CS: 53M

One of our recent clients was a biopharmaceutical company with $5B+ in annual revenue. The client had a large software contract with one of the industry leading providers. The original agreement was charged on a “case volume” basis which was leading to rapid growth in costs beyond our client's budget.

We helped the client renegotiate the agreement with their software vendor by:

Changing the cost lever from which the client was billed from “case volume” to “seat-based licenses”
Setting rates on a “should cost” basis due to The Negotiator Guru’s extensive experience in the IT Sourcing industry
- We decided that 35% was an acceptable margin for a software provider to be charging the client. Previously, the software vendor had been charging a 200% margin.
Handling the entire renegotiation process

The end result:

$52.3M+ in savings over 5 years

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$53M in IT Savings for a biopharmaceutical company