good afternoon thank you for joining us today caresoft technology would like to welcome you to our servicenow federal Tech talk driving agency-wide outcomes with enterprise-wide Partnerships joining us today from servicenow we have Sam lakia senior principal strategist just to tell you a little bit about carasoft we are a trusted government I.T Solutions provider supporting public sector organizations across federal state and local government agencies including education and Health Care markets at this time I'd like to hand the floor over to our speaker for today Sam the floor is all yours thanks Heather can everyone hear me big sound check yep sounds good Sam that's awesome hey so I appreciate everyone joining uh uh as Heather mentioned my name is Sam lockia uh I've been with service now about three years and I am part of the Inspire value team here which supports our federal customers the Inspire value practices spread across the entire company and our our our sole purpose is to make sure that our customers see value in the platform uh from different lenses right strategic value uh value aligned to their mission and then also some Quantified rois so that's that's essentially my job I come from the federal space I've been in the federal space like many of you on this call for 20 years uh uh have been part of the servicenow journey from its early uh early Inception about 12 years ago uh is when when I was introduced to the platform from a service management perspective for various different agencies uh in in our federal landscape so uh again I really appreciate the opportunity to talk to you guys and what I wanted to do today is really just kind of talk a little bit about this movement we're seeing uh with Enterprise agreements uh with our customers and what I wanted to touch on really is kind of keep it keep the conversation very general right so essentially kind of just have a simple definition of of what an Enterprise agreement is and then also kind of uh look at some of the trends and the drivers behind this movement around Enterprise agreements and our customers so we'll look at some key data points around what the trends have been what we're seeing and what are the main drivers behind uh this momentum we have around Enterprise agreements uh we'll kind of highlight a use case and some outcomes for our customer again we'll keep this General uh so we can we can talk through a journey of a customer that we recently worked with as far as just kind of the soup do nuts as far as how we approached uh the opportunity to partner with an Enterprise agreement with a big agency and and then kind of to go through the whole value analysis we did to develop the business case which kind of drove towards the outcomes that the customer uh was was driving towards right and then we'll touch on some of the key takeaways right and and then we'll leave some room for Q a uh I I'd love to kind of have a conversation uh what what I've seen from from this Enterprise agreement movement is everyone is different right every customer has has kind of a unique uh problem set they're trying to solve or or some unique outcomes they're trying to get to in their own scenarios so uh happy to kind of initiate that the Q a there and and like Heather mentioned happy to take uh more conversations offline if we need to after this session uh so we'll we'll kind of get started here um again very simple definition of what an Enterprise agreement is Right essentially uh a vehicle that's agreed upon by an agency and a vendor to utilize their solutions that they currently use right or want to use in the future and there's essentially it's a tailored purchase uh for a set amount of solution for a fixed amount of period right with with some dollar value attached to it uh and again we'll we'll go when when we look at kind of the framework around what uh what what a typical EA looks like will go into a little more detail but essentially it's you know it's a bound agreement to use uh our solution or Solutions uh Force for specific use and purpose for a specific price right so before I start talking about Enterprise agreement I I wanted to make sure we highlight something and again I come from uh making sure our our customers are seeing value in the platform right so what I wanted to do is kind of just get a quick glimpse of the value that our PL our customers are seeing from the platform right and if you think about um kind of the the broad spectrum in in the broader power of the platform in the different set of capabilities uh you know outside of our foundational itsm capabilities you know we our customers are also starting to see a lot of value around the HR capabilities the asset management capabilities the security operations capabilities the the app engine capabilities so there's there's a lot of movement around our customers seeing the broader power of the platform and and it's really uh showing a lot of value and efficiencies back to our big Enterprise customers and agencies so they're they're seeing the benefits of again the broader power of the platform with our kind of our the way our architectures unified right single architecture single data model they can stand up these capabilities within their existing uh service now uh instances and and really gain more uh more value from the platform by really unifying the agency uh from different functions right outside of it there's so much other uh value that our customers are seeing and it's really driving a a a a system of action across the agency that's helping our customers be a much more unified and efficient in in bringing their Enterprise together and drive towards uh the mission in hand right so I wanted to make sure we touch on some of the broad the broad spectrum of benefits that our customers are seeing uh before we start kind of talking about what the trends are right so if like I mentioned earlier you know there is a movement within uh our especially our federal customers a lot of our public sector customers and and in general a lot of our big Enterprise customers um around Enterprise agreements and so if you look at the first data point 15 of our top 25 Federal customers have some sort of an EA with us uh and we'll we'll kind of dig into the why but that's a pretty big number um if you look at the second data point you know these range from a five to 75 million dollars in annual commitment utilizing uh the broader set of Solutions on the platform right so as I mentioned earlier our customers are seeing the broader power of