Case Study: Microsoft EA Renewal for a Large East Coast Bank
Challenge
A leading bank on the East Coast with over 20,000 employees engaged Redress Compliance to assist with the renewal of its Microsoft Enterprise Agreement (EA). The bank’s IT infrastructure supported critical banking operations, customer management systems, and digital transformation initiatives. With an impending EA renewal, the bank sought to:
- Analyze its current Microsoft deployments and usage.
- Optimize its license allocations to reduce waste.
- Develop a roadmap for future IT needs and licensing requirements.
- Benchmark against industry standards to ensure competitive pricing.
- Negotiate favorable terms for the renewal.
Microsoft’s licensing models’ complexity and high financial stakes required a strategic approach to maximize value and minimize costs.
The Process
- Deployment Analysis: • Conducted a comprehensive review of the bank’s Microsoft deployments, including Office 365, Azure, and on-premise solutions. • Mapped software usage against entitlements to identify underutilized licenses and areas of overprovisioning. • Assessed the bank’s hybrid cloud strategy to align licensing with its long-term goals.
- Optimization: • Identified redundant licenses and recommended reallocations to align with actual usage patterns. • Consolidated licenses across business units to reduce overall costs. • Recommended a shift to role-based licensing for specific departments to ensure efficient resource allocation.
- Roadmap Development: • Collaborated with the bank’s IT leadership to define a three-year roadmap for Microsoft product adoption and licensing needs. • Addressed future IT initiatives, including cloud migration, enhanced security measures, and digital collaboration tools. • Integrated scalability and flexibility into the roadmap to accommodate business growth.
- Benchmarking: • Compared the bank’s licensing costs and structure against peer institutions to identify discrepancies. • Provided insights into market trends and best practices to ensure competitive pricing and terms.
- Negotiation Strategy: • Developed a data-driven negotiation strategy leveraging findings from the deployment analysis, optimization efforts, and benchmarking. • Secured discounts and concessions on key Microsoft solutions, including Azure and Office 365. • Negotiated flexibility in the agreement to allow adjustments based on future business needs.
Results
- Cost Savings: • Annual savings from license optimization: $3.5 million. • Additional savings through negotiated discounts: $2.2 million. • Total savings achieved over the three-year term: $5.7 million.
- Operational Improvements: • Reduced overall licensing costs by 25% while maintaining full compliance. • Streamlined licensing across business units for improved management and reporting. • Enhanced scalability to support the bank’s digital transformation initiatives.
- Strategic Outcomes: • Achieved a flexible agreement that aligns with the bank’s growth and innovation goals. • Positioned the bank to seamlessly adopt future Microsoft technologies. • Established a robust governance framework for ongoing license management.
Quote from the CIO:
“Redress Compliance’s expertise was instrumental in ensuring a successful Microsoft EA renewal. Their insights and strategic approach delivered significant cost savings and positioned us to meet our future IT objectives. They were an invaluable partner throughout the process.”
Key Results:
- Savings Achieved: $5.7 million over three years.
- Compliance Enhanced: Fully compliant with Microsoft licensing terms.
- Strategic Alignment: Licensing strategy tailored to future IT initiatives.
- Operational Efficiency: Optimized licensing portfolio with reduced waste.
This case highlights Redress Compliance’s ability to deliver exceptional financial and operational benefits through strategic Microsoft EA renewals, ensuring compliance, cost savings, and alignment with business goals.
