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Mobility Sourcing and Savings in M&A Case Study

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The Client

TurnPoint Services, a fast-growing national service company, had experienced double-digit growth in acquisitions and was now faced with monitoring, supporting and paying for hundreds of individual mobile contracts and devices.

Obviously, such explosive growth is a great thing for any organization, but it also presented serious challenges for TurnPoint in regard to analyzing and evaluating the telecom costs of hundreds of businesses they now owned across the country. Each firm, with its own telecom vendors, contracts and devices and in some cases, personal contracts and devices at a single location, made it overwhelming to decipher and control cost allocations and spending.

The Challenge

It became clear that in order to quickly and effectively reign it all in, they would need the help of some experts.

TurnPoint sent out RFP requests for a partner to help them analyze the current state of their telecom contracts, consolidate vendors and renegotiate contracts for the enterprise. Intelligent Bills was selected for our expertise and industry knowledge, our reputation and the fact that we are budget and vendor neutral.

In Intelligent Bills, TurnPoint saw the chance to work with a trusted, experience advisor with a stellar reputation and an exemplary track record. They knew we could help reduce expenses and implement changes to the business process lifecycle that would increase efficiency and ensure future savings as they continue to evolve and expand.

Our partnership with TurnPoint Services begins as a three-project engagement taking place over six months. At the outset, TurnPoint Services was using four separate vendors involving 8,000 lines across 57 different acquired brands.

RESULTS

Intelligent Bills found

50 % / $ 4.7 M
ANNUAL SAVINGS OVERALL
$ 1.7 M
ANNUALIZED PLAN SAVINGS
$ 1.4 M
IN BONUS AND CREDITS
$ 2.7 M
IN EQUIPMENT SAVINGS
over 3 years
$ 408 K
ANNUALIZED SAVINGS
via Audit and Optimization
$ 228 K
ANNUALIZED INVENTORY SAVINGS

But that's not all!

Our first of three projects in this engagement was a strategic sourcing effort to renegotiate and consolidate their telecom vendors.

Intelligent Bills helped coordinate, implement and fully execute the transition from four vendors to two. At the end of this initial phase, we saved TurnPoint $1.7 Million in annualized plan savings through the renegotiation of services. In addition, we helped earn TurnPoint $1.4 Million in bonus and credits covering signing bonus, port in credits, activation credits and ETF/DBO credits. Plus, we were able to access an additional $2.7 Million in equipment savings.

With vendors and agreements in place, we moved on to the second project. TurnPoint had enlisted us to perform a comprehensive audit and optimization of their entire telecom billing and A/P process. Our experts embedded themselves into TurnPoint’s process and procedures and with their staff, in order to reconcile for hundreds of firms; invoices without account numbers; incorrect naming schemes and incorrect names on invoices; some firms doing business under different names that do not match the invoice … you get the picture.

At the end of this second effort, through our audit and optimization efforts, we eliminated 1353 Zero Use lines to recoup an additional $408,000 in annualized savings for TurnPoint.

Finally, the third project was a deep dive on inventory and device management. Through this assessment, we eliminated a further 562 unused devices, saving another $228,000 annually.

Reconciling the inventory was no small feat. In one review, we found 22 lines, the client record had 28, and when cross-checked only 15 matched. In some cases, there were additional and/or separate bills for the same line, some lines were paid for via expense accounts and much of it not recorded in inventory.

In the end, we have helped save TurnPoint Services 50% of their annualized telecom and IT spend.

For more on how we can help you save 30-50% on your annual IT/Telecom spend, click here.

We are currently engaged in Phase IV working with TurnPoint services to work with them on Licensing Compliance and Management. Stay tuned for those results. If you’d like to know more about our Licensing expertise and services, click here.

By continuing to engage with us, TurnPoint has discovered what our clients always do. That they will save dramatically, as every new acquisition is an opportunity for audit and optimization. Every brand they buy, we will dissect, review and improve for efficiency, risk mitigation and to increase their return on investment.

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