the platform and it's very reflective on this uh partnership that we're seeing with some of our top customers and our our esas are typically uh covering a user base of anywhere between 200 000 to 1.2 million users right some of our agencies have uh have a massive ecosystem uh to support and and uh again with the broader power of our platform we've been able to really Drive uh value at scale for a lot of these agencies that that are partnering with us in this movement right but I want to make sure everyone understand the foundational uh driver for these Enterprise agreement with every customer is really seen around the power and the value of the entire platform right so there's some kind of uh consumption that's already started around uh some of the core elements of the platform and there's a there's a vision and a road map in place to start consuming the additional capabilities again to accelerate value back to their mission so the power and the value of the entire platform is essentially the foundational driver for these Enterprise agreements with our customers so uh like I mentioned right what are the drivers what are we typically seeing in in when it comes to the common drivers for our customers so what we're typically seeing is that there's a growing demand of the platform like I mentioned right and across the solution areas uh that we have uh they're also seeing a lot of Executives a lot of leadership Within These agencies are also seeing the siled purchasing entities that have been buying in bits and pieces for their small programs and uh there is this strong movement to make sure there's uh unification of the services that are being provided across the agencies again obviously to drive uh efficiencies and cost savings but also improve security postures and governance right because ultimately if we're talking about transformation we have to do it uh with the right motion when it comes to staying unified staying secure and driving momentum together right um instant sprawl is something else we've been seeing a lot of where again over the years because of the goodness of the platform and the need of the platform uh multiple programs have bought similar capabilities and stood up those uh capabilities on their own so there's instances spread across the agency that are doing similar or like kind of functions uh so again I think leadership saw opportunity in unifying a lot of that sprawl because they had like kind of capabilities which really drove again better governance and cost savings to the agency who initiated this partnership with us and then I think the last two are maybe the most important right there's there's a commitment to accelerated transformation right I think if you if you ask any of our uh customers uh and their leadership and the ecosystem right there's some Partners I think on this call uh everyone's on some kind of a transformational journey uh and and I think what what we see when it comes to some of the drivers for accelerating our partnership is the commitment to accelerate the transformation within their agency and there's a strong commitment to cost savings and offsets right we yeah I know in in our federal agency those are two big areas of Interest where in and again across all of our customer sets where how can I how can I uh drive cost savings and cost offsets by driving transformation to a better place in my agency right these are some of probably the more common drivers that we have seen in our customer base and not all apply to everyone but these are some of the common trends that we see so I think what I wanted to do is kind of just touch upon some of the guiding principles and some of the outcomes right so when when we think about Enterprise agreement some of the more core guiding principles right are are really defined here right so the Strategic desire right there has to be an appetite for new capabilities there has to be a demand for further adoption right and then there's a collaborative agreement or a commitment to a road map together right and these are things that we strongly encourage our our customers to kind of partner with us right your account teams your different business units that support you right are here to kind of make sure that there's collaboration around defining this strategic desire together right and obviously the feasibility part is um as important right yeah is the customer current and in good deployment of of the platform right um is there when you think about Enterprise agreement when you think about scaling um the rollout of our capabilities uh is there an operating model to support that right there's a people process technology and policy alignment that needs to happen which includes the partner ecosystem for for for a good operating model to drive uh the goodness of an Enterprise partnership uh across the agency right existing adaption and product consumption uh rapidly growing is another key factor when it comes to understanding the feasibility of an Enterprise partnership right you have to we have to kind of assess that and drive that together for us to take that next step of uh an Enterprise agreement I I think again being the value guy um the alignment of value right what this is something I I think it's non-negotiable right everyone on the table including leadership you know the functional owners the programmatic owners the partner ecosystem there has to be a vision match around the alignment of the value that the platform can bring to the agency and their key priorities right uh and that's something again we work together on to make sure that all that is uh defined and understood uh to to shape the journey moving forward right there is an agreement that service now can can drive the mission outcomes right so as you guys take deeper dives into into the solutions that we have uh through our business units uh who kind of do the demos and and really understand what you guys do what our customers do and the kind of problem sets that uh that you guys may be seeing uh you know we're really focused on how does the platform uh Drive the outcomes and solve some of those problems right so understanding again the power of the platform is only by Discovery right like as the functional users talk to us understand the capabilities uh and really partner with us to solve those problems for them that's really where the agreement of Mission outcomes uh being delivered by the platform happens right and then I think the the other key this uh piece here is making sure that the decision makers