Strategic Sourcing of Telecommunication Services for major Retail Group

Client: Leading multi-brand retail group


Sector: Fast-moving consumer goods


Scope: Defining the sourcing strategy and subsequent sourcing program for enterprise telecommunication services and management.

Background

The client had grown substantially in terms of services, brands, market sectors, geographic footprint, and overall scale since the current arrangements were implemented a decade earlier.

 

Several concerns were identified, including a common perception that the group’s national footprint limited them to a single viable supplier, and uncertainty around requirements caused by diverse processes and complex data needs that differed from the current services.

Engagement Objectives

The client wanted to ensure that it could correctly identify and document business requirements and attract service proposals which reflected the changing shape and needs of the organisation.

Approach

Applying a framework which targeted business outcomes as well as sourcing processes, the team defined the intricate service requirements and developed a revised model of the supplier relationship.

 

The focus was shifted away from intricate terms and conditions toward the notion of relationship. The client needed the ability to buy a broader range of services on a bundled price structure with a greater number of “flexibility” decision points in the future. 

 

This new approach produced a focus on alignment of strategy and proof of effective delivery process.
Requirements were traceable through the tender documentation, evaluation documentation, to the service contract and service management plans; and a service model was designed allowing for a long-term strategic relationship with a service integrator, and also the use of flexible shorter-term telecommunications modules.

Outcome

Complex, enterprise-wide commercial and technical requirements were developed and rigorously tested against the diverse business needs across the group.
 As a result, the client gained greater confidence in the sourcing process — ensuring they were procuring the right services with broad internal alignment and strong acceptance of the requirements across all group companies.

The new approach stimulated enhanced supplier competition, leading to high-quality, differentiated responses. This enabled the client to assemble a “best-of-breed” solution, delivering a broader set of technical capabilities than the previous single-supplier model could offer.

The engagement delivered measurable improvements in both service quality and commercial value. In parallel, the client secured greater flexibility in service delivery and commercial terms, ensuring the solution could evolve with the organisation’s changing needs.

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