Our client is a renowned American multinational mass media and entertainment conglomerate. The client embarked on an IT modernization journey with HCLTech to modernize their IT infrastructure, ensure long-term operational performance, align it with new financial strategies and meet their financial and environmental goals.
The Challenge
Navigating financial and operational shifts amidst a global pandemic
In the wake of the pandemic, our client, a traditionally cash-rich company, decided not to purchase assets and not to have any liability to reduce monthly spending and achieve environmental goals. This financial challenge prompted a crucial shift in strategy to effectively address the dual objective of reducing costs and optimizing cash flow. Their primary pain points encompassed:
- Revenue Decline: The pandemic led to a substantial drop in revenue streams, notably from diminished digital streaming subscriptions and the temporary closure of entertainment parks.
- Overcoming Legacy Systems: Our client grappled with the constraints imposed by outdated IT systems, like SAP on DB2 databases and many media storage, which hindered technological advancements, data security and accessibility.
- IT Strategy Realignment: This involved a comprehensive reevaluation and realignment of the IT infrastructure to adapt to the OpEx-centric approach, moving away from certain legacy technologies.
- Data Security and Compliance: With the increasing risks of data breaches and compliance issues, there was a heightened need to fortify IT security, particularly as the SAP system housed sensitive data.
- Strategic Financial Transition: The shift from a CapEx to an OpEx model was imperative to align IT spending with the new financial realities, focusing on cost containment and liquidity enhancement.
- Flexible IT Solutions: The situation demanded innovative IT solutions that were cost-effective and flexible, aligning seamlessly with the client's financial efficiency strategy and overarching business objectives.
The Objective
Achieving a comprehensive, sustainable and cost-efficient overhaul of systems
The client was seeking a technology partner capable of providing comprehensive technology architecture solutions that offer enhanced performance and compliance. Most importantly, they required a pay-per-use financial model without any commitment. One of the primary objectives was to align IT infrastructure with a no-liability financial model, characterized by no capacity or term commitments and adaptability to changing business needs. The range of objectives included:
- Incorporating a distinctive framework that provides quick access to IT solutions without long-term commitments or fixed terms, accommodating evolving financial constraints.
- Emphasizing the resolution of legacy system issues and improving data security as top priorities.
- The client sought a streamlined technology architecture that was vendor-neutral and aligned with their financial model.
- Moving away from current dependencies hyperscalers, while embracing cloud technologies that align with their financial and operational models.
- Implementing robust and scalable future-ready infrastructure solutions across storage, performance, resources and disaster recovery.
- Designing around an agile financial model without long-term commitments or fixed capacity obligations, enabling them to navigate financial unpredictability.
- Executing a seamless transition that integrates with existing practices while focusing on economic efficiency and scalability.
- Placing a priority on sustainability with solutions that minimize environmental impact through reduced infrastructure footprint and lower power consumption.
Recognizing the multifaceted nature of these objectives, which integrated technology and business outcomes, the client selected HCLTech as their collaborator. This partnership was envisioned to drive comprehensive IT infrastructure transformation, ensuring alignment with the client's long-term financial strategies, operational needs and environmental commitments.
The Solution
Strategic IT transformation with bespoke, business-focused solutions
- Hybrid Cloud as-a-Service
A pivotal step was the implementation of HCLTech's Hybrid Cloud-as-a-Service. This solution provided a simplified, vendor-neutral technology architecture, enhancing the value and efficiency of IT investments. - Legacy Infrastructure Insights
HCLTech initiated in-person, on-site workshops at the client's facility to gain a comprehensive understanding of their existing technology ecosystem. The focus was primarily on production block storage arrays in three data centers and modernizing the aging SAP infrastructure running on DB2. - Modernizing SAP Infrastructure
To ensure optimal performance and integration, HCLTech advised maintaining the SAP infrastructure on-premises, hosted in the data center across five storage arrays. This approach was chosen due to the client's highly customized and integrated SAP deployment.
- Storage Solution Catalog Development
In partnership with Dell Technologies, HCLTech developed a comprehensive catalog of storage solutions. This catalog offered various storage tiers at a per-gig rate, with zero term and capacity commitment, aligning with the client's financial and operational flexibility needs. - Data Center Storage on Utility Basis
Approximately 10 petabytes of enterprise Dell PowerMax for Onprem SAP workload and Dell Power Scale storage were provisioned across U.S. data centers under a utility model expansion at a predefined rate to protect cost increases. This approach allowed the client to order any quantity of storage as needed, culminating in a total provision of over 30 petabytes of storage.
The Impact
Substantial cost savings and modernized infrastructure
- Achieved approximately 50% reduction in data center space and power requirements to achieve sustainability goals and operational cost reduction
- Modernized core systems, including SAP infrastructure, without major capital investments
- Enhanced data stability, security and performance for scalable and robust operational resilience
- Introduced operational flexibility with the ability to adjust infrastructure needs promptly for enhanced cost efficiency
- Established a long-term partnership with HCLTech that was built on enhancing trust and delivering reliable business outcomes for five years beyond the original engagement
- Non-destructive data migration was executed seamlessly, ensuring zero business impact and no downtime
