From a $90M+ Renewal Proposal to a $70M Outcome
- Industry: Banking
- Service: Renewal Management
- Engagement: IBM Enterprise License Agreement
A large enterprise banking organization faced a significant IBM renewal exposure driven by growth assumptions, compliance risks, fragmented ownership, and limited visibility into actual software usage.
Situation
IBM represented one of the Bank’s largest software investment categories. Software ownership was fragmented across business units, infrastructure, and applications, making it difficult to establish an accurate view of demand.
The vendor presented a renewal proposal exceeding $90M, creating significant overspend and CAPEX exposure without a structured optimization and governance program.
Action
ProTeam launched a structured optimization and governance program to:
- Validate actual software usage
- Reconcile entitlements and deployments
- Assess license requirements
- Identify redundant software scope
- Apply AI-driven license analytics
- Establish a defensible negotiation baseline
- Strengthen stakeholder governance
- Support strategic commercial negotiations
Result
The Bank reduced its three-year IBM ELA to approximately $70M, delivering $20M+ in total financial benefit.
The engagement also strengthened compliance assurance, audit readiness, governance, and visibility for future software growth.
“AGCO’s journey with Catalyst Zero is a testament to the power of innovative technology in driving sustainability and operational excellence.”
