A large insurer needed help conducting an in-depth comparison of the cost outsourcing mainframe services versus the cost to insource.
Opportunity
A leading international insurance provider brought its outsourced mainframe services in house, but its service management measures for volume and cost were completely inconsistent year over year. Had migrating the services saved money and, if so, how much?
Imagining IT Differently
The company asked ISG to review its legacy outsourcing contract and benchmark the cost of buying the services from its previous provider against the cost of providing the services itself. The firm wanted quantify what cost savings, if any, it had achieved. After a thorough assessment and comparison of its 2013 pricing against its 2015 pricing, ISG reconciled the measures and gave the company a consistent picture of how operating volumes and costs had changed over time.
Future Made Possible
Analyzing the budget of $21,346,323 revealed a potential savings of $1,478,872.
