Four Areas toReduceIT ProjectSpend By Up to 50%<br />Chris Hamilton<br />Business Development Executive<br />Calgary, Albe...
The Four Areas for Cost Savings<br />Global Delivery Network: Offshore up to 100% of IT projects – 50% or greater savings<...
Typical IT Project:<br />Budget: $2 M<br />$400Kfor Hardware and Software<br />$1.6M Labor<br />All work done by local wor...
Scenario 1<br />Original Budget: $2M<br />50% onshore / 50% offshore - $400K savings<br />10% hardware/software - $40K sav...
Scenario 2<br />Original Budget: $2M<br />50% onshore w/ SRED - 50% offshore - $640K savings<br />10% hardware/software - ...
Scenario 3<br />Original Budget: $2M<br />10% onshore w/ SRED / 90% offshore - $768K savings<br />10% hardware/software - ...
Other Areas to Drive Savings:<br />Hosted Services: <br />BPOS<br />Virtualization:<br />Servers<br />Desktop<br />Applica...
Benefits to Using Avanade<br />Access to a Global Delivery Network to reduce IT Project Costs<br />Access to bulk discount...
Contact<br />Please feel free to reach Chris Hamilton @:<br />Chris.hamilton@avanade.com<br />Or via Linked In @:<br />htt...
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Reducing IT Project Spend by up to 50%

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Four readily available processes that can reduce an IT project spend by up to 50%. Get the same project at half the price.

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Reducing IT Project Spend by up to 50%

  1. 1. Four Areas toReduceIT ProjectSpend By Up to 50%<br />Chris Hamilton<br />Business Development Executive<br />Calgary, Alberta<br />403-476-1473<br />
  2. 2. The Four Areas for Cost Savings<br />Global Delivery Network: Offshore up to 100% of IT projects – 50% or greater savings<br />Hardware/Software Savings: Accenture’s Proquire Service – Savings up to 20% on brand names<br />Reusable IP:10% + savings<br />Scientific Research Experimental Development (SRED) Credit:30% to 42% tax credit on eligible items<br />
  3. 3. Typical IT Project:<br />Budget: $2 M<br />$400Kfor Hardware and Software<br />$1.6M Labor<br />All work done by local workforce/contractors<br />Combination of hardware and software required<br />
  4. 4. Scenario 1<br />Original Budget: $2M<br />50% onshore / 50% offshore - $400K savings<br />10% hardware/software - $40K savings<br />10% Reusable IP total project - $200K savings<br />Microsoft Financing for 3 years at 8%<br />New Project Costs: $1.36M<br />Savings: $640K<br />32% project savings<br />Monthly costs: $42,618<br />4<br />
  5. 5. Scenario 2<br />Original Budget: $2M<br />50% onshore w/ SRED - 50% offshore - $640K savings<br />10% hardware/software - $40K savings<br />10% Reusable IP total project - $200K savings<br />Microsoft Financing for 3 years at 8%<br />New Project Costs: $1.12M<br />Savings: $880K<br />44% project savings<br />Monthly costs: $35,097<br />5<br />
  6. 6. Scenario 3<br />Original Budget: $2M<br />10% onshore w/ SRED / 90% offshore - $768K savings<br />10% hardware/software - $40K savings<br />10% Reusable IP total project - $200K savings<br />Microsoft Financing for 3 years at 8%<br />New Project Costs: $992K<br />Savings: $1.008M<br />50% project savings<br />Monthly costs: $31,086<br />6<br />
  7. 7. Other Areas to Drive Savings:<br />Hosted Services: <br />BPOS<br />Virtualization:<br />Servers<br />Desktop<br />Applications<br />Application Rationalization – up to $500 in hard cost savings<br />CRM: 5% increase in client retention can increase profitability by up to 95% - Revenue increases up to 41%<br />IRAP Program from the Government of Canada – Up to $250K in funding depending on your project<br />7<br />
  8. 8. Benefits to Using Avanade<br />Access to a Global Delivery Network to reduce IT Project Costs<br />Access to bulk discounts, regardless of size, on hardware and software through Accenture’s Proquire Division<br />Readily available reusable IP to help drive project costs lower<br />Global work force with offices in a multitude of different countries<br />Access to our parent companies, Microsoft and Accenture, to bring know-how to IT Projects<br />8<br />
  9. 9. Contact<br />Please feel free to reach Chris Hamilton @:<br />Chris.hamilton@avanade.com<br />Or via Linked In @:<br />http://ca.linkedin.com/in/chrishamiltonca<br />9<br />

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