Negotiating Workday Adaptive Planning Contracts: Top 15 Priorities

Negotiating Workday Adaptive Planning Contracts: Top 15 Priorities

Negotiating a Workday Adaptive Planning contract – whether a new purchase or a renewal – requires careful attention to detail. Procurement leaders, IT asset managers, CIOs, and finance decision-makers should approach these deals like a Gartner-style negotiation playbook, focusing on key terms that drive cost and value.

Below are the top 15 negotiation priorities, each with why it matters and what to ask. These insights apply to net-new contracts and renewals, ensuring you secure the best terms for your organization.

1. License Metrics

Summary: Understand exactly how Workday Adaptive Planning is licensed. Workday often uses a combination of named user licenses and Full-Service Equivalent (FSE) worker counts (i.e., your employee headcount) to price Adaptive Planning. Misjudging these metrics can lead to overpaying or compliance issues later.

Why it Matters: License metrics determine your cost baseline. For example, Workday Adaptive Planning is typically priced by the number of users and company size. If metrics like employee count (FSE) or user roles are misdefined, you might pay for capacity you don’t need or risk non-compliance if you exceed limits.

What to Negotiate/Do:

• Define Metrics Clearly: Ensure the contract defines each metric. If it’s based on FSE (full-time equivalent employees), clarify how that’s calculated. Insist that part-time, seasonal, or contract workers count only fractionally toward FSE (e.g., a part-timer = 0.5 FSE). This can dramatically reduce your counted headcount.
• Validate Vendor Calculations: Ask Workday to show how they arrived at your FSE or user count. Request a breakdown of workers by category and weight (full-time, part-time, etc.) used to compute FSE. This transparency lets you verify the numbers and ensure they reflect reality.
• Right-Size the Baseline: Negotiate the baseline number of users/FSEs you commit to. Don’t let Workday set an unrealistically high baseline. Use your current data (and growth plans) to land on a fair starting point. If Workday’s proposal assumes a higher headcount, push back with actual figures.
• Example: If you have 1,000 employees but 200 are part-time or seasonal, negotiate to count those at a partial rate (like 50% or less). This way, your billable FSE might be, say, 850 instead of 1,000, saving significant costs without sacrificing functionality.

2. Forecasting vs Actual Usage

Summary: Workday contracts often lock you into a certain usage volume (users or FSEs) for the term. The key is to balance what you forecast your usage versus what you might use. This priority is about building flexibility if reality differs from projections.

Why it Matters: Your organization’s size or needs might change through growth, layoffs, or restructuring. Workday’s standard terms typically do not allow reducing your license count mid-term, even if your workforce shrinks. Conversely, if you grow faster than expected, you want predictable costs for the extra usage. Misalignment here can mean paying for unused capacity or getting hit with unexpected costs for additional users.

What to Negotiate/Do:

• Avoid Over-Commitment: Don’t over-forecast your needs to appease the vendor. Start with a realistic baseline and consider negotiating a phased approach if you expect to ramp up (e.g., commit to 500 users now, with an option to grow next year). This prevents paying for “shelfware” (unused licenses).
• Growth Allowances: If you anticipate growth, negotiate pre-defined expansion pricing. For example, include a “growth band” clause where the extra users are priced at a discounted rate if you exceed your baseline by, say, 10% or 20%. Workday has provided growth discount tables when asked (e.g., 10% over baseline at 2% discount, 50% over at 10% discount) – secure this upfront. If you hire more staff than expected, you won’t pay the full list price for the overage.
• Rightsize at Renewal: Negotiate the ability to adjust to actual renewal usage. Insist on a provision to reset your FSE/user count to current levels at renewal (or at least allow a % reduction) if your usage drops. This protects you from being stuck paying 1,000 users when you only have 800. If Workday resists, remind them that a competitor’s quote would be based on your lower count – leverage that to argue for a reset.
• True-Down Options: While true “usage down” adjustments mid-term are rare, you can ask for financial relief if there’s an extreme downturn. For instance, if a divestiture or pandemic cuts your workforce by 30%, ask Workday for a pricing adjustment or credit due to the unforeseen change. They may not agree on the contract, but raising it sets the stage for a conversation if that scenario occurs.
• Example: One company facing a renewal found Workday had overprojected its headcount growth. They negotiated the numbers down to more realistic levels, which avoided unnecessary costs. Always challenge overambitious usage projections—your contract should reflect actual business plans, not vendor optimism.

3. Pricing Tiers and User Bands

Summary: Workday’s pricing often uses tiers or bands – the per-user (or per-FSE) price can decrease as you buy more. Negotiating insight and advantage on these volume pricing tiers ensures you maximize discounts as you scale up.

Why it Matters: Without knowing the discount breakpoints, you might end up just shy of a cheaper tier or lack the leverage to demand a better rate when expanding. Workday does have volume discount thresholds, but they typically won’t volunteer them.

By understanding the tiers, you can plan your license quantities to hit the next discount level and lock in savings for future growth.

What to Negotiate/Do:

• Obtain the Discount Table: Ask Workday to include their volume discounting tiers in the proposal. Insist on transparency about what user counts/FSE counts the price per unit drops. For example, it might be that at 500 users, you get a bigger discount than at 300. Knowing this lets you see if you’re near a threshold.
• Leverage Your Growth: If you expect to add more users over time, use that to negotiate a better tier now. For instance, “We plan to grow to 600 users next year – can you price us at the 600-user tier today?” This sets a precedent and avoids a price jump later. Vendors often accommodate this if it secures the deal.
• Locked-In Discounts: Get a commitment that any additional licenses you purchase later will be at the same discount % as your initial buy (or better, if you hit a higher tier). This prevents them from charging higher rates for incremental ads.
• User Band Flexibility: If Workday pricing is banded (e.g., 1-500 users, 501-1000 users, etc.), try to negotiate “band protection.” That means if you end up slightly over a band, you don’t instantly pay the higher rate for all users. Alternatively, negotiate to only pay the higher rate for the users above the band. This can be tough, but even a slight concession can save money at the margins.
• Example: Suppose Workday’s next discount tier is at 1,000 FSEs, and you have 900. If you expect growth to 1,000+, push to get the 1,000-FSE pricing now. By doing so, you might increase your discount from 15% to 20%, translating to tens of thousands in savings over the term. Always explore how close you are to a better tier – and don’t hesitate to ask for it upfront.

4. Implementation Scope

Summary: Workday Adaptive Planning’s subscription is only part of the cost – you must also implement the software. Negotiating around implementation ensures you know what services are included, what will cost extra, and who is accountable for delivery. It’s crucial to align the contract with the scope of implementation so you don’t end up with surprise expenses or delays that cost you.

