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Catalyzing IT Transformation – through Full-services Co-sourcing for leading Test Equipment supplier

Catalyzing IT Transformation – through Full-services Co-sourcing for leading Test Equipment supplier

Client
Our client is a $1.6 Billion leading supplier of Automatic Test Equipment. It is also the largest supplier in the world for semi-conductor testing equipment for logic, RF, analog, power, mixed-signal and memory technologies.
 
Situation
  • A five-year transformational program, with pre-committed year on year reduction in Run-The-Business costs, and reduction in IT Intensity
  • A solution with global visibility and rapid response capabilities to manage demand-supply in a very cyclical industry
  • 24x7 Global Support, for mission critical applications across multiple time zones.
  • Consolidation of the company's extensive suite of applications, which included both packaged as well as homegrown applications.
  • Improve customer responsiveness and order commit times, so as to enable client to become most ‘preferred ‘ SOC supplier.
 
Solution
  • Global Delivery Model, combining infrastructure and application services in a centralized team approach through an integrated operations center, for an ‘always-on’ support
  • Multiyear infrastructure and application rationalization and enhancement, road-map, which also achieved cost takeout
  • “Rebadging" of approximately 20% of the Teradyne IT personnel; critical to the relationship, to ensure minimal disruption while rationalizing costs
  • Re-engineering processes for Quote-To-Cash, TAG/GCS, Engineering
 
Process & Technology Areas
  • Technology Areas: Oracle Application Implementation, Upgrade, Maintenance & Support; Infrastructure Support; DBA, Portal, Legacy & Package Application Support
  • Process Areas: Sales & Marketing, Sourcing
 
Benefits
  • Standardization of support across regions resulting in better and efficient processes.
  • Redistribution of IT spend by lowering the costs associated with operations, and enabling investments into ‘innovation’
  • Moving toward reducing application portfolio by 48%, with a collaborative transformation team of HCL and Client, with 13%reduction in the number of discrete applications and infrastructure components
  • 20% reduction in cost per employee of IT staff and reduction in IT intensity form 4% at the start of the engagement to 2.8% (2010)
  • Reduced quote cycle times by about 3 days by IT enabled automation and integration
  • Virtualized infrastructure saving over $1.5M/yr in DC costs with improved Disaster Recovery (2009)

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