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A model transformation drives efficiency and cost reduction

Third Horizon generated $3 million in immediate cost savings when it developed a new operating model to align separate technology and project delivery functions following a major acquisition by a leading telco.

Background
A major telecommunications company had recently completed a major acquisition, bringing separate technology and project delivery teams to the new organisation. Senior management wanted to reduce costs and increase efficiency in the technology and project functions.

Our Role
Third Horizon was engaged to perform a review of the Project and Technology delivery functions to identify opportunities to increase efficiency and reduce costs.

Working with senior management, we developed a new operating model, with project and technology teams aligned to the model. A set of actions that would enable the business to move to the new model was also developed, including decentralisation of project accountability and centralisation of IT and network accountability.

Results
Implementation of the recommendations commenced immediately, with the immediate reduction of 28 full time employees and associated annual savings of $3 million.

Additional information