Success Story - "Telecom Cost Reductions
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Company Description
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$1.4 Billion Electrical Wire And Cable Manufacturer
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Company Situation
and Problem |
Multiple but low margin products; sustained sales challenges;
low profitability; high and unstable material prices;
high costs of production; exposure to client base;
multiple telecom supplier rates no longer competitive;
telecom contract language biased towards supplier;
client skeptical of further telecom reductions.
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| Paladin Actions & Recommendations |
Assisted client in the preparation of the corporate
Request for Proposal with supplier recommendations. Completed
detailed analysis of all ten (10) submitted supplier proposals.
Developed evaluation matrix with ranking of pricing and all other
critical terms and conditions. Met personally with four finalist
suppliers and recommended both voice and data networking winners.
Performed cost analysis of both usage along with other tax/fee
savings opportunities.
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| Client Results |
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Leveraged
incumbent data networking supplier to reduce costs by 25%, thus eliminating
any network conversion costs. |
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Will
implement voice solution from a technology leader thereby affording both
fiber optic transport and switching at substantial cost reductions. |
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Further,
client will enjoy multiple contractual concessions, both regulatory and
business, heretofore never experienced. |
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Client is
now positioned for the future deployment of VoIP and MPLS, thereby enabling
network convergence, at many of its smaller sites not previously
cost-justified. |
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Additionally, the incumbent data networking supplier
will be further leveraged during 2005/06. |
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Significant Savings and Additional Contractual Concessions (37% Total Savings)
in Tough Situation |
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