Analyst Relations Newsletter Q1 2023: Key Highlights from Custom Research

Global QSR Restaurant​: Review of Oracle financials and HCM implementation solution and fee proposed by a Tier 1 SI​ | Case Example

  • The client: Global quick service restaurant (QSR)​ chain with a presence in multiple countries around the world​
  • The problem statement:
    • Benchmark pricing and effort proposal for an Oracle fusion (financials + procurement) implementation​
    • Fixed fee arrangement b/w the client and the vendor coupled with a complex pricing model​
  • Our approach: Everest Group started with a detailed requirement gathering exercise of the vendor’s proposed solution, including assumptions around the extensions (reports, integrations, conversions, etc.), number of L4 processes that were being configured, client participation, and clear RACI expectations​
  • Solution: Benchmarked configuration effort for individual L4 processes (RTR, O2C, DTS, etc.). Clear assumptions around extensions, including the complexity split, helped us arrive at the market effort for similar sized customers and implementations​
  • Price: Performed price benchmarking for a complex input model that was not based on rate cards but based on the phase (Advisory, blueprinting, coding, and testing) where the resource was expected to be onboarded during the SDLC. Eventually, helped them develop a document that would help them in future similar proposal review situations covering best practices on pricing, solution sizing, and contracting​
  • Key findings/recommendations​:
    • ​Identified opportunities for solution optimization, including effort reductions, shoring optimization, etc.​
    • Advised on introducing a rate card aligned structure to have better transparency on roles and their market pricing​
    • Helped the client right-size and right-price their engagement through a combination of solution and price-related recommendations

Through perseverance and your exceptional insight, we have gotten this deal contract to a much better place than where we were.

– Head of IT Vendor Governance, Leading Global QSR

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