Case Study: Enterprise Negotiations
Situation
All functional leaders were responsible for annual negotiations for tools leveraged by their teams. The goal was YoY savings and to partner with the internal expert on vendor/software negotiations to 1. understand the windows of negotiation impact, 2. understand how to right size contracts, and 3. understand how to balance short –term needs with costs.
Action
DSI managed license allocation to prevent against unnecessary top-ups for Tableau during the migration from Tableau to Sigma. We also got ahead of negotiation windows to reduce total costs for year 2 on both FiveTran and Sigma.
Takeaway
Saved the company $60,000 to $75,000 across 3 platforms on a total expenditure of $325,000 for year 1.
Results
Ability to save ~ 20 - 25% in tooling costs from Year 1 to Year 2 with same usage & functionality.
Have developed a process for managing contracts for net savings in negotiations.
Knowledge of 3rd party tools to support an active negotiation process.
