Evaluating Sourcing Locations

The leadership examined how talent was sourced across four main categories based on location and employment type:

• High-cost internal staff in major financial centers.
• Low-cost internal staff located in developing countries.
• High-cost external consultants.
• Low-cost external providers with offshore delivery centers.

Reframing Functional Domains

Each core functional domain within the IT organization was then reviewed:

• IT Governance: Strategy, planning, portfolio management
• Information Security: Risk management, compliance
• Business Relationship Management: Partnering with lines of business
• Application Development & Maintenance
• Infrastructure Services: Data centers, end-user support
• IT Operations: Service level management, reporting

Conclusion

The Optimization Strategy

Leveraging findings from the initial analyses, senior leadership collaborated with division managers to craft a multi-faceted optimization approach. The overarching goal was to reduce IT function costs by at least 15% while modernizing supporting infrastructure and tooling to advance the digital customer experience.