vendorlogixlogo

In October 2015, Vendorlogix worked with a global client in the technology and manufacturing verticals. The customer has over 5,000 employees across 3 different continents. Vendorlogix was able to work with the client and use our proprietary processes to... 

  1. Inventory all assets across the globe
  2. Create a strategic and flexible roadmap
  3. Provide negotiation services that resulted in this customer reducing their Microsoft expenditures by $3.7M

In addition, Vendorlogix was able to structure the agreement so this customer can expect between $450k-600k in future cost savings per year.

Customer Challenges

  • IT assets spread across the globe and no reliable tool to accurately inventory assets in a detailed manner.
  • IT groups spread across the world, and 6 different IT resources being challenged to manage specific products.
  • Inter-company communication was challenging and IT teams didn’t have an efficient way to leverage each other’s resources.
  • Create a strategic roadmap for each division and flexibility for growth or potential reductions
  • Agreement structure was a mix of subscription, perpetual and SPLA
  • New leadership was under time constraints for the renewal
  • Needed an agreement that provided options, yet didn’t handicap the organization for future M&A

Vendorlogix Engagement

Vendorlogix was able to quickly align the right resources within the customer and bring licensing experts and infrastructure engineers to create an engagement plan. With the plan in place, Vendorlogix was able to sort out the existing agreements, current deployment numbers, create a consolidation plan, and engage Microsoft for negotiations within 2 weeks.

Highlights

  • By analyzing the footprint and working with the IT teams, Vendorlogix was able to reduce the licenses required by $1.49M. This provided immediate cost savings.
  • Provide 3 options to the customer, and build a business case for each so Microsoft was motivated to provide discounts that represented the customer’s need.
  • Assisted the Microsoft account teams and LAR resources to navigate their own internal processes to provide a max discount.
  • Added 5 new technologies that the customer was interested in, with $0 increase in cost to the customer.
    • Office 365
    • Azure
    • Active Directly Premium
    • Skype for Business PBX replacement
    • Power BI
  • Microsoft also provided $65k in deployment services for the customer to use at their discretion.
  • Provide a mutually beneficial engagement for Microsoft and the customer. Microsoft was able to check important items off their scorecard and the customer was able to show a bottom line cost savings over years prior.

Summary

Vendorlogix's experience and expert resources were able to provide advice that allowed the customer to...

  1. Be confident in their 3 year licensing commitment
  2. Reduce YoY cost by $279k
  3. Lock in pricing to avoid price increases for true-ups and potential future products for 3 years.

The customer was able to realize a 1325% ROI from the Vendorlogix engagement. In addition, Vendorlogix will continue to work with the customer for the life of their agreement for FREE.

Quote from the customer

“Vendorlogix was invaluable to us. With a new team, and a short window to make decisions, Vendorlogix was able to bring simplicity and direction to our organization. Their experience was obvious and I am very confident that we have been able to do exactly what our management desired (reduce costs) and improve our functionality to the business.”

2016-01-08 14_59_47-Vendorlogix Case Study Oct 2015.pdf - Adobe Acrobat Reader DC