Convenience retail · Case study

Reducing application and network costs for a convenience retailer.

A convenience retailer reset application support and network arrangements, matching costs and service levels more closely to its needs.

A beautifully ordered grocery produce display with a few fresh green pears and one burgundy crate edge, abundant pale counter and empty wall, no pricing or signs.
Application and network sourcingConceptual illustration.

Client context

The business context.

A convenience-store chain reviewed outsourced application maintenance and its network arrangements. The network transition also had to address constraints on capital available for investment.

Application support costs depended on staffing estimates, the allocation of people across applications and the service levels assigned to each application. The network decision required a viable commercial and funding arrangement as well as a technical solution.

The work

How the engagement was delivered.

  • Align support effort with application needs

    Benchmarked and renegotiated rates, reviewed staffing estimates and reassigned support effort across applications. Reassessed service levels by application and used exchange-rate evidence when reviewing offshore rates.

  • Reshape the network agreement

    Benchmarked individual network components and used the proposed move to software-defined networking to negotiate supplier capital funding for the transition.

What changed

Reduced support costs and recurring network expenditure.

Application maintenance achieved 33% savings against its baseline spend. The network agreement delivered 35% run-rate savings. Supplier capital funding also helped address the investment constraint on the network transition.

Our services

Related areas of support.

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