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Strategic Sourcing

Silver Tree drives optimization and maximum value to organizations’ existing processes.

Our Focus: Leveraging your buying power and identifying the full opportunity available to your organization through your supplier relationships.

Our Passion: We are passionate about implementing strategic relationships that bring significant value to our customers. We have a breadth of experience and validated results that translate across most industries for both large and small organizations.

A Process. Not an Event. Typically, sourcing methodologies and vendor bases are established independently and dependent on:

Silver Tree’s Strategic Sourcing Methodology

Analysis and report on current sourcing program ranging from spend analysis to identification of existing KPI’s and associated governance.
Identify key objectives, categorization of suppliers and key milestones/activities required to effect required change, and drive value, in the environment.
Provide leadership and facilitation of both internal and supplier planning and working meetings.
Develop and implement a clear governance model to support the implementation and sustenance of a viable sourcing program with a strong focus on strategic relationships.
Support the development, negotiation and implementation of a clearly defined agreement and supporting “Account Plan” for suppliers categorized as Strategic Partners or “Potential Acquisition” targets.
We put in place the individual that will negotiate and develop contracts for every conceivable type of transaction, especially high dollar, unique or complex deals.

Case in Point

From Our Client – “We asked Silver Tree to help us save 40 to 50% on Microsoft licensing while maintaining the high-level of service we currently have in place. Silver Tree took a unique approach to understand our Microsoft license usage history, as well as our future plans. Using this information Silver Tree put together a strategy for Microsoft licensing that saved us over 75% annually. And, they did it in less than two months.”

– Brian Buchanan, CIO, Heritage Home Group

OPPORTUNITY:

Heritage Home Group (HHG), High Point, N.C. had 2 months to renegotiate their Microsoft licensing agreement. As an organization in transition, the typical three year MS licensing agreement limited their flexibility to make changes to the technology landscape year to year as needed to remain competitive.

HHG needed expertise in MS licensing to determine how to best leverage the license agreement to reduce costs and be nimble, without impacting operations and customer service.

APPROACH:

Silver Tree conducted a detailed survey of HHG’s current IT environment, license usage history, IT operations, and IT strategic direction. Under the current Microsoft contract type, the various versions and licensing levels were also evaluated.

With the Macro and Micro picture in place, Silver Tree developed a roadmap for HHG that included multiple licensing and cost models. These models were based on their business lifecycle stage, strategic direction, and the need for cost savings and flexibility.

OUTCOME:

“Walking through the exercise and becoming educated on what is possible opened up a world of opportunities to HHG. Silver Tree revealed six very good options (in less than two months!). We went into this engagement thinking we would save 40 to 50%. We ended up saving 75%, on a one year contract, with more flexibility. Next year, we even have the option to pay less, or more if infrastructure demands, and choose what levers we need to pull moving forward.”

Want to learn more? View our various assessments and case studies. We welcome the opportunity to explore how we can help you.