Cloud Business Case G-Cloud 5 Framework

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Warnford Court, 29 Throgmorton Street, London, EC2N 2AT T: +44 20 7947 4176

Cloud Business Case

G-Cloud 5 Framework

Cloud Business Case

Service Definition Document

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HYGU_G5 Cloud Business Case_v2 0

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1 Cloud Business Case

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1.1 Hudson & Yorke Cloud Service Offerings 3

1.2 Service Description 3

1.2.1 Hudson & Yorke Approach 4

1.2.2 Key Deliverables 4

1.2.3 Value to Client 4

1.3 Fee Proposal 5

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1 Cloud Business Case

1.1 Hudson & Yorke Cloud Service Offerings

Hudson & Yorke is a specialist management consultancy focused on strategic ICT advisory that delivers commercial, service and operational benefits to our clients.

Hudson & Yorke’s Cloud Advisory services help organisations to assess the strategic and commercial benefits of Cloud computing and consider how best it could integrate with current and future strategies. We have expertise in understanding various cloud delivery models and cloud service models. We help organisations to assess the use of private, public clouds or hybrid cloud delivery models as well as the various on demand, pay as you go, ‘as a service’ models e.g. IaaS or SaaS.

Hudson & Yorke offers a number of related Cloud services on the CloudStore as set out in the diagram below:

Figure 1 - Hudson & Yorke Cloud Service Offerings

1.2 Service Description

Hudson & Yorke’s service offering will help build a robust, fit for purpose Cloud business case. This will include:

 summary of the business reasons for undertaking the project

 itemisation of the necessary information to make an informed decision on whether funding should be provided and/or whether an investment should proceed

Cloud

Strategy

Cloud

Business

Case

Cloud

Sourcing

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 description of the quantifiable and unquantifiable characteristics of the proposed project

 alignment of technology investment to business/service delivery interests of key stakeholders

 provision of a useful tool to track benefits and continually assess the viability and success of the proposed Cloud project

1.2.1 Hudson & Yorke Approach

The diagram below sets out Hudson & Yorke’s structured approach to building and developing a Cloud business case. We will deliver an investment appraisal identifying Total Cost of Ownership (TCO) and potential Return on Investment (ROI). This approach will help to meet Crown Commercial Service (CCS) and Government Digital Service (GDS) buyer’s guide requirements that necessitate the need to understand the whole-life costs of the Cloud services bought on the CloudStore.

1.2.2 Key Deliverables

We will deliver a Cloud business case which will provide decision makers with the information they need to make an informed decision on funding and /or investment, as set out in the CCS and GDS buyers’ guide. The business case will provide insight into the Total Cost of Ownership of the current internal environment as well as a whole life costs analysis of the proposed Cloud solution. Through the engagement, we will calculate an expected Return on Investment for the project.

1.2.3 Value to Client

Hudson & Yorke bring deep commercial understanding and a rigorous approach to business case design and management that ensures consistency, clarity and completeness, and alignment to your finance processes.

•strategic fit /alignment of the IT and business vision

1. Business requirement and

objectives

•tangible and intangible justification

2. Benefits and risks

•detailing whole life costs incl. Total Cost of Ownership and Return on Investment

3. Develop an investment

appraisal

•to continuously measure the validity of the Business Case and demonstrate achievements against an agreed baseline

4. Baseline tracking tool

•to provide concrete reccomendations that will allow stakeholders to make informed decisions

5. Conclusions and

recommendations

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Our knowledge of Cloud computing, the Digital by default strategy and the CloudStore will equip our business case approach to add value. The resulting business case will enable you to:

1. Ratify your Cloud strategy by:

 clearly demonstrating why and how it supports your objectives 2. Develop the investment appraisal by:

 quantifying the financial impact of the project (Total Cost of Ownership, Return on Investment etc.) and

 providing a solid commercial analysis baseline to use during the sourcing phase 3. Maintain control by:

 providing a benefits tracker

 identifying ways to mitigate key risks associated with the Cloud project

1.3 Fee Proposal

We will deliver this engagement over 6 weeks on a fixed fee basis. Fixed fee: £84,000 +VAT

Our fees are exclusive of VAT, which will be charged at the prevailing rate. This fixed fee is valid provided that:

 all information requested is provided in a timely manner

 suitably knowledgeable representatives will attend requested workshops. The workshop / interview schedule will be agreed at the start of the engagement

 no unnecessary delay is introduced

 the scope of the engagement is not expanded

1.4 Supporting Documents

The following case studies demonstrate some of our experiences and capabilities. More detailed versions are available in a supporting documents pack to this service offering:

Case Study Description Value–add

Department of Energy and Climate Change

GB-wide sourcing strategy & management of competitive dialogue for procurement

Hudson & Yorke developed a unique commercial strategy and successfully executed the resulting complex procurements to establish and shape the market for smart metering data and communications services in Great Britain.