Why it Matters: Implementation can be expensive and time-consuming, often costing as much as the first year’s subscription in services and taking months to complete. Yet, Workday typically starts charging subscription fees as soon as the contract is signed, even if you won’t go live for a year.

If you don’t address this, you could pay for months of software “shelfware” during implementation. Additionally, unclear implementation responsibilities can lead to scope creep or delays with no recourse.

What to Negotiate/Do:

• Delayed or Phased Billing: Attempt to negotiate an implementation ramp-up on fees. For example, ask that subscription billing starts upon go-live or that you get a discounted rate for the first X months while the system is being implemented. Workday often resists, but some customers have gotten a reduced Year 1 payment or a few free months when it was a competitive deal. Even a 50% fee for the first 6 months can save a lot if your deployment takes time.
• Fixed Implementation Scope: If you’re using a Workday partner or Workday’s services for implementation, get a detailed Statement of Work (SOW) that outlines deliverables, timelines, and a fixed or not-to-exceed cost. While the SOW might be separate from the subscription contract, ensure the two align (e.g., the SOW timeline matches any subscription start concessions). A fixed implementation fee (or at least defined rates) avoids “service creep.”
• Accountability for Delays: Negotiate terms around delays. For instance, if the implementation runs late due to Workday or its partner, can you receive credits or extended free use equal to the delay? While Workday may not include this in the main contract, you can include it in the SOW or as an addendum. The goal is to avoid paying for a live product while stuck in deployment hell.
• Include Essential Training: Implementation isn’t just a technical setup; your team needs effective training to use Adaptive Planning. Ask for training and change management to be part of the package. You might negotiate several free training hours or user onboarding sessions as part of the deal. Some customers have secured a series of admin training workshops at no extra cost by raising this during negotiations.
• Scope of Use During Implementation: Ensure you have access to the necessary sandbox or test environments during implementation. Workday usually includes one sandbox in a standard subscription, but if you need additional test tenants, negotiate them now (perhaps free for the implementation period). This guarantees you can properly configure and test without surprise fees for extra environments.
• Example: One Info-Tech report noted Workday expects you to pay from day one, even though implementation can take 12–18 months. To counter this, a company created a competitive scenario with another vendor, which pressured Workday to reduce the first-year fee. While Workday wouldn’t give the software for free until go-live, they knocked down the year-one cost to reflect only 6 months of use, saving the customer hundreds of thousands. The lesson: always address the subscription timing relative to your implementation schedule.

5. Renewal Price Caps

Summary: This negotiation priority concerns limiting how much costs can increase when the contract is renewed. A renewal price cap is a contractual limit (often a percentage) on the price uplift at renewal time. You might face an unwelcome double-digit hike without a cap to keep what you already have.

Why it Matters: Workday has been known to seek steep renewal increases – sometimes in the double digits – if no protections exist. They justify this with things like their “Innovation Index” (annual feature improvements) plus inflation (CPI).

Over a few years, these compounding increases can make your costs skyrocket far above the original deal. For example, an uncapped renewal formula of 4% (innovation) + CPI could increase 7-10% in a high-inflation year. Negotiating caps on these uplifts can save you millions over the contract’s life by keeping price growth in check.

What to Negotiate/Do:

• Cap the Annual Increase: Aim to include a clause like “Renewal increase shall not exceed X% per year.” Many customers target a 3-5% cap on annual renewal uplifts. Some reported that pushing back on Workday’s CPI + innovation uplift yielded a 5% total cap offer. Negotiate the lowest cap possible – if Workday proposes 5%, try countering with 3%. Every point matters over time.
• Specify the Formula: Ensure the contract language clarifies how any increase is calculated. For example: “max( CPI, 1% ) but not to exceed 3%” or a flat cap irrespective of CPI. Clarity avoids arguments later. Ideally, lock in a fixed cap rather than tying it to an external index you can’t control. (If inflation drops, you can always negotiate lower informally, but if it spikes, you’re protected by the cap.)
• Multi-Year Transparency: If you agree to a multi-year renewal term, have the cap apply each year or an overall cap across the term. Workday sometimes presents a renewal with year-over-year increases (e.g., 5% each year for 3 years) – negotiate those down or cap them. Compare scenarios: Info-Tech showed an example where Workday’s proposed 5% + CPI annually compounded to 40% higher costs over 5 years, whereas negotiating a ~3% cap kept it around 15% total (saving nearly $800K over the term). Use such data to argue your case.
• No Cap, No Deal: Be willing to hold firm on this in renewals. Remember, you have leverage at renewal if you’re willing to consider alternatives. Let Workday know that an unpredictable increase is a deal-breaker – it forces them to either justify the added value or relent. Many companies have successfully gotten Workday to improve renewal terms after initially being quoted something high simply by pushing back hard.
• Document Exceptions: If Workday insists on its standard innovation + CPI formula with a high number, negotiate a side letter or amendment that, if certain conditions hold (like if CPI > a threshold), you’ll revisit pricing. It’s not as good as a cap, but it at least flags extreme cases for renegotiation.
• Example: A mid-market company shared that Workday’s first renewal quote included a 6% year-over-year increase, which was unacceptable to them. They pushed back, and while Workday wouldn’t drop their innovation rate, they ultimately capped the renewal increase at 5% total. In another case, a customer held out and managed to get the ongoing uplift down to 2% + CPI. These real-world wins show that negotiating renewal caps is feasible – but only if you ask.

6. Data Access Rights

Summary: Your financial and operational data is in Workday Adaptive Planning. Negotiating data access rights ensures you can access your data when and how you need it. This includes rights during the subscription (for integrations, backups, etc.) and after contract termination (data retrieval). Essentially, you must secure the ability to access, export, and retain your data independent of Workday.

Why it Matters: Data is an enterprise’s lifeblood. If your contract limits data access, you could be held hostage to the platform. You want to avoid scenarios like being unable to extract your budgeting data for analysis in another tool or losing historical planning data when you leave Workday. Workday’s standard terms say customers own their data, but you should double-check and enhance those clauses. Also, without explicit terms, you might only have a brief window to export data upon leaving. Planning for data access protects you if you ever switch systems. Moreover, ensuring robust API access rights during the term allows you to leverage your data in other systems (data warehouse, BI tools) and not be siloed.

