Case Study: Microsoft EA Renewal for a Major US Financial Institution
Challenge
A prominent US-based financial institution, employing over 75,000 professionals and managing extensive operations in retail banking, wealth management, and corporate finance, engaged Redress Compliance to manage its Microsoft Enterprise Agreement (EA) renewal. The bank’s IT infrastructure relied on Microsoft’s technologies to ensure operational efficiency, regulatory compliance, and secure client interactions. Facing the upcoming EA renewal, the institution aimed to:
- Conduct a thorough review of its current Microsoft deployments.
- Optimize license usage to eliminate unnecessary costs.
- Align its licensing strategy with long-term IT modernization goals.
- Benchmark costs against similar financial organizations.
- Negotiate a flexible agreement to support scalability and future digital initiatives.
With stringent regulatory requirements and a rapidly evolving IT environment, the institution required a meticulous and strategic approach to its EA renewal.
The Process
- Deployment Analysis: • Assessed the utilization of Microsoft products, including Office 365, Azure, and Dynamics 365. • Mapped entitlements against actual usage across all business units. • Identified underutilized licenses and redundant software allocations.
- Optimization of Licensing Portfolio: • Consolidated licenses across departments to reduce duplication. • Recommended transitioning specific teams to role-based licensing models tailored to their needs. • Retired legacy solutions no longer aligned with the institution’s strategic objectives.
- Strategic Roadmap Development: • Collaborated with IT leadership to design a three-year roadmap for cloud adoption and advanced analytics implementation. • Integrated plans for enhanced security tools to address regulatory compliance. • Focused on scaling licensing to accommodate potential growth in business operations.
- Benchmarking and Negotiation Strategy: • Benchmarked the institution’s licensing costs and terms against other large financial organizations. • Provided insights into market trends to strengthen the negotiation position. • Developed a negotiation strategy emphasizing cost predictability and flexibility.
- Agreement Renewal Support: • Presented detailed findings to Microsoft, justifying requests for discounts and customized terms. • Secured concessions on Azure and advanced collaboration tools. • Negotiated terms that allowed for periodic adjustments to licensing volumes based on evolving needs.
Results
- Cost Savings: • Annual savings from license optimization: $7.8 million. • Additional savings through negotiated discounts: $4.2 million. • Total savings achieved over the three-year term: $12 million.
- Operational Enhancements: • Reduced overall licensing costs by 28% while maintaining compliance. • Improved governance and visibility into software usage across the organization. • Enabled seamless adoption of advanced tools to enhance collaboration and data analysis.
- Strategic Outcomes: • Achieved a scalable EA aligned with the bank’s growth and innovation objectives. • Enhanced security posture through the integration of advanced compliance tools. • Positioned the institution for successful execution of digital transformation initiatives.
Quote from the CIO:
“Redress Compliance’s expertise in Microsoft EA renewals delivered exceptional results for our organization. Their tailored approach ensured significant cost savings while aligning our IT strategy with our business goals. They were a critical partner throughout the process.”
Key Results:
- Savings Achieved: $12 million over three years.
- Compliance Enhanced: Fully compliant with Microsoft licensing policies.
- Operational Efficiency: Streamlined software portfolio and reduced redundancy.
- Strategic Alignment: Licensing strategy tailored to meet regulatory and innovation goals.
This case highlights Redress Compliance’s ability to deliver strategic and cost-effective solutions for large financial institutions, ensuring compliance, operational efficiency, and scalability in Microsoft EA renewals.
