Taking Informed Risks

Our clients trust us to provide them with our best advice. They need recommendations that can be implemented and sustained. They need recommendations that solve their problems. Sometimes that means taking risks.

An enterprise client with a >$1B ITO contract needed to exit its relationship with a large provider. The challenges in the relationship had multiple causes, tensions between parties were high and progress moving beyond those challenges had been stifled. Furthermore, the client wanted to move beyond the traditional monolithic deal it had signed years prior, required service improvement and completion of a server consolidation initiative that had been stalled.

Working with our client we recommended a multi-supplier integration model that would extract cross functional capabilities from the existing provider, and source those functions to a new provider. This new MSI would provide transparency across tower providers, while giving the client a view of critical processes to which they had previously been blind. We also recommended a rebid strategy for the remaining towers that preserved client options to pick either a single or multiple providers to integrate with the MSI. Within our client’s industry, this was the first time an integration model of this nature had been attempted or implemented. This was a risk. But it was an informed risk and one that we believe would help our client in the long run.

The client accepted our recommendation and with our help implemented it. Negotiations between all parties were successful and today the client has a stable environment from which they can think about their next strategy. And they did all of this in a budget neutral manner.