Case Studies
Seamless IT Service Transition & Transformation for a Major Energy Company
Background
Our client, a leading North American energy company, was undergoing significant organizational change and sought to transform its IT operations to better support ambitious growth objectives. Facing a costly “clone and go” IT footprint after a corporate split, they needed a new delivery model that could scale cost-effectively, reduce operational risks, and enhance agility. They partnered with us to design and execute a multi-year IT sourcing and transformation initiative.
The Challenge
The client’s goals were to:
- Transition application management and support services from an internal co-sourced model to a managed service, minimizing business disruption.
- Establish modern governance structures and continuous improvement mechanisms to sustain performance.
- Drive significant cost savings while improving service quality.
Our Approach
We crafted and executed a comprehensive solution aligned to these goals:
- Resourcing & Organizational Realignment:
- We built a right-sized global delivery team, partially outsourcing services to Costa Rica, hiring select existing contractors, onboarding new specialists, and drawing management talent from across North America. We established a local office to anchor delivery.
- Operational Transition & PMO Setup:
- At the 6-month mark, all services were fully transitioned. We stood up a dedicated PMO and a service management capability to oversee operations, proactively manage incidents, and drive problem resolution.
- Innovative Level 1.5 Support Model:
- To improve efficiency and lower costs, we pioneered a Level 1.5 team. Through continuous reviews of tickets escalated to Level 3, we developed scripts enabling lower tiers to handle more issues. This iterative process shifted workloads downward, cutting costs by 50% and dramatically accelerating ticket resolution.
- Robust Governance & Engagement:
- New governance was established with weekly calls involving ~40 operational managers to review performance and align expectations. A senior leadership team (SLT) governance group was also formed to steer strategic outcomes.
The Results
- Operational Excellence: All ~80 SLAs were met consistently, and the KPI dashboard remained green throughout.
- Cost Efficiency: The new delivery structure, combined with the innovative Level 1.5 model, reduced operational costs by half in targeted areas.
- Organizational Strength: The transition involved 12 managers and over 130 staff and consultants, with strong retention and engagement through change.
- Sustainable Service Quality: The PMO and continuous improvement framework ensured the solution wasn’t just a point-in-time fix but a foundation for ongoing optimization.
Why It Matters
This initiative didn’t just achieve a seamless handover — it created a future-ready IT service ecosystem for our client, blending local intimacy with global scale, driving down costs, and embedding governance practices that will sustain high performance over the long term.