Subscription based software licensing

[ncp]

I have a scenario that I'm looking for some guidance on

I have a software title that is subscription based (ex:Software A, which is cloud based)

I have setup an entitlement record and model. When the model is created the product type is coming up as "not licensed"

The process to setup Software A, for example is for the admin team to setup the account in the cloud and provide the id to the end user when the request is made.

Questions

Do I still have to source the license if the setup is done at the SaaS level?

Is it better to create Client access records if I'm obtaining the usage levels from the cloud tenant?

In the end how does the reconciliation against those client access work?

I looked at the kingston documentation below and it refers to counters, which I believe is the older version

https://docs.servicenow.com/bundle/kingston-it-service-management/page/product/asset-management/task/t_CreateManageSubscriptionLicense.html

Any guidance would be helpful

Thanks

[ncp]

The intent is to manually get the counts from the providing console and then entering them into ServiceNow CAL records and then reconciliation runs against that and the entitlements purchased to see the compliance position. I wanted to know if thats the right approach or if there was another way to address this and also how the reconciliation counts the cAL records and reconcile them against the entitlements. Is this where the script comes in? Do you happen to have a sample script as to how this can be reconciled? I assumed it would do that automatically as the CAL records are tied to a software model.