Baseline Cost Reduction

Baseline Cost Reduction

Problem:  A technology company spending c. $40M USD annually on IT wanted to establish baseline running costs – concerned that none of the annual spend was available for business critical system transformations and upgrades to support growth objectives.
Solution:  Our consultants conducted an in-depth study of IT expenses and established baselines for annual spending,  systems/infrastructure and staffing in comparison to best practice benchmarks and comparisons to other companies.
Benefits:  Several initiatives were identified to assist the company in transforming IT spending and shifting approximately 15% of annual budget towards initiatives that could transform the business.  Annual saving: $6M.