---
sourceDocument: Australia Asset Management
sourceDocumentLink: https://www.servicenow.com/docs/r/australia/it-asset-management

 Release :

    - australia

ft:locale :

    - en-US

ft:publication_title :

    - Australia Asset Management

ft:clusterId :

    - itam

bundleId :

    - itam

workflow :

    - Technology


---

# Explanation of license rights post reconciliation

# Explanation of license rights post reconciliation {#ariaid-title1}

Release version: Australia  
Updated March 12, 2026  
![](https://www.servicenow.com/docs/portal-asset/ico-clock) 2 minutes to read
Summarize  
![AI sparkle icon](https://servicenow.com/docs/portal-asset/ai-sparkle-icon) Summarized using AI  
This content was generated using new OpenAI-powered functionality. Results are provided on an as is basis and are not guaranteed to be accurate or complete.  

## Summary of Explanation of license rights post reconciliation

The Software Asset Management (SAM) application provides detailed visibility into how license rights are calculated and consumed following the reconciliation process.
This ensures you understand the number of licenses required for your software assets across various metric groups including Microsoft, IBM, Red Hat, VMware, Oracle, SAP, Citrix, and common licenses.
Show full answer Show less  

## Tier-based License Metric Calculation

For tier-based license metrics, license consumption is distributed across predefined tiers or ranges, each with its own factor applied to the units consumed within that tier. The SAM application calculates license requirements by multiplying the units in each tier by its factor, summing these results, and then rounding up to the nearest whole number to determine total licenses required.

**Example:** For a resource with 50 consumed units under a tier-based metric with four tiers and distinct factors, the application calculates individual tier values, sums them (e.g., 198.75), and rounds up (to 199 licenses required). If multiple resource records contribute to the total, the tier breakdown is not shown on the Licenses Required By page, so reviewing individual records is necessary for detailed insight.

## Per Device License Metric Calculation

For per device license metrics, the calculation is based on the number of licensable installs on a device divided by the maximum installs allowed per license right. The result is rounded and the minimum number of rights assigned is one, ensuring at least one license right per device with installations.

**Example:** A MacBook Pro with one install of Microsoft Office 2016 requires one license right, as the calculation ensures a minimum of one right is assigned even when maximum installs per right is infinite.

## Practical Benefits for ServiceNow Customers

* Gain clarity on how license requirements are computed post-reconciliation, improving transparency and compliance.
* Understand complex tier-based license calculations to better manage license consumption and optimize software spend.
* Use clear per device license calculations to accurately assign rights and avoid under- or over-licensing.
* Access detailed license consumption explanations in the SAM workspace for informed decision-making and audit readiness.  
Get visibility into how your rights are calculated and consumed post the reconciliation process.

## Overview of explanation of rights {#explanation-rights-post-recon__section_h3x_13k_jdc}

Understand how the Software Asset Management application calculates the number of licenses for your software assets.  
A detailed explanation of license rights is provided for the following metric groups:

* Microsoft
* IBM
* Red Hat
* VMware
* Oracle
* SAP
* Citrix
* Common
{#explanation-rights-post-recon__ul_i5x_b3k_jdc}

For details on viewing the explanation of license rights, see [View calculations for your licenses in workspace](https://www.servicenow.com/docs/Fhrc1HOzmOnKypSSfi48Lw "Evaluate the license compliance of software applications by viewing the details for all required licenses through the Software Asset Workspace License usage view.")

## Tier-based license metric calculation {#explanation-rights-post-recon__section_f5d_2bc_ckc}

For a tier-based license metric, the consumed quantity is distributed across defined ranges or tiers. Each tier applies its own factor to the units that fall within that tier, and the results are added together to
determine the total number of licenses required. The total is then rounded up to the next whole number.

The following example shows how license rights for a tier-based license metric appear on the Licenses Required by page:  
The resource value res val 2 has 50 units consumed for Content Collector for SAP Applications under the Resource Value Unit - Data Source Record (1-2 Application Tiers) license metric. The tiering structure for this license metric defines a factor for each range:

* Tier 1: Range 1--1, Factor 15
* Tier 2: Range 2--5, Factor 20
* Tier 3: Range 6--15, Factor 2.5
* Tier 4: Range 16--50, Factor 2.25
{#explanation-rights-post-recon__ul_dp1_bcc_ckc}

The factor for each tier applies only to the units within that tier. The application calculates each tier and adds the results: tier 1 (1 unit × 15 = 15.00), tier 2 (4 units × 20 = 80.00), tier 3 (10 units × 2.5 =
25.00), and tier 4 (35 units × 2.25 = 78.75). The sum is 198.75, which is rounded up to 199. Based on the tier-based calculation, res val 2 requires 199 rights, which are licensed.

Note:  
If multiple resource value records contribute to the calculated requirement, the Licenses Required By tab does not show a tier-by-tier breakdown. To understand the calculation, review the individual resource value records.

## Calculation for Per Device license metric {#explanation-rights-post-recon__section_gsz_l5g_pdc}

The following is an example of how an explanation of license rights for a Per Device license metric appears on the Licenses Required by page:

* The MacBook Air 15" device has installations of Microsoft Office 2016.
* License consumption explanation: The device D9WW4HYV - MacBook Pro 15" has installs of Microsoft Office 2016. The calculation shows that rounding off the value of licensable installs (1) divided by maximum installs per right (1) is one licensable install. Since this value can be 0 when the maximum installs per right is infinite, we take the maximum of either the licensable installs calculated (1) or 1, which is 1 right. Based on per device licensing, D9WW4HYV - MacBook Pro 15" requires 1 right.
{#explanation-rights-post-recon__ul_s4c_2vg_pdc}