What to Negotiate/Do:

• Explicit Data Ownership: Ensure the contract explicitly states that your company owns all data you input and that Workday is just a custodian. This seems basic, but it’s fundamental. Verify that nothing in the agreement gives Workday the right to use your data beyond providing the service.
• Right to Export Anytime: Insist on the right to export your data from Workday at any time in a usable format (e.g., CSV, Excel). Workday’s system allows exporting reports and data via APIs, but you can retrieve all your data in writing without special fees. This includes metadata like your planning models or templates, if possible. The contract should not limit data export to only a small window at the end.
• Post-Termination Access: Negotiate a post-termination data access period. For example, 60 days of read-only access after the contract ends to pull your data. Workday might delete data quickly after termination by default, so add language to prevent immediate loss. A clause like “Customer may access the environment for 60 days in read-only mode to retrieve data upon non-renewal” provides a safety net. This way, if you discontinue the service, you’re not scrambling to get years of planning data out in one day.
• Assist with Migration: While SaaS vendors rarely volunteer to help you leave, for a large deal, you can ask for transition assistance. This could be a few hours of Workday services to help extract data or convert it for a new system. At a minimum, ensure the contract says Workday will cooperate with a successor system if you migrate (even if service fees apply). The idea is to prevent any stonewalling if you decide to switch platforms.
• Data Retention and Backup: Discuss how long Workday retains your data after termination and in what form. By default, they might purge data shortly after your contract ends. If you have regulatory requirements to keep data longer, negotiate an extension (you might pay for an extra few months of storage). Also, consider asking for an end-of-service data dump or backup file of all your data. Knowing the retention policy is key – you don’t want them deleting things before you’ve confirmed safe receipt.
• No Charges for API Access: Ensure that using Workday’s APIs to extract or integrate data is included in your subscription. Workday Adaptive Planning should allow API access (often used for connecting to Excel, etc.), but make sure there’s no hidden fee or limitation. Some advanced integrations might require add-ons (like Workday Prism Analytics or specific connectors), so please clarify that you can use the standard APIs freely. If you anticipate heavy integration needs, get any necessary API call volume or connector licensing sorted now.
• Surviving Obligations: Add that data protection obligations survive termination until data is returned or deleted. This is more legalese, but it ensures Workday safeguards your data during any post-termination period.
• Example: A CIO negotiating a Workday contract added a clause for a read-only access window post-termination. When their company later decided to transition to another planning tool, this clause was a lifesaver. They had 60 days to export budgets, forecasts, and reports spanning years. Without it, they would have had to pay for an extra subscription quarter or risk losing data. Another company ensured up front that all data was exportable via API; when they built a data warehouse, they regularly pulled Adaptive Planning data into it, proving the value of having full access rights. The bottom line is to keep control of your data. In the future, you will thank me.

7. Exit Clauses

Summary: While no one entering a contract plans to leave, you must plan your exit strategy at the start. Exit clauses cover how to terminate or not renew and under what conditions, without excessive penalties. For Workday Adaptive Planning, this means ensuring you have a clean way out if needed—dropping certain modules, ending the contract, or transitioning away.

Why it Matters: Enterprise SaaS deals can become a trap if you can’t exit gracefully. Workday typically does not allow mid-term termination for convenience – you’re committing to the term. However, you should be free to change or leave at renewal with minimal friction. If you don’t negotiate this, you might face penalties or contractual obstacles when trying to downsize or switch.

Also, Workday has introduced new Master Agreements at renewal that tighten restrictions (for example, making it harder to drop modules). You want to guard against any clause that could handcuff you to the service longer than you intend. An exit clause or a well-defined renewal/termination right gives you leverage and peace of mind.

What to Negotiate/Do:

• No Penalty Non-Renewal: Ensure the contract says you can choose not to renew without penalty. Verify there’s no auto-renew or early termination fee clause sneaked in. It should be as simple as “If you don’t sign a renewal, the contract lapses, and you owe nothing further.” Clarify that any prepaid fees will cover you through the term, and that’s it.
• Notification Period: Check if there is a required notice period to not renew (sometimes vendors require 30-60 days’ notice of intent not to renew). If it exists, diary it and try to keep it reasonable (no more than 90 days). Missing a notice window could auto-renew you – avoid that trap. If possible, remove any auto-renew language entirely. You want an active decision at renewal, not an automatic one.
• Module Termination at Renewal: Negotiate the flexibility to drop or swap modules at renewal. Workday often bundles modules and may resist letting you remove one at renewal (they prefer you keep the bundle). Push for a clause that you can reduce scope at renewal – e.g., “Customer may elect not to renew specific modules without penalty.” If you have shelfware (unused modules), you don’t want to be forced to renew them. At the very least, try to negotiate the right to replace a module with another equivalent value (“swap”) if it’s not used.
• Co-Termination Alignment: If you add components over time (like extra users or another Workday product), ensure they co-term with the Adaptive Planning contract. This isn’t exactly an exit clause, but it affects your exit – having all parts end together allows you to leave cleanly or renegotiate everything at once. If contracts end on different dates, you’re perpetually tied to something. So insist that any add-ons are prorated to end with the main term. This maximizes your leverage at the single renewal point.
• Termination for Breach or Service Issues: Standard contracts allow termination for material breach. Ensure that it includes if Workday fails to meet uptime/SLA repeatedly (material service failure). It’s rare to invoke, but it is important to have that out in extreme cases.
• Exit Transition Terms: Tying to data rights above – if you exit, ensure you have those data retrieval and cooperation clauses in place (which we covered). Additionally, you might seek a commitment like “Workday will reasonably cooperate with the transition to a new system” as a general statement.
• Master Agreement Changes: If Workday presents a new Master Subscription Agreement at renewal, review it carefully. Negotiate out any newly introduced restrictions (like stricter liability limits or bundling clauses that weren’t in your old terms). Don’t assume you must accept all new boilerplate – you can often grandfather more favourable old terms if you spot the differences.
• Example: A large organization purchased Workday Adaptive Planning and other modules in a bundle. Come renewal, they realized they weren’t using one module at all – classic shelfware. Because they had negotiated upfront the ability to reduce scope, they could drop that module and not renew it, reallocating the budget to something more useful. Another company wasn’t so lucky – they hadn’t negotiated this, and Workday’s new terms forbade dropping pieces of a bundle, so they ended up renewing an unused component. They later filed this under “never again” and made sure future contracts had an exit clause for modules. The moral: secure your escape routes before you need them.

8. True-up Clauses

Summary: True-up clauses govern how you handle situations where your usage exceeds the licensed amounts (e.g., you need more users than you bought). In many enterprise software deals, a “true-up” is an annual reconciliation where you pay for overuse. In a Workday Adaptive Planning context – being SaaS – it might mean agreeing on how additional users or FSEs are purchased mid-term or at year-end. Negotiating this ensures any extra usage is priced fairly and doesn’t come as a contractual violation or surprise cost.

