Bundling IT – Scoping Out & Costing Up both Internal & Outsourced Services

The Sourcing Group AG (or TSG) is a specialist in TSG_logo_cbenchmarking your internal IT cost. A Swiss company in business for over a decade, it has worked with the biggest names across Europe and especially in Switzerland, a country renowned for it’s careful and thorough approach – who else would they trust.

At long last, realising that the rest of the world has no comparator in the benchmarking space, TSG is spreading it’s wings to the US and Asia. Now growing Asian businesses can benefit from the expertise that they have taken so long to develop.

How does TSG help you debate more objectively & more productively with IT?

TSG has $500mn of IT services under managed contracts – they don’t deliver the services themselves, they make sure that the costs & the service quality are monitored and managed. This provides a pool of real, up-to-the minute data that allows anonymous slicing & dicing of information to provide an exact like-for-like to your current set up. This can then very simply show if you are paying too much for your current service compared to contracts live in the market.

Bayer recently found that they were paying 4x what they should for server contracts… what might you find? That wasn’t reconfiguration it was simply knowing the market to be able to call your vendor back to the table to renegotiate. Typically a benchmarking exercise can deliver 30-60% savings – the cost of our delivery isn’t large anyway, but pales to insignificance beside the savings you can achieve.


TSG’s competitors look at services bundled by industry, as if every bank, manufacturer or pharma business had the same departmental/resource configurations. By contrast, TSG allows you to bundle by service and scale for an exact comparison. There are even companies emerging which use complex algorithms to extrapolate what costs might/should/could be – why pursue an algorithm when we have the source data?

Service Catalogue

The first stage of understanding how much something should cost is an itemisation of exactly what you have, but how few IT departments have had the time to create one? We make it simple, no need to boil the ocean – we have a ready-made pick-list which IT simply work through, noting down either what you have or what you want and it will tell you the cost for that configuration. And it will amalgamate usage between departments and

The concept is simple – it’s not rocket-science, we simply have the right information and have developed the ideal tool to tell you exactly what you need to know, specifically when you need to know it.