A beverage company with multiple subsidiaries sought to standardize IT Infrastructure strategies and take advantage of economies of scale to drive the business case for moving to new operating model. It wanted to conduct a design of a cloud strategy template which could be globally applied to ensure optimal total cost of ownership (TCO) without any negative impact on its service levels. It engaged ISG to review its sourcing progress to date with a refreshed understanding of the cloud approach suggested by its IT provider and to refine it. Using the renewed strategy, it asked ISG to help it and the provider to do an application assessment to build the business case for the move to cloud. It also looked to ISG to create a contract with the provider, incorporating right pricing models, effective service-level and efficient governance mechanisms.
Imagining IT Differently
ISG conducted a current-state comparison of the company’s sourcing footprint and potential vendor leverage against market trends. Our approach included a best-fit value model for “right-sized” service delivery. We changed the approach of cloud adoption from “critical app in private” to “public cloud first,” following its preferred strategy. We also facilitated large, provider-driven planning exercises in various geographies, including Americas, Europe and the Asia Pacific. The outcome of this exercise was to ensure a detailed business case and plan for actual migration to public or private cloud with minimal surprises. ISG applied its experience with SaaS and IaaS based solutioning and cloud sourcing best practices to determine the deployment models for future scenarios.
Future Made Possible
- The company validated the provider’s approach for the cloud strategy.
- It received an assessment describing how it could leverage cloud technologies safely to solve for variable cost, agility and flexibility to meet business demands.
- It moved under one roof through the initiative, including the required governance structures and end-to-end processes.
- The company also built future options based on ISG expertise surrounding the cloud market and evaluated “right fit” based on the pros and cons provided by ISG to support final decision-making.
- It achieved an effective and efficient contract with its chosen provider.