The initial driver that led Merichem to third-party support was purely around cost reduction. The IT team was faced with decreasing budgets because of falling oil prices and needed to do more with less budget. The company was faced with the following challenges brought on by their current relationship with Oracle surrounding their EBS 12.1.3 environment.
- No negotiation possible with Oracle to adjust their pricing structure
- No negotiation on removing products never deployed or no longer utilizing
- Increased dissatisfaction from Oracle support for their 12.1.3 release
- Time-consuming process to open a Service Request
- Severity 1 issues passed around with little to no ownership
- Issue resolution times increased significantly
- Limited opportunity for future ROI based on Oracle’s EBS roadmap
Merichem had offloaded their platform support to a third-party hosting company in 2013 and began to research alternatives to Oracle support within the next couple of years.
Spinnaker Support engineers go above and beyond to resolve issues in a timely manner and helped us implement significant processes efficiencies. The additional value of the advisory services have saved us time and afforded us substantial cost savings on consulting and implementation fees. Deborah Jones, Oracle Applications Manager
Merichem continued to experience disappointment with the quality of Oracle’s support, and under sustaining support, they were no longer receiving key services for the amount of support spend. Their future IT strategy depended on the elimination of the requirement to remain current on patches to remain supported, a reduction in the internal IT workload, and the need for knowledge transfer and enhanced support features.
The company needed to make a change prior to their Oracle support expiration date, which was quickly approaching. Because of their infrastructure configuration, Merichem had a limited number of IT staff to support their Oracle technologies and application environments. Merichem had discussions with two third-party support vendors but quickly decided to select Spinnaker Support based on flexible contract terms, simplified legal process, and strong financials that met the company’s requirements. Not only did the company seek cost reductions, but also sought to improve the quality of support and services received. The company needed a support provider that could initiate a quick and comprehensive archive of required files and updates within less than a 30-day window.