Cut IT Ops Costs in Half: IT Assessment & Operation Improvement
The client faced ongoing challenges in IT operations, including unclear prioritization of issues, lack of task and service ownership, and frequent system outages and disruptions. Operational quality was not standardized, system patches and OS updates had not been executed for over 24 months, and overall ERP operational costs were high. The client also sought an objective assessment of whether services provided by external vendors were being delivered at the expected quality and value. To address these issues, we conducted a comprehensive ERP assessment and supported operational improvements to stabilize the environment, improve service quality, and reduce costs.
Our Approach
ERP Health Assessment and Prioritization
Conducted a comprehensive ERP Health Check (EWA) to assess operational stability, risks, and vendor performance.
Identified and prioritized high-impact issues alongside quick-win improvement opportunities.
Defined clear operational goals and success criteria.
Service and Governance Improvement
Reviewed and updated the operation and maintenance (O&M) plan.
Negotiated directly with MSP executives to improve service quality and delivery standards.
Requested and executed a service manager change where required.
Established weekly, monthly, and quarterly review governance, including executive-level checkpoints.
Operational Optimization and Cost Control
Revised service levels and eliminated unnecessary contracts and services.
Reviewed service models and vendor fee structures.
Reduced the number of active projects by eliminating non-essential initiatives (11 → 3).
Embedded project team members into day-to-day operations to execute improvements collaboratively.
Key Issues Addressed
Lack of standardized operational processes and clear issue prioritization.
Absence of ownership for system operations and ongoing service management.
Outdated patching and maintenance practices increasing system risk.
Excessive operational costs driven by inefficient service contracts.
Limited visibility into issue status, priorities, and engineering capability.
Results
50% reduction in ERP operational costs.
Improved operational quality through standardized processes and clearer governance.
Visualized system status, high-priority issues, and ownership, enabling faster decision-making.
Clear identification of engineering capability gaps and focus areas.
More effective vendor collaboration and accountability through structured review cycles.The client encountered significant challenges in their ERP operations, including insufficient clarity regarding issues and priorities, inadequate task management processes, and recurrent system outages and disruptions. Furthermore, they sought to evaluate whether the services provided by their vendor were being delivered appropriately.