Case Study: Microsoft EA Renewal for an IT Professional Services Company in Chicago
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, the company sought to:
- Analyze current Microsoft deployments and licensing usage.
- Optimize license allocations to reduce costs.
- Develop a roadmap for future IT needs and cloud adoption.
- Benchmark against industry peers to ensure competitive pricing.
- Negotiate flexible and cost-effective terms for the new EA.
Given its dynamic service offerings and rapid growth, the company required a strategic approach to manage its licensing and align it with business objectives.
The Process
- Deployment Analysis: • Conducted a comprehensive review of the company’s Microsoft product usage, including Office 365, Azure, and Dynamics 365. • Identified underutilized and over-allocated licenses by mapping deployments against actual usage. • Evaluated hybrid and cloud infrastructure to align with future business needs.
- Optimization: • Consolidated licenses across departments to reduce duplication and optimize costs. • Transitioned specific teams to role-based licensing tailored to their operational requirements. • Retired unused or redundant Microsoft products to streamline the licensing portfolio.
- Roadmap Development: • Collaborated with IT leadership to define a three-year roadmap for licensing needs. • Prioritized scalable solutions to support client projects and internal initiatives. • Integrated future cloud migration plans into the roadmap to ensure flexibility and efficiency.
- Benchmarking: • Compared licensing costs and terms with similar IT service providers in the industry. • Identified areas where the company could secure better pricing and terms.
- Negotiation Strategy: • Used insights from the analysis and optimization phases to develop a robust negotiation plan. • Secured significant discounts on Azure and Office 365 licenses. • Negotiated terms that allowed the company to adjust licensing volumes periodically to match business demand.
Results
- Cost Savings: • Annual savings from license optimization: $2.7 million. • Additional savings through negotiated discounts: $1.5 million. • Total savings achieved over the three-year term: $4.2 million.
- Operational Improvements: • Reduced overall licensing costs by 22% while maintaining compliance. • Streamlined licensing management across multiple business units for improved efficiency. • Enabled adoption of advanced Microsoft solutions to enhance client service delivery.
- Strategic Outcomes: • Achieved a flexible EA aligned with business growth and innovation goals. • Improved governance and visibility into licensing usage and costs. • Positioned the company for seamless scaling of IT services and cloud adoption.
Quote from the CIO:
“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.”
Key Results:
- Savings Achieved: $4.2 million over three years.
- Compliance Enhanced: Fully compliant with Microsoft licensing policies.
- Operational Efficiency: Optimized licensing portfolio with reduced waste.
- Strategic Alignment: Tailored licensing strategy to support growth and innovation.
This case demonstrates Redress Compliance’s ability to deliver substantial financial and operational benefits for IT professional services companies, ensuring cost efficiency and strategic alignment in Microsoft EA renewals.
