Salesforce Engagement Overview #6:
Global Technology Company
A global technology company engaged TNG to Right Size and Right Price its current contract with Salesforce. The client’s objectives were to ensure they were only paying for the licenses they actually need (right size) while at the right price.
The outcome of this engagement was a $2.6M cost savings and a happy client that expanded the use of TNG across their enterprise.
We utilized our 4-step IT Software Negotiation Process to drive the following key activities:
- Step 1) Discovery – We quickly huddled with the client and determined there was very little Salesforce governance inside of their organization. While they had a Salesforce Administrator, this individual acted more as a technical resource with little accountability related to their license compliance or governance.
- Step 2) Strategy – The TNG team ran virtual workshops with the client to quickly isolate cost reduction opportunities through quantity, license type, and price benchmarking reduction.
- Step 3) Negotiate – We worked directly with Salesforce’s renewals team and global leadership team to reset the relationship both operationally and contractually.
- Step 4) Contract Execution - We heavily negotiated contractual terms and conditions that provided flexibility for the client based on their growth projections, drive for innovation, and focus on the end user.
The Results (not comprehensive)
- A very happy client who uses TNG across their enterprise
- A $2.6M cost savings that was used for reinvestment
- Stronger governance and internal controls to systematically contain costs and risk
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