A $3B technology and healthcare organization expanding its CLM platform footprint needed to rationalize its licensing strategy and negotiate a long-term model that reflected enterprise value — not individual point purchases. Telmac delivered 25% commercial improvement and $400K–$500K in direct annual cost avoidance.
Mid-Size Technology & Healthcare Organization | 7,000 Employees | 400+ Production Environments | $3B Annual Revenue | CLM Platform Expansion Underway
Our client was expanding its CLM platform footprint to cover both customer-facing and internal use cases — adding users, integrations, and deployment scope. The expansion was happening without a corresponding strategy for how to rationalize the licensing model, structure the commercial relationship, or extract value from enterprise scale.
Separate renewals, overlapping statements of work, and misaligned user tiers were producing a fragmented commercial relationship with the vendor — one that didn’t reflect the organization’s actual deployment scale or the leverage that scale should have produced.
The platform was being expanded to cover more use cases, more users, and more integrations — but each expansion was handled as an individual transaction rather than as part of an enterprise-level commercial strategy. The organization was accumulating commitments without building leverage.
Multiple separate statements of work, overlapping implementation scopes, multiple user groups, and user tiers that didn’t reflect actual usage patterns had created a commercial structure that was both more expensive and more complex than it needed to be.
Without a multi-year pricing commitment or formal vendor strategy, the vendor held pricing leverage at every renewal. Additionally, without a governance framework, there was no mechanism for managing CLM procurement, implementing formal change management protocols, or providing executive visibility into the total deployment.
Separate point purchases and overlapping SOWs restructured into a single enterprise-wide contract — with 25% commercial improvement and a governance framework for long-term management.
Individual point purchases restructured into a single enterprise contract — 25% commercial improvement relative to the vendor’s standalone pricing, with multi-year protections built in.
Overlapping statements of work consolidated into a single enterprise-wide agreement covering all current and planned use cases — eliminating duplication and establishing a coherent governance framework.
User tiers, licensing models, and implementation sequencing aligned to actual usage patterns — eliminating over-licensing in some areas and under-licensing in others.
This engagement required Telmac to map the multiple existing CLM commercial landscapes, identify where fragmentation was costing money and reducing leverage, design a consolidated commercial model, and negotiate a single vendor into enterprise-level terms that reflected the organization’s actual scale and trajectory.
Vendors price individual transactions higher than enterprise commitments because individual transactions don’t require them to compete. Consolidating the CLM footprint into a single enterprise contract changed the nature of the relationship — and the pricing that came with it.
Telmac mapped the existing CLM deployment, identified all active and pending SOWs, analyzed user tiers relative to actual usage, and established a value realization baseline — defining what the organization was getting, what it was paying, and where the commercial relationship was misaligned.
Telmac designed a consolidated enterprise commercial model — aligning user tiers to actual usage, merging overlapping SOWs, defining the platform roadmap, and structuring the commercial framework to reflect the organization’s full deployment scope and growth trajectory.
Armed with a rationalized model and market benchmarks, Telmac negotiated a multi-year enterprise agreement delivering 25% commercial improvement — with a governance framework that gives the organization ongoing pricing visibility and control as the deployment scales.
Organizations that expand platform deployments through sequential point purchases never capture the commercial benefit of their full scale. Consolidating into a single enterprise contract changes the vendor’s pricing calculus.
Multiple statements of work covering the same vendor or type of relationship are expensive to manage and expensive to renew. They signal an absence of commercial governance — one that a single well-structured enterprise agreement resolves.
The 25% commercial improvement is the outcome. The governance framework is what prevents the commercial relationship from drifting back to fragmented point purchases as the deployment continues to grow.
Platform vendors price expansion transactions individually unless pushed to price them as an enterprise commitment. A rationalization engagement changes the nature of that conversation — and the terms that come out of it.