Why it Matters: Without a clear true-up mechanism, if you need more capacity, Workday could charge you whatever they want for the additions (since you’re already locked in). Or worse, if you silently exceed a limit, you might be out of compliance. A good true-up clause allows you to grow within the term with pre-agreed pricing or discounts, maintaining compliance and budget predictability. It complements the “forecast vs actual” discussion: while that dealt with planning, this dealt with unplanned growth.

What to Negotiate/Do:

• Pre-Set Pricing for Add-Ons: Negotiate unit prices for additional licenses upfront. For example, the contract can include an Expansion Unit Price – “if Customer requires additional Adaptive Planning users beyond the initial count, the price per user will be $X (at the same discount % as initial purchase).” This way, if you decide mid-year that you need 10 more user licenses, you know the cost and get the same discount without re-negotiation.
• Annual or Quarterly True-Up Option: Ask to include a clause that allows you to true-up annually for any overages. This could work like this: you can exceed your user count within the year, and at year-end, you’ll report the peak and get billed for the excess at the agreed rate. This is common in some SaaS deals and gives you flexibility to add users on the fly. Workday may prefer you formally amend the contract for each add-on, but having an agreed-upon true-up process is helpful (even if it’s just a simplified ordering process).
• Cap or Discount on Overages: If Workday is unwilling to do a simple true-up, leverage the growth discount concept here. For instance, negotiate that users who go over the initial amount will automatically receive a discount (or at least not be charged a higher rate). We mentioned growth bands earlier; ensure those are written so that they apply during the term, not just at renewal. For example: “Customer may add up to 15% more FSEs at a price not exceeding $Y per FSE.” This locks in expansion costs.
• Co-Term New Additions: Reiterate that any additional licenses purchased mid-term co-terminate with the contract. So if you buy more in month 10 of a 36-month term, that addition renews along with everything else simultaneously (typically by prorating the first partial year). This avoids scattered renewal dates and ensures the true-ups fold into the main agreement.
• No Retroactive Penalties: Ensure that if you accidentally exceed usage without prior purchase (it can happen), the remedy is to purchase the additional licenses going forward or, at most, pay from the date of overage—no punitive fees. Since Workday can often monitor usage, outright overage without purchasing is unlikely, but it’s good to have clarity. The contract should favour a collaborative solution (“you agree to buy what you used”) rather than punitive damages.
• True-Down on Over-Estimation: While “true-up” implies going up, address if you over-bought. Typically, you can’t reduce within the term, but you could negotiate that at true-up time if you’re consistently underusing; you can reduce some licenses at renewal with no penalty. Connect this with the renewal clause to ensure you’re not permanently stuck with excess unused licenses.
• Example: Suppose you committed to 50 Planning users, but by mid-year, a new department wants in, and you need 60. If you negotiated per-user add-on pricing at $500/user/year (for example) in the contract, you inform Workday, and they provision the 10 extra users at that rate, co-terminus to the end of the year. No haggling, no sticker shock. Compare that to not negotiating it: you go to Workday, and they say, “Sure, 10 more users – that’ll be at the list price since it’s a small add, and we’ll extend your term for those separately.” That could be far more expensive and messy. By handling true-ups in advance, one company avoided an 18% higher rate on incremental users that another peer paid because they hadn’t pre-negotiated the unit costs. In short, plan for success – if your Adaptive Planning usage grows, you want it to be a non-event contractually.

9. Integration Scope and APIs

Summary: Workday Adaptive Planning rarely lives in isolation – it pulls in and pushes out data (HR data, financial actuals, etc.). Negotiating the integration scope and API usage ensures you have all the necessary connectors, integration tools, and API access in your contract.

It also clarifies what integration support Workday will provide. This priority ensures that Adaptive Planning will play nicely with your other systems without hidden costs.

Why it Matters: A planning tool is only as good as the data it can use. If connecting Workday Adaptive Planning to your ERP, HRIS, CRM, or other systems requires extra Workday modules or subscriptions, you must know upfront.

For instance, some integrations might require Workday Cloud Connectors or Workday’s integration Platform-as-a-Service. If you don’t negotiate the needed integration components now, you might discover later that you will have to buy an expensive add-on to get actuals from your ERP into adaptive planning. Also, understanding API limits (if any) is important if you plan to build custom integrations.

What to Negotiate/Do:

• Identify Key Integrations: Make a list of systems you need Adaptive Planning to integrate with (e.g. your HR system for headcount, your financial system for actuals, etc.). Inquire early which of these are covered out-of-the-box and which require extra modules. Workday might have specific connectors (for example, if you also use Workday HCM or Financials, integration is native; if not, you might use their APIs or an integration tool).
• Include Required Connectors: If Workday sells a specific integration package or connector for a system you have, negotiate it into the deal. For example, Workday might offer a connector for Salesforce or an HR system feed. Make it part of your subscription rather than a separate project cost. Confirm that no additional license is needed if they say it’s handled via their general API.
• API Access and Limits: Ensure the contract grants full API access to Adaptive Planning. Workday’s APIs should allow you to import/export data programmatically. Check for any API transaction limits or fees – typically not for normal use, but it’s good to ask. If you have heavy integration needs (like frequent data syncs), ensure they are within the allowed usage or size. Negotiate higher limits if needed or at least clarity so you’re not throttled unexpectedly.
• Integration Support in SOW: If integration development is part of the implementation, define who is responsible. Workday’s partner might handle it – ensure the scope covers all necessary integrations. If Workday needs to provide integration tools or guidance, get that commitment. You might negotiate some integration consulting hours or support, especially if connecting to a non-standard system.
• Prism Analytics or Data Hub Needs: Workday offers Prism Analytics for complex data blending (like combining external data with Workday data). If you foresee needing that kind of capability, discuss it now. It might be overkill for Adaptive Planning use cases. Still, if you want to feed large external datasets into planning, Prism could help – negotiate at least the right to evaluate it or a discount if added later. Otherwise, ensure Adaptive’s native integration abilities suffice for your needs.
• Avoid Hidden Integration Costs: Ask outright: “Are there any additional Workday products or fees required to achieve the integrations we’ve discussed?”. Get a clear “no” or list of what is needed. For example, some customers found they needed an additional Workday Extend or custom solution to fill a gap; if so, better to know and negotiate it upfront. The contract should reflect all the components you need for a functioning solution, not just the licenses.
• Example: During negotiations, one company planning to use Adaptive Planning alongside their on-premise ERP discovered they’d need a custom integration. They asked Workday if any out-of-the-box solution existed, and Workday pointed to their APIs and a possible Workday Cloud Connector. The customer then negotiated to include access to that connector at no extra cost and got a commitment for a few integration workshops with Workday’s team to ensure a smooth data flow. In contrast, another organization didn’t discuss integration details – after signing, they realized they needed an extra tool to batch-load data nightly and ended up paying extra for an ETL solution. The lesson: hash out integration needs beforehand and bake them into the deal, avoiding costly surprises.

