ARG assisted a $13 billion in revenue technology and consulting company in reducing its IT spending by 30%. Clearly defined goals and consistent communication led to a true partnership and exceeding expectations.

Acquisitions create turmoil in IT organizations. Establishing accurate inventory, assessing future needs, and driving reductions in services to meet future needs frequently ends in frustration. Priorities shift in these situations, forcing IT leaders to reallocate resources away from driving post-merger economies to addressing the operational needs of the newly combined entity.

Leveraging the ITEM (IT Expense Management) platform, ARG was able to accurately assess immediate opportunities for economic and operational efficiencies. Spending was categorized by several variables, such as total contract cost, contract status, and commitments, as well as client requirements versus service delivered.

Targeting the larger spending buckets that were either out of term or coming out of term shortly and where significant savings seemed likely, ARG created a priority list of network recommendations. For those services that did not immediately rise to the highest priority but that were at the end of the contract term, ARG undertook a contract renegotiation strategy to commit to a short-term contract renewal in exchange for immediate cost reductions. Lower priority items were noted and designated for further consideration once the major elements had been addressed.

Bringing in ARG as a consultant to take the network synergies and cost reduction work off the shoulders of the IT staff achieved dramatic results. Not only did the team exceed their reduction goals, but the client IT staff also gained significant operating agility and control.

Two and a half years into the relationship with the merged companies and multiple acquisitions, ARG and the client still operate as a team. The client truly views ARG as an extension of their staff to the point that the Procurement Department will send departments seeking network services directly to ARG. Invoices and providers have both been cut in half. Savings have exceeded the client’s goals. To date, the savings program exceeds 30%!