In the Dutch telecom sector, margins are constantly under pressure, which drives a strong focus on cost containment. In the last year of the sourcing lifecycle, our client and the vendor came to the conclusion that further cost decrease in the existing set-up was not viable. This resulted in a need for a new solution supplier who could take over the business without damage to its continuity, all the while decomplexifying the existing supply chain, simplifying the contract model, improving the financial predictability, and implementing innovative ideas leading to improved cost efficiency and performance.
The key goal was to establish a leaner delivery model with the newly contracted vendor and secure a smooth transition of the workload in time to avoid forced, costly contract extension with the incumbent supplier.
Develop2Create took care of selecting and contracting the new vendor, guiding the change through the work counsel, getting board approval in time and managing the transition.
Under our supervision, over 100 FTE were moved over to a new supplier under TUPE and new IT-support systems were implemented with no disturbance to the business continuity. The demand-supply governance was set up in an agile way of working using Obeya with the shared goal to reduced OPEX cost with 10% on a year-on-year basis.
Erik Bouwes Bavinck