10. Support Terms and Escalation

Summary: Workday supports Adaptive Planning as part of your subscription, but the quality and responsiveness of that support can be negotiated. This priority covers your Support SLAs (Service Level Agreements) and how issues are escalated. Essentially, ensure you have adequate support commitment in writing—uptime, response times, and an escalation path for critical issues.

Why it Matters: Adaptive Planning will likely be a mission-critical system for budgeting and forecasting. You need prompt attention if it’s down during budgeting season or if a calculation is wrong. Workday’s standard SLA offers 99.7% uptime and 24/7 support for critical issues, which, for most, is sufficient, but you might need tighter guarantees. Also, knowing the process when something goes wrong (who to call, how fast they respond) is crucial. By negotiating support terms, you can sometimes get premium support features included (like a named support manager, faster response) or at least hold Workday accountable with credits if they fall short. Moreover, having an executive escalation path ensures that you’re not stuck in a helpdesk queue in a crisis.

What to Negotiate/Do:

• Documented SLAs: Ensure the contract references a Support Policy or SLA document and that you’re comfortable with its terms (uptime% %, allowed downtime windows, etc.). Workday’s typical uptime commitment is 99.7% per month. If your org requires higher (say 99.9%), discuss it. They might not raise the percentage easily, but they could offer other remedies. Ensure maintenance windows (like the few hours on Saturdays) are acceptable for your schedule. If not, voice that concern (though in multi-tenant SaaS, they can’t customize maintenance times per customer; they might at least acknowledge critical periods for you).
• Service Credits for Downtime: The standard SLA likely includes service credits for outages (e.g., credits kicking in after X consecutive failures). If your usage is very time-sensitive, negotiate stronger remedies. For instance, ask that any critical outage over a certain length yield a credit automatically (not only after multiple incidents). Workday may not bump uptime to 99.9%, but they might agree to more generous credits if downtime exceeds thresholds. This at least compensates you if things go awry.
• Premium Support (Success Plans): Workday offers Premier or Success support plans with extras (like a designated support manager, faster responses, and health checks). Negotiate to include a premium support tier for free or at a discount. For example, due to your deal size, ask for the first year of Premier Support at no charge or ongoing premium support. If they don’t discount the software more, sometimes they’ll throw in support upgrades. Specifically, request things like a named technical account manager, quarterly reviews, etc., as part of the package. This ensures you have a go-to person inside Workday who knows your environment.
• Response Time Commitments: Standard support might not guarantee specific response times for each severity, but you can ask for them. For critical P1 issues, aim for a 1-hour response or a 4-hour workaround as a guideline. Even if this isn’t in the contract body, get it in a supporting exhibit or acknowledge it in writing. The key is to have expectations set. If you have premium support, lock in those response SLAs in writing.
• Escalation Path: Insist on an escalation matrix – who to contact if an issue isn’t getting resolved. You should have a named Customer Success Manager or Account Manager. Ensure the contract or support plan mentions that role. Also, ask for an executive sponsor on the account (a VP or executive at Workday) for escalation. While the exec sponsor might not be a contract term, getting a commitment during negotiations that “VP X will be our executive contact” indicates the level of attention your account will get. It’s a soft item, but important for a partnership feel.
• Security Incident Support: Under support terms, also clarify how quickly Workday notifies and assists you in case of a security breach or major incident. Their security exhibit should cover breach notification (likely within 24 hours of discovery). If your org has stricter requirements, mention them. It might not be negotiable, but it’s good to confirm that Workday meets your regulatory needs regarding incident response.
• No Extra Cost for Better SLA (if possible): Sometimes, vendors try to charge more for higher uptime or support. Push back – say reliability should be standard. One tip from experienced negotiators: Workday might not easily change the 99.7% uptime, but they could agree to a shorter RTO (recovery time objective) or more proactive support at no extra cost. Emphasize that, given the investment, you expect enterprise-grade support as part of the deal.
• Example: A company in the finance sector negotiated a custom support addendum with Workday. They accepted 99.7% uptime (approx 2.2 hours downtime/month) but got Workday to agree that if any outage exceeded 4 hours, a credit would be issued immediately (not waiting for a second incident). They also secured a named support liaison and quarterly performance reviews as part of a Premier Support package, free for the first year. Later, when a critical issue arose during year-end planning, they had direct lines to senior support folks and even an executive ready to jump on a call, meaning fast resolution. They might have been stuck filing tickets via a portal without those negotiated terms. So, invest time in hammering out support and escalation expectations now – it pays off when you’re in a crunch.

11. Benchmarking Data

Summary: “Benchmarking data” in this context means the ability to benchmark your deal against others and possibly a contractual right to price/service benchmarking. The idea is to ensure you’re getting a competitive deal by using industry data and not being barred from doing so.

In negotiations, leveraging independent benchmark data (from analysts or experts) can help you push Workday for better terms. Post-contract, a benchmarking clause could allow you to formally check your prices against the market.

Why it Matters: Workday’s pricing is not public and can vary widely. Some customers pay significantly more or less than others for similar scopes. Using benchmark data during negotiation provides concrete evidence if their quote is above the market. This can materially improve your discount. Moreover, some vendors include confidentiality terms that prohibit you from sharing deal details with third-party advisors or benchmarks – you want to avoid that so you can always get an outside opinion. A benchmarking clause (though more common in large IT outsourcing contracts) can sometimes be included in software deals to guarantee you market-aligned pricing over time – a nice-to-have if achievable.

What to Negotiate/Do:

• Do Your Homework: Before and during talks, gather benchmark figures for Workday Adaptive Planning. This could be analyst reports, peer info, or engaging an independent licensing expert (for example, Redress Compliance or others specializing in Workday deals). Knowing the typical cost per user or FSE for companies of your size gives you a target. For instance, if Gartner or a consultant says similar firms get 20% discounts, push for at least that. Use phrases like “our understanding of market pricing is X” – this signals to Workday that you are informed.
• Request Breakdown for Benchmarking: As mentioned earlier, insist that Workday provide line-item pricing. Bundled pricing makes benchmarking hard. You can benchmark each component by getting an itemized quote (Adaptive Planning separated from other modules, etc.). One customer noted that Workday tried to lump Adaptive Planning into an overall HCM deal, but they asked to break it out to help with benchmarking. This transparency lets you compare Adaptive Planning costs with alternative FP&A tools or Workday deals at other companies.
• Benchmark Clause: If you have the clout (likely for a large contract), consider adding a benchmarking clause. After a certain time, you can hire a third party to benchmark the service’s pricing and/or performance. If the results show your price is above a certain percentile of the market, Workday would agree to renegotiate or adjust. Getting in software deals is tricky, but not impossible for big accounts. It puts pressure on Workday to keep your pricing competitive. Even if they won’t agree to automatic price adjustments, having the right to perform a benchmark (and share necessary info with a benchmarker) is useful. At least it prevents any confidentiality gag that would stop you from assessing your deal.
• Leverage Renewal Time: At renewal, use fresh benchmarks to negotiate. Signals like “We’ve spoken with experts and see customers now pay 15% less – we need to realign” can lead to concessions, especially if you’re prepared to consider alternatives. Workday’s expansion in the market means they’ve likely given better deals to new customers – don’t let loyalty result in a loyalty tax. Show them you know the going rates.
• No Anti-Benchmark Restrictions: Ensure the contract doesn’t forbid you from disclosing terms to advisors or in an RFx. Some agreements have strict confidentiality and even bar discussing terms with consultants. Negotiate an exception that you may share the contract under NDA with advisors or for internal benchmarking. This way, you can always seek help (like from independent licensing experts such as Redress Compliance) to analyze your deal.
• Example: A CIO used a benchmarking firm to assess their Workday renewal quote. The firm provided data showing the quote was about 10% higher than similar organizations’ pay. Armed with this, the CIO returned to Workday and secured a price reduction and better discount, saving hundreds of thousands over the term. In another case, a company had a clause that if an independent benchmark found their per-FSE rate above the top quartile of peer prices, Workday would either lower the price or let them out of the contract early. This was a strong ask, but it effectively ensured the customer was never overpaying relative to the market. While not every vendor will agree, it illustrates the power of benchmarking: it keeps the vendor honest. At the very least, continually compare your deal to others – and don’t be afraid to tell Workday, “We know of similar clients paying less,” as leverage.

12. Add-on Product Bundling

Summary: Workday often encourages bundling multiple products (e.g. you might license Adaptive Planning with core HCM, Financials, etc.). Add-on product bundling can yield discounts, but it can also reduce flexibility. This negotiation priority is about managing bundles: getting the best pricing without locking yourself into unwanted products. It covers how to bundle smartly and ensure future add-ons are handled favorably.

Why it Matters: Bundling can be a double-edged sword. On the one hand, Workday may offer attractive pricing if you commit to a broader suite (they love selling the full platform). On the other hand, if some bundled components underperform or you don’t end up using them, you might be stuck (Workday has been known to restrict dropping bundled modules mid-term or even at renewal). Additionally, if you plan to adopt Workday Adaptive Planning in the future, you could negotiate it as an add-on now for a better price (bundled into your roadmap). The goal is to leverage bundling to save money without sacrificing the right to trim fat later.

What to Negotiate/Do:

• Bundle on Your Terms: If you are buying multiple Workday modules (HCM, Finance, Adaptive Planning, etc.), ask for a bundle discount but also demand line-item transparency. Know the list price of each and the discount applied. This prevents them from hiding a weak discount on one product behind a great discount on another. It also helps if you consider dropping one later – you’ll know its standalone cost/value.
• Right to Rebalance/Swap: Negotiate the ability to swap an unused add-on for another equal value. For example, if you bundled Learning and Adaptive Planning but never used Learning, at renewal, maybe you can exchange Learning for a different Workday product or extra Adaptive Planning capacity. Workday may resist, but if you frame it as “we’ll keep the spend with you, just on a product we will use,” they often consider it.
• Avoid Over-Bundling: Don’t bundle things you are not confident you will deploy. Getting a “suite” is tempting because of perceived savings, but shelfware is expensive in the long run. It’s okay to say no to an add-on now and revisit later unless the deal is compelling and you have a contractual out. If you bundle an item you’re unsure about, try for a shorter term or a pilot arrangement on that piece.
• Future Add-on Pricing: If you aren’t buying Adaptive Planning now but might in a year or two (or any other add-on), negotiate a future inclusion option. As discussed earlier, get a written addendum locking in the price and discount for the future add-on. For instance, “Workday Adaptive Planning can be added in Year 2 at $XYZ for N users, at the same % discount as the core.” This way, you bundle it in principle now, but start paying when you implement it. It’s bundling leverage (you commit intent now) without immediate cost.
• Bundle Renewal Flexibility: If you accept a bundle deal, clarify what happens at renewal. As covered in exit clauses, ensure you can renew components separately if needed. If Workday’s paperwork says you must renew all or none, push back – you want modular renewal rights. Sometimes, large discounts come with the condition that you keep everything – weigh it carefully. If you agree, make sure you truly plan to keep it all; otherwise, negotiate a lesser discount without the handcuffs.
• Beware re-packaging: Workday might bundle features into new products (e.g., moving a feature of Adaptive Planning into a new module). Negotiate that if the functionalities you had to move to a new product, you get access without additional cost. This is a “bundling” of future features protection, ensuring your bundle’s value doesn’t erode. (UpperEdge recommends contract terms to entitle you to any renamed or re-bundled products that contain what you already bought.)
• Example: A company bundled Adaptive Planning with Workday Financials and HCM in a single deal and got a hefty discount overall. However, at renewal, they found Workday’s new master agreement wouldn’t let them drop any one piece. Because they had negotiated transparency, they saw they were overpaying for the Financials part relative to their use. They argued and leveraged the threat of moving that module to another vendor. Ultimately, Workday allowed them to remove the underused module, but slightly reduced the discount on the rest. It was still a win because they stopped paying for something they didn’t need. Another client took a different route: initially, they only bought HCM but negotiated an option to add Adaptive Planning the next year at a pre-agreed rate. When they exercised that option, the price was already locked (and lower than when Workday quoted other new customers). That foresight saved them from a price hike and essentially let them bundle on a sensible timeline. The key is to use bundling strategically, not to be cornered by it.

13. Uplift Protections

Summary: “Uplift” refers to any built-in price increases over time – this could be annual escalators, inflation adjustments, or the Workday “Innovation Index.” Negotiating uplift protections means safeguarding against excessive automatic price hikes during your contract and beyond. It overlaps with renewal caps but also covers in-term increases if any, and protections if your usage or scope expands. Essentially, you want to lock in pricing as much as possible and avoid nasty surprises from contract language that allows increases.

Why it Matters: Workday has introduced the concept of the Innovation Index, where they raise fees yearly due to continuous product improvements. Combined with CPI, this can cause significant cost escalation. For example, if your contract says fees increase 4% + CPI each year, and CPI is 7% (not unheard of recently), you’re looking at 11% in one year! Even if inflation is modest, a baked-in 5% or more “innovation” uplift means you pay more yearly for the same licenses. Additionally, when you expand your use (adding more employees or modules), some vendors sneak in an “uplift” on the original scope price during that expansion. Negotiating protections ensures price predictability and fairness: you benefit from innovation (already paying for) without being arbitrarily charged extra.