Hudson & Yorke architected the service integration function that sits at the heart of the GB smart metering rollout.

We successfully delivered complex parallel procurements, resulting in the award of a licence and four ICT contracts, worth more than £2.2bn to provide the shared infrastructure required to roll out smart meters. National Grid National Grid’s global

voice and data services sourcing programme

Hudson & Yorke was engaged by National Grid to run its global voice and data services outsource programme aiming to rationalise National Grid’s IS supply chain, moving to a new multi-supplier IS ecosystem.

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Case Study Description Value–add

Hudson & Yorke supported National Grid to design the common incentivisation scheme that governed the outsourced towers and SIAM function.

Hudson & Yorke’s experience in sourcing large scale global voice and data contracts enabled National Grid to obtain service and contractual gains whilst reducing the total cost of ownership for the global delivery of its communications technology requirements.

United Utilities United Utilities wanted to establish a clear way forward for delivery of a core infrastructure to better meet current and future business needs

Hudson & Yorke undertook a detailed review of the United Utilities ICT environment and developed a strategy that:

 established a Target Operating Model – to ensure that future ICT delivery and management is more effective and better able to meet business needs

 provided a clear sourcing framework to engage the market and increase competition

 identify change and technology initiatives, with a clear roadmap, that will transform delivery of ICT services to more consistent and cost effective capability

The strategy was used to get buy-in from senior business stakeholders on the investment needed to transform services in the future.

Barclays Moving from a fully outsourced model to a hybrid delivery model

Hudson & Yorke was brought on board to help Barclays write and negotiate the new complex telecommunications services contracts and to aid the delivery of the transformation programme from a fully outsourced ICT model to a hybrid model where some of the key services were managed in-house, whilst others were managed or outsourced. Hudson & Yorke helped Barclays deliver significant cost savings whilst giving Barclays strategic control of its business critical sites through the delivery of a model which is now perceived as leading edge technically, operationally and commercially.

BP Global telecoms sourcing programme to support them in consolidating 500+ contracts by moving to a ‘lead integrator’ model covering data and voice

Hudson & Yorke was engaged to run the strategic sourcing programme, with a global scope covering approximately 750 sites in 60 countries and included mobile services covering 23 countries across 3 continents. Hudson & Yorke provided direct support to BP during the vendor contract negotiations and the sourcing programme resulted in BP signing a new 5 year global network and telecommunications services contract worth $500m, with Deutsche Telekom’s T-Systems.

Heineken Global WAN sourcing

programme Hudson & Yorke was able to consolidate Heineken’s supplier base; increase transparency and control by providing a single view on network costs, standards and SLAs; achieve a ‘future ready’ network allowing operating countries to plug in value added services such as VoIP, video and Cloud solution and increase flexibility.

Hudson & Yorke helped Heineken sign a 5 year, €61.2m global WAN, security and remote access services contract with significantly improved terms and service levels whilst obtaining a €5.5m cost saving.

Cloud Business Case G-Cloud 5 Framework

Cloud Business Case

G-Cloud 5 Framework

Cloud Business Case

Service Definition Document

Table of contents

1

Cloud Business Case

3

1 Cloud Business Case

1.1

Hudson & Yorke Cloud Service Offerings

1.2

Service Description

Cloud

Strategy

Cloud

Business

Case

Cloud

Sourcing

1.2.1

Hudson & Yorke Approach

1.2.2

Key Deliverables

1.2.3

Value to Client

1. Business requirement and

objectives

2. Benefits and risks

3. Develop an investment

appraisal

4. Baseline tracking tool

5. Conclusions and

recommendations

1.3

Fee Proposal

1.4

Supporting Documents