I completed the LSS Greenbelt training at EDS. I investigated resource use for fileshares across the EMEA-region. I managed to achieve a saving of $200.000 on fileshare storage using the LSS methodology. During this process I had access to internal costdata and investigated the highest costfactors resulting in outgoing dollars. The additional savings totaled to $300.000, bringing the total of savings to $500.000 per year. Half a million saved by just looking at expenses on a higher level and acting on the exceptions. It demonstrated that costs must be managed at the right level where the amounts make the right impact!
I investigate your processes, scope of work and resource allocation to identify where savings can be made. I use Lean Six Sigma as methodology. I analyse the processes, identify the waste and develop an plan of approach. This can be excuted by the client or by me. I determine the right metrics to measure the progress and secure a baseline for the future.
It is key to make sustainable savings and it is my responsibility to ensure this is implemented.
I found that the monthly internal charge for Network Disk Space for my region (4 servicelines) is quite excessive and is growing: apparently there is no visible management of these costs. I used LSS Methodology to investigate:
- What is the exact definition of the service?
- How is the usage measured and charged?
- Who is the beneficiary?
- How is it managed?
Without going into all detail, I found:
- It's a fully managed service including backups on tape which are sent to an external secure location (daily)
- 4-8 Measurements are taken per month and the average is charged
- The service is provided by a different region which collects the benefits of this wasted Disk Space
- It was actually not managed on costcenter level because the amounts were small. But on the whole region the total was almost $450.000 per year
So I stepped into action:
- I measured the average charge per serviceline against the starting month and reported monthly to the leaders
- I contacted the users with the biggest allocation (the wasters) and found users are unaware of their TCO. I found a user who's charge was higher then his salary!
- I had the regional leader issue a memo about this kind of waste which authorised my actions
After 4 months the charge had dropped to by 43% to under $200.000. Whilst having all charging data I identified some other waste:
- Licenses to an almost unused Incident ticketing system. I had over 200 unused licenses closed
- Unused fileshares (monthly charge did not change) and had these removed or allocated to the correct owner
- Call-forwarding from landline to mobile which turned every incoming office call in an outgoing mobile call