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Detailed Savings Assessment for NA Railroad

Strongbow completed a detailed financial review of the client’s legacy network, identifying $7M+ in short term savings, and a high-level roadmap for additional technical and operational transformation

Client Situation:

  • A Fortune 250 North American Railroad operates an extensive, cross-continental network infrastructure spanning both urban and rural geographies with both legacy and recently modernized connectivity
  • In support of supplier negotiations, the client required a detailed assessment of current costs for all existing connectivity including Satellite, TDM and Ethernet connections
  • In addition, the client requested a recommended plan to transform legacy services, especially in geographic locations where fiber-based connectivity is not readily available

Strongbow Approach:

  • Strongbow created a detailed baseline inventory for all current network connections and related ancillary charges, including a total cost per site where secondary connections were provisioned
  • Leveraging our proprietary database for market insight, Strongbow prepared a detailed report identifying target rates for all in-scope services as well as high level recommendations for replacing legacy services where material savings were not actionable in the short term
  • Additionally, Strongbow produced a recommendations report outlining a longer-term roadmap for network infrastructure modernization

Result:

  • Strongbow’s initial findings report identified $3M – $7M in immediate savings opportunity, and an incremental 15 – 25% savings to be achieved through technical and operational modernization