Smarter IT means smarter business
Smarter IT means smarter business
CLIENT STORY

Smarter IT means smarter business

To advance the company's ability to grow and innovate, KPMG helped a mobile technology leader transform its IT organization.

Client
A mobile technology innovator
Sector
Technology
Project
IT organizational transformation
  • Client challenge
  • Benefits to client
  • Approach
  • KPMG insights

Client challenge

A fast-paced innovator with revenues of over $23 billion, this major mobile technology company needed an internal IT organization to match its ambitions. Cumbersome processes and systems were getting in the way of innovation and creativity, and had the potential to slow down growth.

The new CIO understood the issues to address, as well as the shape of the future organization, but needed support in crafting a concrete strategy and execution. This wasn’t about cost-cutting; this global company needed a new IT operating model design to enable growth and innovation, drive operational effectiveness, and strengthen the organization.

Given the company's unique market position as a pioneer of new mobile technologies, an off-the-shelf IT strategy wasn’t going to be enough. It needed a transformation solution designed for continued advancement. 

Benefits to client

By crafting an IT operating model and roadmap, the client successfully transformed its IT organization in record time, making it ready for future growth. The company realized greater savings as a by-product of efficiency, not cost-cutting, and was prepared for the successful integration of a major new acquisition. The transformation continues and currently includes:

  • a comprehensive IT financial management with benchmarking of IT costs
  • a program and portfolio management function
  • a strategy and execution plan for shared services
  • comprehensive IT talent strategy including competencies and proficiencies
  • a redesigned performance metrics framework to improve decision making.

Approach

A new IT operating model delivers on the mission

After decades of innovating in mobile technology and consumer electronics, this company needed an updated IT organization to match their inventing expertise. Initially, we worked with the client to develop a roadmap to envision how a future, more efficient IT organization should look. We designed the organization, created new roles and responsibilities and decision rights, and established what functions and capabilities were needed to support innovation and growth. This way the client could define “who does what work where?”

As the project progressed, we moved together to bring the transformation to life. The client developed more advanced capabilities in business relationship management, program and portfolio management, IT financial management, and IT vendor management. Through truly open communication and smooth collaboration between multiple KPMG teams and our client, we continue to develop and execute ongoing projects in data and analytics, people and change, and in shared services implementation.

The resilience of the transformation was tested by a major acquisition – a $35+ billion deal for a major semiconductor manufacturer. Our client was well prepared for the IT integration of the new business, which was unprecedented in size and scale for it. Beyond the acquisition and throughout this transformation, we worked closely to enable the adoption of these changes through a comprehensive organizational change management program. With the tools in place for transformation and a focus on the future, our client is ready for what comes next – in IT and innovation.

 

KPMG insights

Solutions developed with clients
Organizations benefit from being collaborators in the crafting of their own transformation, rather than having “tried and tested” solutions imposed on them. This not only ensures a better fit but assists with buy-in further down the line.

Different skills make a difference
IT transformations require a broad range of skills for successful implementation. For companies to truly focus on their own needs, it helps to engage professionals with a wide range of capabilities within both the companies’ own organizations and those of their advisors.

This company realized savings as a by-product of efficiency, not cost-cutting, and was prepared for the successful integration of a major new acquisition.

 

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