What to Negotiate/Do:

• Limit or Remove Mid-Term Escalators: If Workday proposes any annual increase during the initial term, fight to remove or minimize it. Many Workday deals historically had flat pricing over the initial term, and you should aim for that. If they insist on tying to CPI, try to set a low cap (e.g., “CPI or 2%, whichever is lower”). If they include an innovation uplift (say 3-5% yearly), push back that innovation should be funded by new sales, not existing customers, or again, cap it. Some customers have successfully gotten Workday to eliminate innovation uplifts in exchange for a slightly higher starting price or longer term – it can be worth it for long-term savings.
• Transparency in Calculation: Ensure the calculation method is transparent if an uplift is included. Define which CPI index (e.g., U.S. City CPI) and what happens if it’s negative or extremely high. Workday used to assume ~1-2% CPI, but as we saw, CPI can spike unpredictably. You might negotiate that if CPI exceeds a certain value, you’ll discuss adjustments instead of blindly applying them. This is a bit nuanced, but it sets expectations that double-digit CPI won’t be passed through without dialogue.
• Protect Expansion Pricing: Sometimes, when you expand mid-term, vendors try to charge the current list price (which by then might be higher) for the new quantity. Negotiate that any additional licenses use the original price terms (no new uplift). For example, “any added FSEs will be priced at the same per-FSE rate as initial,” meaning the initial price is protected from an uplift for those additions. One vendor quote mentioned that Workday would provide a price uplift cap for 3 years following the renewal for 1% + CPI, so similarly, try to get a multi-year price lock on new purchases. Treat it as price protection: what you negotiate now should hold for at least a certain period for any new units you buy.
• Innovation Index Negotiation: If Workday raises its Innovation Index (II) – say 4% – question it. Ask what tangible extra value that provides you each year beyond regular updates (which you expect as a SaaS customer). You might not remove it entirely, but you can knock it down. Some customers reported Workday refused to cut their II from 6% to 1%, but others got it lowered or capped via tough negotiation. Show that you’re aware this is not an industry norm and that, combined with CPI, it’s too high. This can sometimes result in them giving ground elsewhere (like higher discounts or additional credits) if they won’t budge on II.
• Cap on Renewal Uplift (reiterating): Ensure that after your initial term, any renewal is capped (as discussed in section 5). This is your ultimate protection – even if they insist on an innovation index now, you can say, “Fine, but at renewal, max 3% increase.” So you reset the baseline even if the initial term saw some bumps. Real example: a company stood firm on a renewal cap and got Workday down from CPI+5% to CPI+2% for future renewals. That’s a big, long-term win.
• Long-Term Commitment for Price Stability: If you’re open to a longer contract (and confident in the product), you might trade that for price protection. For instance, agree to a 5-year term with fixed pricing (no increases). Workday likes longer commitments (it secures revenue), so use that to get a no-uplift deal. One customer noted getting advantageous pricing by committing to five years, eliminating frequent renegotiations. Just be cautious: only go long if the terms are favourable and you’re sure the solution meets your needs.
• Example: Consider a scenario with a 3-year contract including a 4% annual innovation uplift plus CPI. If inflation is ~3%, you’d pay roughly 7% more each year. Over 3 years, what started as $100 could become about $122 – a 22% increase for the same software. A savvy procurement team negotiated that away: they secured a flat fee for the 3 years, and a clause that renewal would not exceed 3% increase total. They argued that the subscription already funds improvements and cited other vendors that don’t impose such hikes. Workday, eager to close the deal before quarter-end, conceded. This saved the company from a compounding cost burden. The message is clear: the best time to stop automatic uplifts is at the start. Once they’re in a contract, they compound quietly. So, shine a light on them and negotiate them down or out wherever possible.

14. Audit and Compliance Clauses

Summary: Audit and compliance clauses pertain to how Workday can verify you’re using the software within agreed terms and how compliance with licensing is enforced. While software audits are more notorious with on-prem vendors, clarifying these terms in a SaaS contract is still important. You want to ensure any audit rights are fair and not burdensome and that you clearly understand your compliance obligations (e.g., reporting user counts, not sharing access, etc.). Essentially, nail down what happens if Workday thinks you’re out of compliance and prevent aggressive tactics.

Why it Matters: In a SaaS world like Workday Adaptive Planning, audit risk is lower because usage is transparent (Workday can often see your user count, etc.). However, if your license metric is something like employee count (FSE), which isn’t automatically enforced by the software, Workday might rely on you to report increases. Audit clauses give them the right to check those numbers. A poorly worded clause could allow overly frequent audits or harsh penalties (though Workday isn’t known for Oracle-style audits, it’s wise to be safe). Additionally, compliance clauses will spell out usage restrictions – you need to be aware of those (e.g., you can’t use the software to service third parties, etc.). Negotiating here mostly means confirming the audit process is reasonable and that you won’t be hit with surprise charges without a dialogue.

What to Negotiate/Do:

• Clarity on Usage Reporting: Determine if you have any responsibility to report changes in metrics (like if the FSE count increases). Often, Workday contracts fix your count for the term, so you don’t report until renewal. If any clause requires periodic true-ups or certifications, ensure you understand it and it’s not onerous. For example, maybe you agree to an annual certification of employee count if that’s the metric. Negotiate the timing to align with your internal data availability (e.g., after the fiscal year).
• Audit Frequency and Notice: Set limits if Workday retains a general right to audit usage. For instance, no more than once per year and with 30 days’ notice, and ideally, a remote/desk audit (since it’s SaaS) rather than on-site disruption. Also, require that they will work in good faith to resolve any findings before any penalties. Given the nature of Adaptive Planning, formal audits are uncommon, so Workday should be fine agreeing to reasonable conditions or may even remove the clause altogether.
• No Cost Audits: Ensure the contract states that if an audit occurs, it’s at Workday’s expense (standard in many contracts) unless a severe overuse (like 5-10%+ over) is found, in which case you might pay the costs. Essentially, you shouldn’t be charged just for going through an audit.
• Compliance Resolution: Define what happens if non-compliance is found. Typically, you’d purchase the necessary licenses to become compliant (perhaps retroactively to when overuse began, but try to avoid retro penalties). Avoid any language of “penalty fees” or back-maintenance. Given Workday’s model, overuse likely means you need to buy more units – negotiate that you get them at standard (contracted) rates rather than inflated ones. They shouldn’t revoke a discount for true-up purchases if you had a discount.
• Alignment with True-up Clause: If you’ve negotiated a true-up process (section 8) that handles compliance, you’d pay for any extra use at agreed rates. Make sure the audit clause doesn’t conflict. It should acknowledge that any overage will be handled per the true-up terms or contract addendum, not some separate punitive scheme.
• Confidentiality & Data in Audits: If an audit occurs, ensure any data you share is treated confidentially and only used to verify compliance. The overall NDA usually covers this in the contract, but it’s worth restating if you hand over potentially sensitive information.
• Regulatory Compliance (for completeness): Workday will have clauses about its compliance (GDPR, etc.), which are standard. But you might need certain certifications. Confirm Workday undergoes SOC audits, etc., and you can receive those reports. That’s more due diligence, but it ties into the theme of compliance. You likely don’t need to negotiate it; ensure you’ll have access to their security audit reports to satisfy your auditors.
• Example: One company found an “audit clause” in their SaaS agreement that was boilerplate from Workday, allowing an audit of usage. They negotiated to insert a line that any such audit would be “upon reasonable notice, at most annually, and will minimize disruption.” They also added that if a discrepancy is found, they get 30 days to resolve it by purchasing additional licenses. Later, their employee count jumped during a merger, technically exceeding their licensed FSE. Because of the contract terms, they proactively informed Workday and executed a purchase of the additional FSEs at the pre-agreed rate, avoiding any contention. Workday appreciated the transparency, and no formal audit was ever triggered. The process was smooth because the expectations on both sides were clear. The takeaway: set a cooperative tone in the contract – you commit to complying, and Workday commits to handling verification reasonably. That way, if compliance issues arise, it’s a business discussion, not a legal feud.

