IT Communications Cost Review
for a European food manufacturer
Faced with increasing cost pressures, our client needed to know whether it was getting value from money from its investment in IT communications. Previous reviews had been too high-level and had not resulted in changes to the status quo. Peru commited to help relieve the pressure.
Using Peru’s detailed price comparison method we undertook the following:
- A service and price comparison using the Peru comparator database.
- Normalised the data to take account of the specific client environment.
- Carried out a detailed analysis of technology usage to identify exceptional spend items that needed to be addressed.
- Validated summary bill versus detailed management information.
- Assessed the market to determine the most suitable service provider options ahead of the end of current contractual arrangements
As a result of this initial work, Peru recognised that a saving of 25% off current IT communications charges could be found. This required Peru to:
- Produce a list of billing anomalies that the client could address with the service provider
- Set out clear recommendations to achieve optimal short-term tactical savings as well as a longer-term, optimised re-sourcing strategy
- Generate a technology review recommending ways to optimise existing investments and maximise new, lower-cost technologies
The most surprising outcome was an unexpected opportunity to achieve short-term IT communications cost savings which would not have been identified without the Peru's initial analysis. Longer-term, our client developed a clear understanding of the cost and service benefits that could be gained from new technology and a new sourcing approach.