At a glance


  • Total savings of ~£266K
  • Enhanced contract – IPR indemnity, data protection
  • Negotiated annual reductions
 
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Project:

Global WAN as IaaS

Client:

Hydrogen is a global specialist recruitment group focused on mid-to senior-level roles across the disciplines of Business Technology & Transformation, Finance & Accounting, Legal, HR, Engineering and Pharmaceuticals.

Scope:

The company decided to move to a dynamic infrastructure as a service system with managed WAN. Their requirements were:
Negotiate a guaranteed uptime to support global business processes

  • Include a safe and smooth transition to the new supplier
  • Define a straightforward low cost migration path
  • Improve supplier relationship
Key Business Benefits:

 

Cost saving

Total savings of ~£266K including in particular:

  • Monthly discount tiers of 20% equalling to more than £60K per annum
  • ~£40K of CaaS cost avoidance
  • Capped pricing for 36 months
  • Negotiated annual reductions on a 3-year contract

Commercial benefits

Reduced effort for the client: Turnstone dealt with the workload, reporting key issues and decision points to the client.

Enhanced contract to ensure supplier performance and facilitate robust supplier management in future, including in particular:

  • IPR indemnity: from no to full indemnity
  • Data protection: from no obligations to partial acceptance of obligations
  • WAN changes: no penalty for site moves unless tail circuit cost
  • Loss of data: from no liability to an obligation to retrieve lost data due to supplier’s negligence
  • Limit of liability: the supplier’s cap remained but the client’s liability halved from £2 to £1 million
  • Termination for poor performance: a separate clause inserted to allow for termination for poor performance 
The Turnstone Approach:

Turnstone were deployed to negotiate objectively with the vendors. Requirements were finalised, including all elements of the implementation project and its associated costs.

Turnstone used its wealth of benchmark data to ensure that these elements were fairly priced and properly listed in the schedules, with appropriate acceptance criteria and payment milestones.

Our skill and experience in supplier negotiations proved highly effective, reducing costs by around 25%. Turnstone also employed its extensive contract analysis tools to review and improve the terms and conditions, to give the client a much improved commercial position.

“When Turnstone was first engaged, I was sceptical but the support offered throughout this process gave me great confidence.

This is the tightest contract that we have ever signed” 

 

Amber Hayat

Head of IT Hydrogen