Did you know? Choosing third-party support for Oracle software almost always comes with risks that organizations should consider. To ensure the right fit, it’s essential to evaluate vendors carefully.
Official Oracle Support is the gold standard, but some organizations turn to third-party support providers in an effort to save money. The challenge lies in identifying and mitigating potential risk factors via a thorough vendor evaluation so nothing is overlooked.
Unfortunately, vendor evaluation is often lacking. Both our own experience and that of an experienced Oracle MSP hearing from our clients has revealed the following six most common third-party pitfalls. Read on to learn what they are and how to avoid them.
Pitfall #1: Limited Expertise and Specialized Knowledge
The reliability and reputation of third-party support providers can vary widely. A lack of deep Oracle-specific expertise and know-how among some providers calls into question whether they are equipped to deliver consistent, timely, and high-quality support to IT teams—jeopardizing your daily operational functions, as well as issue resolution.
Complex Oracle environments, whether on-premises, in the cloud, or hybrid, benefit most from genuine Oracle Support to maintain security and smooth operations.
Pitfall #2: Security and Compliance
Oracle enterprise software apps, e-Business Suite (EBS) in particular, are used to manage and process highly sensitive, confidential data. If opting for a third-party support vendor, be sure to fully vet them before trusting them as a partner.
They must be knowledgeable of not only Oracle license compliance issues but also legal and regulatory requirements about security for highly regulated industries (e.g. healthcare, finance, and defense). Be sure to enquire and verify their stated security practices and certifications.
Pitfall #3: Vendor Lock-In and Lack of Flexibility
In contrast to Oracle Support, third-party providers may lock you into long-term contracts, making it difficult to switch if dissatisfied with cost or service. This can also limit your ability to customize support services to fit evolving business needs.
Most importantly, once you leave Oracle Support for a third-party provider, you forfeit automatic product upgrades, patches, and new features—putting your business and data at risk. Then, if you return to Oracle Support, you will be charged for any unpaid support plus additional fees, as well as possibly being flagged for “dings” during an audit. By sticking with Oracle Support, your total cost of ownership (TCO) remains lower.
Pitfall #4: Unexpected Charges
Upon closer inspection, we see that third-party Oracle support contracts may contain ‘surprise’ fees buried in the small print. It’s essential to thoroughly review the contract terms and conditions, understand all potential fees, and negotiate any unclear or unfavorable terms before signing. If not, you may be responsible for paying one or more of the following unexpected charges:
- Transition fee for data migration, system integration, and initial setup
- Compliance fee for negotiating specific Oracle licensing terms or seeking legal advice
- SLA fee for a higher service level agreement than the basic contract
- Renewal fee for simply renewing a contract at an increased rate, compared to initial low-cost sign-up fee
- Audit fee for costs associated with an Oracle compliance audit
- Additional service fees for training, consulting, or custom support
Pitfall #5: Downtime and Performance Issues
Everyday operations can face significant financial losses when third-party support falls short—whether through delays, subpar service, or system downtime that disrupts business continuity. Performance issues can slow user productivity, compounding the impact.
For companies that rely on Oracle software to power their automated processes, the true cost of inefficiency often outweighs any perceived savings. When compared to the reliability of Oracle Support expertise, the choice becomes clear.
Pitfall #6: Communication Gap
Collaborating with a third-party support provider often presents more challenges than working with Oracle Support. Effective communication relies on a shared language and mutual understanding—without it, misalignment between third-party teams and internal IT can disrupt support accuracy and efficiency, leading to critical business errors. Poor communication can result in:
- Delayed issue resolution
- Reduced operational efficiency
- Compliance risks
- Higher costs
- Strained vendor relationships
- End-user frustration
Ensuring seamless collaboration is crucial to maintaining business continuity and maximizing the value of your support services.
Next Steps
One way to avoid the above pitfalls is to stay with Oracle Support in the first place or return to it instead of renewing a vendor contract that no longer works for you. Regardless of your current support position, Data Intensity can serve as an Oracle hub for all your support-related needs.
If your third party isn’t working out for you:
We can help you come back into the fold with Oracle Support by renegotiating a plan that works best for your IT landscape.
If you need general guidance around security, licensing, and cost-effectiveness:
We can evaluate your Oracle estate to safeguard against data breaches, eliminate costs from unused licenses, and avoid unnecessary charges—all while optimizing your investment.
If you are considering a move to third-party support or want to speak with a certified Oracle expert, get in touch.
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