Large Global Telecommunications Company: Infrastructure Transformation Program

When a large global telecommunications company was faced with slowing revenue growth, shrinking headcount and spiraling IT costs, Accenture’s audit and consolidation of the 120-nation IT infrastructure in line with a global business restructure resulted in bottom line savings of 40 percent.

A large global telecommunications company was faced with slowing revenue growth, shrinking headcount while IT costs remained high. Accenture was asked to conduct a review of the business and its IT infrastructure in 120 countries while taking into account a massive business re-organization that was already underway. The review resulted in the implementation of a structured IT infrastructure consolidation program over 18 months.

The IT consolidation program resulted in 40 percent bottom-line cost savings. These cost savings included a 35 percent reduction in servers, the consolidation of networks and applications and the introduction of common global processes.

The IT consolidation program—which is phase I of an overall infrastructure transformation program—allowed this organization to understand what assets it had, which meant it was ready to move to phase II: the introduction of new technologies. Phase II activities included the implementation of virtualization software that will prepare the organization for a utility-style computing environment inside the firewall. Phase III will prepare the company for a utility-style computing model outside the firewall.