$15B Freight Transportation Company Achieves 69% Increase in Vendor Investments

An SAP Hyperscaler Case Study

Client Profile

$15B Freight Railway Company

Business Issue

  • Company was in the midst of an ERP transformation as they looked to move from their on-premise SAP ECC environment to S/4HANA hosted on the public cloud
  • Sought to evaluate two different deployment options relative to S/4HANA: A vertically integrated subscription (SAP RISE) and S/4HANA deployed on a hyperscaler

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Services & Results

UpperEdge provided guidance and market insight into an overall go-to-market strategy to evaluate and negotiate hyperscaler infrastructure and hyperscaler migration services and evaluate the benefits and drawbacks of SAP RISE.  Leveraging deep market knowledge and a proven negotiation approach, UpperEdge enabled the company to build a detailed option analysis that led to the selection and negotiation of SAP perpetual licensing hosted with a hyperscaler, leveraging a third-party provider to support the hyperscaler implementation, garnering the following results:

  • Empowered decision-making through detailed analyses and vendor comparisons focused on driving out material proposal differences, including a 10-year TCO analysis to determine viability of the SAP RISE proposal
  • Enhanced hyperscaler commercial proposals delivering a 69% increase in vendor investments and a 33% increase in consumption discounting
  • Optimized the annual run rate of the selected hyperscaler through negotiated increases to relationship-level discounting and reductions to ongoing support charges
  • Negotiated $1M of resource investments from selected hyperscaler implementation partner to offset shortfalls in their proposed scope