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CASE STUDY/ INSURANCE

Strategic staffing model enables cost-effective vendor consolidation for insurance leader

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About the customer

A global leader in property and casualty insurance for consumers and businesses.

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Operations in 50+ countries and territories

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20,000+ employees

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100+ years in the market

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Business challenges

With an extensive network of IT service providers for its LATAM operations, our client faced increasing operational complexity and administrative costs. Managing numerous contracts and coordinating across providers made it difficult to achieve strategic alignment and maintain visibility and control over their IT operations. This fragmentation also hindered the client’s ability to leverage economies of scale, ultimately impacting both cost and service quality.

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Minimize the administrative burden associated with managing over 40 different providers.

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Reduce inconsistencies in service quality and alignment due to each provider using distinct methodologies.

3

Secure more competitive pricing and favorable terms for strategic services.

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How Softtek comes into play

Softtek worked closely with the client to unify the service delivery model across Latin America, supporting vendor consolidation through a flexible staffing model across software development, IT operations, and support. Using a phased staffing approach, the engagement steadily expanded as the client reduced the number of vendors, protecting operational continuity and alignment across IT service areas.

80+ resources deployed at peak capacity, supporting key service areas.

Successful integration across multiple Latin American regions, ensuring local market adaptability.

Comprehensive governance model established, providing visibility of the overall engagement and establishing a cadence for the review of roles, responsibilities, communication structures, and performance metrics.

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Business impact

By consolidating services and establishing a governance model built around mutual goals and consistent communication, the engagement created an environment of transparency and commitment. This enabled the client to gain better service visibility, optimize costs, and establish a stronger vendor relationship.

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Reduced the number of contracts from over 40 to just 3 strategic providers, simplifying vendor management.

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Decreased administrative costs by minimizing the complexities of managing multiple contracts.

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Improved negotiating power through a consolidated approach, securing volume-based pricing and preferential terms.

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Enhanced service consistency by aligning processes, metrics, and quality standards.

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Achieved greater alignment between vendor operations and client objectives.

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