Historically, contract negotiations for JMP products were handled directly by SAS or by representatives in 17 different SAS licensing groups around the world. Now that JMP is a subsidiary of SAS, either JMP Legal or JMP Business Operations is handling all negotiations. As a result, both departments are stretched very thin as contracts are transitioned and new customers are acquired. To streamline and standardize the contracting process across all countries and territories, there have been significant procedural changes.
In an effort to simplify and accelerate the execution of commercial contracts (which, by definition, excludes government and academic contracts), the following policies apply:
- There will be no negotiations for contracts under US$100K. For countries using JMP First Systems, these contracts will be on JMP UTOFs, where standard terms always apply. Mark-ups are not allowed. This will apply to all countries in 2024 as they transition to JMP First Systems.
- UTOFs should not be used as a “quote.” All business terms (such as quantities and fees) should be agreed upon by the customer and Sales prior to issuing the UTOF.
- While negotiations are allowed for contracts over US$100K, they are discouraged. Engaging in negotiations can significantly extend the process, often by 90 days or more.
- Under NO CIRCUMSTANCES should JMP sales representatives suggest or provide mark-ups to JMP or SAS UTOFs. Any changes to the terms can only be suggested by the customer.
If the customer insists on negotiating on contracts over US$100K, there are a few parameters:
- JMP would prefer that the negotiation be between the customer’s legal department and JMP Legal.
- If that’s not possible, please ensure that the customer’s contract manager has the authority to negotiate contract terms.
- Reasonable terms will be considered.
- Due to the considerable workload that transitioning to a subsidiary has placed on JMP Legal, JMP Business Operations is empowered by JMP Legal to negotiate terms in some cases. All negotiations will revert to JMP Legal once the transition is complete.
- Do not suggest that a customer consolidate existing contracts to cross the US$100K threshold. Customers may request that they be consolidated, but any such requests must originate from them.
- While JMP sales representatives may continue to negotiate business terms (such as price, number of users, etc.), they should not be involved in negotiating nonbusiness contract terms (such as liability, indemnity, payment terms, etc.).
Please advise customers that negotiating contract terms can significantly slow down their access to JMP products. Remind them that it is in their best interest to accept the terms as presented, since very few new terms will be accepted.
As always, you can find this information, as well as other sales policies, on this Confluence page. Please bookmark it so you can refer to it as questions arise. You may also leave questions in the comments here or ask your manager.
