Bundling a DAX listed enterprise’s IT to reduce IT spend by 1 bn€

Joining more than 6.000 employees from three internal IT organizations into one


The challenge

  • external and internal IT spend significantly above benchmark – target: reduction of IT spend by one third within 3 years and increasing quality of project delivery and system operations stability
  • multiple, mirrored IT organizations in different company branches
  • ineffective and inefficient governance model towards internal IT service provider regarding effort and quality of IT services
  • integration of all internal IT organizations within 9 months and establishing a new governance model

The approach

  • establishing a project team of leaders from the involved organisations, human resources and finance (about 200 project team members)
  • involving three executive board level sponsors
  • intensive communication with four involved workers’ councils
  • defining and implementing a communication and change management concept
  • jointly developing the governance and financial steering model for the new IT organization with the involved company branches
  • design, decision, preparation and implementation of the new organization

The result

  • all required board decisions successfully achieved on time
  • change management and communication measures implemented and employees’ understanding for drivers and impact of new organization created
  • structural and process organization, governance and financial steering model implemented at launch date
  • financial and headcount budgets allocated and respective targets defined
  • constructive support by the workers’ councils

Based on this new organisation, the envisioned IT spend and quality targets were achieved to the full extent within three years.