost Savings: Third party maintenance costs are typically 50% or lower compared to Oracle's annual fees, translating to significant TCO reduction.
Specialized Expertise: Third party technicians receive focused training and accumulate expertise on specific Oracle applications or database versions. This allows them to provide tailored, in-depth support.
Flexibility: Customers have the freedom to choose specific support modules from third parties and can switch providers based on shifting needs.
Independence from Vendor: There is less reliance on the vendor's support roadmap, which may force upgrades on customers.
Faster Response Times: Oracle provides different service levels based on how much a customer pays. Third party vendors deliver quick responses regardless of pricing tier.
Control over Support Budgets: Useful for maintaining predictable support costs year-over-year.
License Management: Assistance with license compliance, optimization, and cost reduction.
Comparing Support Models
How exactly do Oracle's own support offerings compare with third party models? Let's examine some key differences.
First Party vs Third Party Oracle SupportProvided directly by Oracle
Provided by independent third party vendors
Typically higher cost
Significant cost savings of ~50% or more
Multiple pricing tiers based on response times
Same level of service regardless of contract size
Generic support across entire Oracle portfolio
Specialized expertise in specific Oracle applications
Follows Oracle's product roadmap
Flexibility to continue using current stable releases
May push customers towards upgrades
Unbiased guidance on most cost-effective solutions
Oracle Support Service OfferingsOracle's Technical Support team assists across a wide spectrum ranging from clarifying documentation to suggesting configurations to temporary hot fixes for urgent issues.
Some key support functions provided by Oracle include:
- 24/7 availability for severity 1 issues
- Unlimited service requests
- Knowledge base access
- Software updates and patches
- Upgrade scripts
- Certification exams and training credits
- Technical account manager
- On-site troubleshooting assistance
However, the extent of support ultimately depends on the dollar amount spent. The Platinum level offers a higher touch partnership model compared to Standard or Advanced.
Financial Aspects of Oracle Support
What are the costs involved in Oracle support and how do the payment models work? Let's find out.
The Cost of Oracle SupportOracle software maintenance and support fees are calculated as a percentage of the total license cost. This is typically around 22% per year for standard on-premise deployments.
So for example, if a company spends $1 million on Oracle EBS licenses, their yearly support cost would be $220,000. Over a 5 year period, support adds up to the same amount as the initial licenses.
Cloud deployments are based on a monthly subscription model and include support costs by default.
Oracle Payment TypesThere are three payment types related to Oracle support:
ACS - Annual Charges SupportThis applies to perpetual license purchases and provides one year of initial support. Future renewals are at Oracle's then-current fees.
TACS - Technical Annual Charges SupportFor legacy perpetual licenses, this fixed percentage is defined at time of purchase and remains constant for future support renewals.
CSS - Cloud Support SubscriptionFor cloud services, this monthly recurring charge grants continuous access and support throughout the subscription period.
Understanding these models is important for budgeting and cost optimization, especially when transitioning from on-premise to cloud.
My Oracle Support vs. Third Party Support
My Oracle Support (MOS) is Oracle's customer portal for self-service support. How does it compare with third party Oracle support?
My Oracle Support PortalThe MOS portal enables customers to:
- Access knowledge articles, white papers and best practices
- Search for solutions and workarounds
- Log and track service requests
- View license and contract details
- Download software patches and updates
However, the information is generic and not tailored to particular implementations. Response times can vary and direct assistance is limited.
Why Choose Third Party Support?Despite the resources on My Oracle Support, third party vendors offer some significant advantages:
- Lower Cost - Third party support costs a fraction compared to Oracle's 20%+ annual fees
- Faster Response - Direct access to support engineers who can immediately diagnose issues
- Personalized Service - Support is tailored to your specific Oracle environment and business needs
- Proactive Management - Regular checkups to identify potential problems before they occur
- On-Premise Expertise - Deep skills in maintaining legacy Oracle applications vs cloud focus
- License Advisory - Guidance on license optimization and ensuring compliance
Effective Management of Oracle Third Party Support
Managing third party Oracle support brings some unique considerations. Let's discuss best practices to maximize the benefits while navigating potential challenges.
Overcoming Implementation and Integration ChallengesTransitioning to third party support requires careful change management:
- Analyze support requirements and customize offerings rather than opting for fixed bundles
- Phase in support areas gradually based on priority to allow proper knowledge transfer
- Establish processes for coordination between in-house team and vendor technicians
- Integrate support ticketing and maintenance workflows between provider systems and internal ITSM tools
Follow these guidelines for optimal outcomes when leveraging Oracle third party support:
- Set clear SLAs covering response times, resolution targets, reporting and escalation
- Focus support on high-value applications - EBS, Siebel etc rather than peripheral tools
- Define procedures for security, accessing systems, and keeping software updated
- Enable remote access through virtual private network (VPN) to facilitate real-time troubleshooting
- Regularly review and provide feedback on vendor performance and improvements
Third party access to systems can increase security risks and compliance concerns. Mitigate these by:
- Vetting provider thoroughly including audit of their security and compliance posture
- Encrypting data during transmission and at rest
- Restricting access to only necessary systems with minimum required privileges
- Using Multi-Factor Authentication (MFA) for any remote access
- Confirming provider has Cyber Liability Insurance coverage
- Conducting background checks for personnel assigned to support
- Including security requirements and responsibilities in contract
The Future of Oracle Support
What lies ahead for Oracle third party support? How should customers evaluate providers and offerings to choose the right fit?
Trends and Predictions in Oracle Third Party Support
Here are some likely developments to expect in the Oracle third-party support space:
- Decline in traditional on-premise deployments will shift focus towards cloud and hybrid models
- Support for customizations and integrations will become more critical as environments get more complex
- More specialized services around analytics, security and compliance
- Consolidation of vendors as market matures
- Increased usage of automation and AI to improve efficiency and speed of support
Selecting the Right Third Party Support for Your Needs
Consider the following factors when evaluating third party Oracle support partners:
- Level of expertise with specific Oracle applications and versions
- Ability to understand and support your unique customizations
- Third party partner ecosystem and ability to coordinate support across integrated tools
- Flexibility and pricing models - avoid lock-ins or rigid bundles
- Capabilities around cloud migration, hybrid deployments, and multi-cloud management
- Cultural fit and ability to establish long-term, strategic relationship
Conclusion
In today's complex, rapidly evolving technology landscapes, most organizations find it necessary to leverage third party support in order to get the most from their Oracle investment while containing costs.
Specialized Oracle support partners can deliver superior incident resolution, ease maintenance burdens, and unlock cost savings - provided you choose the right provider and manage the relationship effectively.
By understanding the ecosystem of Oracle support, when and how to use third party services, and best practices around security and integration, enterprises can optimize their Oracle environments and enable innovation.
While Oracle third party support necessitates careful change management, the long-term benefits of flexibility, performance, and cost reduction are too compelling to ignore. As more businesses take the leap, third party Oracle support will inevitably become a standard part of the enterprise IT toolkit.
Author - Jeff Parcheta is a Sales Director at Chetu Inc., a global, custom software development company, overseeing the Facilities Management, Residential Services, Insurance, Construction, Modeling, Drafting, and AI & Machine Learning accounts. A graduate of both the University of Texas at Arlington and Nova Southeastern University, where he received his MBA, Jeff joined Chetu in 2020, where he has built a reputation as a thought leader and industry expert within the IT community. Jeff has risen through the sales department ranks, helping the company grow into an award-winning organization.
