MAINTENANCE COST REDUCTION
OVERVIEW
Recurring maintenance fees provide the single most profitable revenue stream for large incumbent IT suppliers. Many clients view this spend as inevitable and non-negotiable, though it is neither.
The Maintenance Cost Reduction program helps clients identify, evaluate and re-negotiate their hardware and software maintenance agreements, resulting in improved discount rates on renewals and a streamlined IT inventory. The program relies on the ClearEdge Contract Analysis Methodology, in conjunction with real-time market analytics on thousands of similar maintenance deals.
APPROACH
The program includes the following three areas of service:
DISCOVERY
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Collect, inspect maintenance contracts
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Verify usage
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Identify redundancies
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Identify maintenance pricing gaps
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Develop baseline pricing targets
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Develop agenda
STRATEGY
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Analyze inventory & eliminate redundancies
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Identify critical systems
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Assess leverage
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Redefine pricing & contract terms
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Develop “Plan Bs”
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Develop strategic message
EXECUTION
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Schedule negotiation with supplier
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Align internal resources
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Convey strategic message
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Renegotiate terms with supplier