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Manufacturing & Automotive

Manufacturing & Industry: Livingstone Group helps global manufacturer make optimized move to cloud & achieve significant savings.

This Livingstone Group customer is a major manufacturing company. A European-headquartered organization with services in over 140 countries, it is one of the largest manufacturers in the world.


From Audit Assessment to Managed Service Provider

Livingstone was initially contracted over 3 years ago by this organization to provide a second opinion on its internal Microsoft estate audit. As a result of an in-depth estate analysis, Livingstone’s team of licensing experts was able to identify and mitigate a multi-million-dollar compliance risk.  Following on from the success of this project, further negotiations later that year resulted in Livingstone providing a continuous service to manage the organization’s entire Microsoft estate.

In particular, the organization wanted Livingstone’s experts to help support and guide it on its cloud journey and optimize its current and future Microsoft requirements.  As a global, complex organization that operates within an industry highly subject to economic change, it was particularly important to the organization that it had a flexible, simplified, subscription-based licensing model that could withstand any market developments and also enable it to easily transition from on-premise solutions to the cloud if and when required.  Following on from Livingstone’s findings from the internal audit, the organization also knew it needed to ensure the mitigation of future compliance risks.

These requirements would mean forming a bespoke vendor negotiation structure and optimizing its existing contract.  Thanks to Livingstone’s past success, the organization knew it was in safe hands.


Preparation & Groundwork

As a worldwide company with various software requirement to cover the needs of many different departments, from production plants and design centres to corporate offices, the organization’s Microsoft licensing needs were complex.  The organization also had over 30 different live contracts with Microsoft, further complicating matters.

Having looked closely at the organization’s entire Microsoft estate during the initial audit, Livingstone’s experts assigned to the case had a thorough understanding of the organization’s current and future requirements and were able to get straight to work.

From the outset, Livingstone’s experienced and dedicated team also worked closely with the organization’s procurement and IT departments to assess the organization’s requirements and achieve the best possible outcome.  Livingstone also encouraged and implemented involvement from all key stakeholders, from executive level down, to make everyone aware of how an optimized contract and negotiation process would only benefit the business.


New & Improved Contract

Knowing the organization’s licensing requirements and armed with the in-depth knowledge of its current Microsoft estate, Livingstone was able to optimize the organization’s contract position, not only reducing its 30+ contracts down to a single entity, but also meeting all of its cloud requirements. Indeed, Livingstone initiated the transition to a subscription-based licensing model, allowing for an easy move to cloud at the company’s own pace and offering flexibility that was also key to accommodate for changes in market circumstances.

Livingstone was also able to reactivate the value of historical investments and ensure the new contract didn’t contain anything of depreciating value, in addition to mitigating future compliance risks and implementing an optimized licensing solution to meet the requirements of all the organization’s different user profiles.

As a result of the new optimized contract, the organization not only now had the flexibility of cloud solutions, but also made significant cost-savings in the process. In addition to the $8 million cost avoidance Livingstone was able to make during the initial audit, the organization also saw an additional 25% savings on the contract, including all required additional functionality and cloud features.


A Strategic Relationship

Due to its successes, Livingstone continues to work with the client on a continuous basis.  In particular, the organization is aiming to educate internal stakeholders about the software optimization process.  Rather than manage this internally, the organization identified the significant advantages of outsourcing Livingstone as a third-party expert that would be able to continuously provide knowledge and up-to-the-minute information.

Livingstone will also continue to support with any Microsoft licensing projects, mid-term contract negotiations and provide regular health checks for any on-premise solutions.  In addition, Livingstone will work to identify any future compliance risks, see where cost-savings can be made and provide intelligent market insights.

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