15. Future Roadmap Access

Summary: This final priority is about looking forward. Future roadmap access means getting insight into Workday’s upcoming features and products and influencing them if possible. In contract terms, it can also mean securing commitments about future modules or ensuring you benefit from innovations (without extra cost if they’re within scope). Essentially, you want to be positioned as a valued customer who sees what’s coming and has early or favourable access to new capabilities relevant to Adaptive Planning.

Why it Matters: Like all SaaS providers, Workday continuously evolves its platform. New features might be included, or entirely new products might be spun off (remember, Adaptive Planning was an acquisition – future planning-related tools could emerge). If Workday introduces something like “Adaptive Planning Plus” or some advanced forecasting AI, will you get it as part of your subscription or pay more? Also, being part of customer advisory boards or beta programs can give your team a say in features and a jump-start on using them. From a negotiation perspective, while you can’t force them to build something, you can ensure you’re not left out if something you need comes along. Also, if you know your roadmap (e.g., today you need Planning, tomorrow you might need Workday’s visualization tool or consolidation tool), negotiating future options (as discussed with add-ons) ties in here.

What to Negotiate/Do:

• Roadmap Sessions: Ask as part of the relationship that Workday will provide at least annual roadmap review sessions with your team. This might not be a contract clause per se (it could be in a Success Plan or account management notes), but during negotiations is a good time to get a commitment. It gives you a window into what’s coming in Adaptive Planning and related products, which helps your planning.
• Most Favored Access: If a new module or major feature closely related to what you’re buying is released, negotiate a clause that you can access under favourable terms. For example, “if Workday releases a new module that is a successor or complement to Adaptive Planning, the Customer may elect to substitute or add it at a commensurate price discount.” This is similar to the re-packaging protection earlier, but forward-looking. It prevents a scenario where Workday pulls an important feature into “Adaptive Planning Premium” and charges extra – you’d have footing to say, “Give us that because we expected it in our solution.”
• Future Module Pricing (Options): As we did with add-ons, if you anticipate possibly needing other Workday products (like Workday Prism Analytics for more BI, Workday Extend, etc.), negotiate price locks or evaluation periods now. For instance, “We can pilot Prism Analytics in year 2 at no license cost, and if we keep it, pricing is $X,” or “Extend can be added for a Y% discount if adopted within 3 years.” Workday is often open to these “future option” clauses, especially if they align with their desire to expand your footprint. It shows partnership and saves you from exorbitant costs later when you have less leverage.
• Advisory Councils / Early Adopters: Express interest in joining any Adaptive Planning customer advisory board or beta program. Workday might not put that in a contract, but they’ll note it. Being on an advisory board means you hear about and can influence features. As a negotiating point, it signals to Workday that you want to partner deeply (which might incline them to give you better treatment on other terms). Some buyers even put in an RFP or negotiation doc: “We value a partnership – include us in relevant roadmap discussions and betas.” It can be a soft perk of signing a sizable deal.
• No Charge for Minor Enhancements: Clarify that all updates and minor enhancements to Adaptive Planning are included in your subscription (SaaS norm, but worth reinforcing). Workday does this anyway (you get new versions automatically), but ensure nothing suggests you’d pay for “enhanced functionality.” If Workday has tiers of the product, make sure you know which tier you’re buying and that all improvements to that tier flow to you.
• Stay Informed Clause: You might include a clause like, “Workday will inform Customer of new products or modules that may enhance Customer’s use of Adaptive Planning and will negotiate in good faith to provide favourable terms for any such products.” This is non-binding in some ways, but it sets an expectation of being kept in the loop and getting a fair shake on new stuff.
• Example: One organization negotiated an interesting, forward-looking term: they suspected Workday might integrate Adaptive Planning with a new machine learning forecasting engine. So, they added that if a machine-learning forecasting feature becomes available as part of Adaptive Planning, they would receive it as part of their subscription. Lo and behold, Workday released an AI-driven forecasting enhancement two years later. Because it was technically a separate add-on initially, the company pointed to their contract. Workday honoured giving it to them for the remainder of their term at no extra cost (they then rolled it into the renewal pricing). This kind of foresight is tough, but it can pay off. More commonly, another customer knew they’d likely need Workday’s “Prism Analytics”. In their Adaptive Planning deal, they negotiated the right to license Prism at a fixed 20% discount if done within 2 years. When they went for it a year later, Workday’s list price had increased, but their discount was locked, saving money and hassle. The overarching lesson: think ahead about how your planning needs might evolve and set the stage to accommodate that future with minimal friction.

Conclusion: Negotiating a Workday Adaptive Planning contract covers today’s needs and tomorrow’s scenarios. By focusing on these 15 priorities – from core pricing metrics to future roadmap – you can craft a deal that is not only cost-effective but also flexible and resilient as your business changes.

Remember to document everything clearly in the contract, keep communication open with Workday, and don’t hesitate to seek independent expertise (like Redress Compliance) for tricky licensing questions. With a thorough, tactical approach, you’ll turn the contract into a strategic asset, not a shackle. Good luck with your negotiations, and may your Workday Adaptive Planning partnership drive great value for years to come!