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Microsoft EA Renewal ยท Case Study

Microsoft EA Renewal for an IT Professional Services Company in Chicago

How Redress Compliance delivered $4.2 million in savings over three years for a Chicago-based IT professional services company with 10,000+ employees โ€” through deployment analysis, role-based licence optimisation, industry benchmarking, and strategic EA renewal negotiation that reduced overall costs by 22%.

Case Studyโ€ขMicrosoft EA Renewalโ€ขIT Professional Services ยท Chicago, USAโ€ขFebruary 18, 2026
๐Ÿ“š Back to Microsoft Knowledge Hub โ€บ ๐Ÿ“– Read our What Is an EA guide โ€บ This Case Study ๐ŸŽฏ Free Microsoft Licensing Assessment
$4.2M
Total Savings
Over 3-year EA term
22%
Cost Reduction
Overall licensing costs
10K+
Employees
Clients across the US
100%
Fully Compliant
Microsoft licensing policies

Engagement Snapshot

Client
Leading IT professional services company, Chicago
Industry
IT Professional Services
Vendor
Microsoft
Engagement Type
EA Renewal, Optimisation & Negotiation
Products
Office 365, Azure, Dynamics 365
Key Issues
Underutilised licences, over-allocation, hybrid cloud alignment
Total Savings
$4,200,000 over 3 years
Cost Reduction
22% overall licensing cost reduction

The Challenge

A leading IT professional services company headquartered in Chicago, with over 10,000 employees and clients across the United States, engaged Redress Compliance to assist with its Microsoft Enterprise Agreement (EA) renewal. The company's IT infrastructure supported diverse operations including client project management, software development, and cloud-based services.

With an upcoming EA renewal representing a significant recurring software expenditure, the company needed to analyse deployments, optimise licence allocations, develop a roadmap for cloud adoption, benchmark against industry peers, and negotiate flexible terms aligned with its dynamic, project-driven business model. Given the company's rapid growth and evolving service offerings, a strategic approach to licensing management was essential.

IT professional services companies face a distinctive Microsoft licensing challenge: highly variable demand driven by client project cycles. Consultants, developers, and project managers move between engagements with different technology requirements โ€” some needing full E5 suites, others requiring only basic productivity tools, and many needing Azure dev/test environments that spin up and down with project timelines. Microsoft's standard EA model assumes stable, predictable headcounts with uniform licence requirements โ€” a poor fit for services firms where workforce composition and technology needs shift quarterly. Without project-aware optimisation and flexible volume adjustment terms, IT services companies routinely over-provision by 20โ€“30%.

The Process

1

Deployment Analysis

Conducted a comprehensive review of the company's entire Microsoft estate:

  • Reviewed Microsoft product usage across Office 365, Azure, and Dynamics 365
  • Identified underutilised and over-allocated licences by mapping deployments against actual usage
  • Evaluated hybrid and cloud infrastructure to align with future business needs
  • Analysed usage patterns by role, project type, and business unit
2

Optimisation

Identified substantial cost reduction opportunities aligned with the services business model:

  • Consolidated licences across departments to reduce duplication and optimise costs
  • Transitioned specific teams to role-based licensing tailored to their operational requirements
  • Retired unused or redundant Microsoft products to streamline the portfolio
  • Quantified licence optimisation savings at $2.7 million annually
3

Roadmap Development

Collaborated with IT leadership to define a three-year technology roadmap:

  • Defined a three-year roadmap for licensing needs aligned with growth trajectory
  • Prioritised scalable solutions to support client projects and internal initiatives
  • Integrated future cloud migration plans to ensure flexibility and efficiency
  • Aligned licensing commitments with projected headcount and project pipeline
4

Benchmarking

Leveraged Redress Compliance's proprietary benchmark database for competitive positioning:

  • Compared licensing costs and terms with similar IT service providers in the industry
  • Identified areas where the company could secure better pricing and terms
  • Built evidence-based pricing targets for every product line in the EA
5

Negotiation Strategy

Developed and executed a data-driven negotiation plan for maximum savings:

  • Used insights from analysis and optimisation to develop a robust negotiation plan
  • Secured significant discounts on Azure and Office 365 licences
  • Negotiated terms allowing the company to adjust licensing volumes periodically to match business demand
  • Achieved $1.5 million in additional savings through negotiated discounts beyond optimisation

The Results

MetricDetail
Annual Savings: Licence Optimisation$2,700,000 per year
Additional Savings: Negotiated Discounts$1,500,000 over 3 years
Total Savings (3-Year Term)$4,200,000
Overall Cost Reduction22% reduction in licensing costs
Compliance StatusFully compliant with all Microsoft licensing policies
Operational EfficiencyStreamlined licensing management across multiple business units
Cloud ReadinessAdvanced Microsoft solutions adopted for enhanced client service delivery
GovernanceImproved visibility into licensing usage and costs across all divisions

Savings Breakdown

$2.7M
Licence Optimisation
Annual recurring savings
$1.5M
Negotiated Discounts
Over the 3-year EA term
22%
Total Cost Reduction
While maintaining full compliance
"Redress Compliance's expertise was instrumental in our Microsoft EA renewal. Their strategic approach helped us reduce costs, optimize our licensing, and secure an agreement that supports our long-term goals. Their insights were invaluable."
CIO โ€” IT Professional Services Company, Chicago

IT professional services companies with project-driven workforces require fundamentally different EA structures than traditional enterprises. The combination of deployment analysis across dynamic project teams, role-based optimisation for consultants vs developers vs corporate staff, industry benchmarking against peer services firms, and evidence-based negotiation typically delivers 20โ€“25% reductions in overall EA cost. Microsoft's standard renewal proposals assume stable, uniform headcounts โ€” services companies that accept these terms without independent advisory pay for licences their workforce doesn't need and miss flexible volume adjustment provisions that align costs with actual business demand.

How Redress Compliance Can Help

As a fully independent advisory firm, Redress Compliance provides objective Microsoft EA advisory, licence optimisation, and negotiation support โ€” with no commercial relationship with Microsoft.

๐Ÿ“‹
Optimisation Services
Full licence review
๐Ÿ›ก๏ธ
Audit Defence
Expert audit protection
๐Ÿ”„
EA Optimisation
Enterprise agreement advisory
๐Ÿ“
Contract Negotiation
Better deals and terms

Microsoft EA Renewal Approaching?

Redress Compliance provides expert Microsoft EA advisory โ€” with deep benchmarking data from 500+ enterprise deals and specialists who understand Microsoft's pricing, discounting, and negotiation tactics. We've saved IT services companies across North America millions through optimised, role-aligned, project-aware licensing structures.

๐Ÿ“š Continue Reading
๐Ÿ“– What Is a Microsoft Enterprise AgreementRead our What Is an EA guide โ†’ ๐Ÿ“š Microsoft Knowledge HubBack to Microsoft Knowledge Hub โ†’ ๐ŸŽฏ Free Microsoft Licensing AssessmentRequest your complimentary review โ†’
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Fredrik Filipsson

Co-Founder @ Redress Compliance

Fredrik Filipsson brings over 20 years of experience in enterprise software licensing, having worked directly for IBM, SAP, and Oracle before co-founding Redress Compliance. Over the past 11 years as an independent advisor, he has helped more than 500 enterprise clients โ€” including numerous Fortune 500 companies โ€” optimise costs, avoid compliance risks, and secure favourable terms with major software vendors.

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