How a Fortune 100 Telecommunications Company Uses Shibumi to Save $10 Billion in Costs
Centralized transformation efforts helped the Fortune 100 telco implement a zero-based budgeting program
Company Name:
Telco Company
Industry:
Telecommunications
Location:
New York
Company Size:
136.8B in annual revenue
Use Cases:
- Automation
- Budgeting
- Enterprise-wide Visibility
- Real-time Data
Business Impact:
- Billions of dollars in savings
- Achievement of corporate goals
Customer Overview
The Fortune 100 telco is a multinational conglomerate, offering voice, data, and video services and solutions across networks and platforms for more than 140 million customers around the globe.
Goal
Realize Savings by Establishing a Centralized Cost Transformation Effort
The Fortune 100 telecommunications company had an ambitious goal of implementing a zero-based budget (ZBB) program. This budgeting technique requires justifying all expenses every quarter or year starting from zero, as opposed to using the previous term’s budget and making adjustments. It’s a highly effective way of eliminating extra costs, but for such a massive company, it proved difficult.
The Fortune 100 telco aimed to realize significant cost savings by implementing this method, but despite having transformation efforts in place in each of its four primary business units, synthesizing all the data and leveraging it to create holistic change was difficult. With hundreds of spreadsheets spread across departments, leadership was left confused and with incomplete data, making the true promise of ZBB difficult to achieve.
Solution
Leverage Shibumi as a Single Source of Truth
The company decided to implement Shibumi to manage reporting on metrics across the company and establish a centralized transformation effort that would serve their ambitious budget goals. The Fortune 100 telco used Shibumi to create real-time visibility and eliminate spreadsheets, democratizing access to data. With rapid and accurate access to data points, it was able to optimize both strategies and budgets.
Shibumi was specifically configured to create a view of spend category packages and subpackages, giving insight on where budgets were needlessly inflated and where expenses were duplicate or unnecessary. With greater acumen, leadership was then able to make the shift to ZBB.
Results
$10B in Savings Delivered Across 5,000+ Initiatives
At last assessment, the Fortune 100 telco had realized more than $10 billion in savings company-wide. By managing more than 5,000 initiatives within Shibumi and giving leaders at every level the ability to see progress by initiative and across departments, the company was finally able to capitalize on the potential of a ZBB.
The results of leveraging a ZBB speak for themselves. The company has been able to save billions of dollars in excess expenditure, which have then been funneled into more meaningful initiatives that drive innovation and progress.
Since Shibumi helped the Fortune 100 telco hit its ambitious target, the business has integrated it into more initiatives and has effectively embedded it into daily operations.
The Fortune 100 telco has been able to save billions of dollars in excess expenditure, which have then been funneled into more meaningful initiatives that drive innovation and progress
