Scout provides the Windward solution on a per report basis instead of buying the software. Every time you call the Windward engine to create a report, including from AutoTag, the engine will query the license server for approval. If approved, the report runs. If not approved, the engine will throw an exception.
The license query is run in a background thread while the report is being generated. The network communication with the license server is one small packet sent up and a single packet returned. Therefore, this license check should have little to no impact on the speed of report generation.