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HCL helps a leading airline in Asia reduce 25% of its IT cost

HCL helps a leading airline in Asia reduce 25% of its IT cost

BACKGROUND

  • The airline is the flag carrier of Hong Kong with operations spanning passenger
    and cargo services to 114 destinations in 36 countries worldwide, including code
    shares and joint ventures
  • In the space of a year, our engagement areas with this client spanned:
    • Application Portfolio Assessment (APA) for better visibility of application inventory, and portfolio optimization
    • Maintenance and enhancements of the CUPAC System (DCS, LDP, FDC, ABC) and its interfaces
    • Assessment of a Service Center for providing consulting services for in-sourcing of CPA’s Help Desk


CHALLENGES/ OBJECTIVES

The Airline was evaluating the visibility of its applications portfolio and IT spend for further investments during the economic downturn. It faced challenges in:

  • Providing visibility into its applications inventory
  • Allocating Total Cost of Ownership for the applications
  • Establishing a platform for centralized IT Portfolio Management
  • Establishing a platform for ongoing Application Portfolio Monitoring
  • Optimizing its portfolio to reduce redundancy and risk
  • Aligning applications to the business
  • Identifying outsourcing options for its IT Portfolio


THE SOLUTION

With the aid of cutting edge tools, we were able to help optimize the applications portfolio and mitigate obsolescence

  • In terms of visibility provided:
    • Made an inventory of live and obsolete applications. PRIZM™ enabled dependency diagrams for the entire applications portfolio and also provided visibility into the utilization of resources across IT, which helped enable optimal performance
  • In terms of agility delivered:
    • Aligned business functions with the applications portfolio and established a platform for cost administration.
    • We also provided recommendations for process improvements that would help increase delivery efficiency
  • In terms of sustainability provided:
    • Realigned the applications portfolio according to customer priorities, and PRIZM™ enabled the required dashboards for continued monitoring and maintenance of the applications portfolio
  • In terms of scalability planned:
    • Our optimization recommendations in certain areas led to over 30% savings and over 50% reduction in the application landscape and automation of manual processes, amongst other benefits


RESULTS/ BENEFITS

  • Allocated TCO for all applications
  • Rationalized the IT spend and created a stable platform for optimized administration
  • Reduced IT spend by over 25% in identified clusters for optimization
  • Reduced the legacy application footprint by over 75%
  • Removed all redundant applications that existed as a result of M&A activities
  • Improved alignment to defined enterprise architecture guidelines
  • Realigned the application portfolio to business priorities


SNAPSHOT

  • Vertical: Travel, Transportation & Logistics
  • Micro-vertical: Travel
  • Service Areas: Application Portfolio Assessment (APA), Application Maintenance and Enhancement
  • IPs/ Frameworks: HCL’s APO Methodology enabled by PRIZM™

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