the leadership the stakeholders we have access and buy-in from them uh because what again most folks who are in this uh ecosystem you know there are functional owners there's programmatic uh functions across the agency and then they're very varied set of decision making authorities and stakeholders across across the agency so you know our job our Collective job is to make sure that all the key decision makers see the unified value of of partnership that we want to create and then there's True Value alignment to the mission that's something that's absolutely critical for us to uh Drive our partnership towards an Enterprise agreement I want to make sure we be clear on something as far as what an Enterprise agreement is not right it's not uh an approach to negotiate lower cost right where where there's the the commitment is just as is right the commitment we look for when it comes to an Enterprise agreement is really much more than uh where we are because we want to make sure that our our our our complete capability within the platform is being utilized by our customers now and in the future right so we we look for uh a joint agreement around what that vision and future partnership looks like and and we look for that commitment uh compared to it being just a negotiating tool for a lower cost you know we'll again we'll we'll talk a little bit about the value piece uh when we talk about the use case so there is the you know it's a give and take right you use more uh will get will work the better pricing out for for your broader commitment of the platform right uh it is a vehicle uh that we think about selling our entire portfolio of products right and it's not without thinking about the value and the adoption piece right so buying unlimited itsm uh capabilities uh in an Enterprise agreement without a thoughtful actions of the value and the adaption journey is probably not a good idea as far as an Enterprise agreement right and it it is not in uh a way to package or sell our industry Solutions right there's there's incremental value that's being defined here so we want to make sure we're mindful of you know where we draw the line as we think about Enterprise agreements and and stay away from things like lower cost for what we have or you know minimal use of the broader power of the platform those are probably not good matches uh at this point in time for for your agency right uh so again kind of just reiterating the outcomes uh that that we we drive towards when it comes to shaping an Enterprise agreement with our customers it's really around three things it's about making sure there's value back to the agency right making sure there's flexibility so uh essentially understanding the supply and demand of the platform and and making sure that our agreements uh factor that in to make sure our customers have the flexibility of the utilization of the different components of our platform that can help them at a certain point in time with their mission and the agency as a whole right and the Simplicity right I think I think that's one of the uh you know most folks who have been in the federal landscape procurement is extremely difficult it's a painful process right so I think you know with our Partnerships with caresoft I think the and in some of our Enterprise agreements the way we have shaped them is really to drive the Simplicity of procurement uh for our agencies it's it's been uh you know for for folks who are in the acquisition Community um a very streamlined process that has really driven um and offset some of the fires that happen uh when multiple areas of the agencies are trying to buy the same things in different ways so the Simplicity has really been a highlight of of for our customers when it comes to the Enterprise agreements that we have shaped with them so what I wanted to do uh and I've got maybe about 10 minutes right uh uh I'm dying to kind of just have a conversation I feel like I'm the only one speaking and I I can't wait to have a uh the Q a session started here shortly but what I wanted to do is kind of take a journey and I I couldn't name the customer because of where they're at in the journey uh but obviously yeah I only support our federal business so this is one of our larger Federal customers that we started a uh the Journey of uh what an Enterprise partnership looks like and and why does it make sense right the true business case around why it made sense and then we went through this whole exercise that really started with assessing their landscape right so what we did essentially with with this customer is really took a good uh good look at our current partnership right and these are the different data points the number of instances the current spend the current value that they're getting uh the user coverage capability and total cost of ownership to our customers uh within the current servicenow ecosystem that they have in place then we also spoke to uh a lot of the leadership around what the future future demand looks like and and we really align that to understanding what what is what are their mission priorities what are their transformational goals right what is the future demand and value look like to them moving forward right so when we combine the current partnership uh with with the future demand and really kind of went through this data Discovery uh and an integrated engagement with with various functions and stakeholders uh we really kind of came to uh this inflection point that this customer was on with with service now and and what they wanted to do moving forward right and then inflection point really started shaping that hey if there is this future demand if there is uh if the current partnership we clearly see some inefficiencies around instant sprawl and exceedingly High Services spend because of the instant sprawl and and the current governance mechanisms that were in place we really started shaping what the out of the possible could look like and and we started jointly developing uh the partnership uh with a vision and a Way Forward uh all of this was again and we'll highlight some of the data points that we we went through with them to kind of shape a vision forward uh and you know there was a decision point and then we were kind of Off to the Races as far as making sure we meet their mission needs with this with this very powerful partnership uh moving forward uh I think I think some of the highlights I want to touch on you know it's it's a collaborative effort around transformation and alignment of mission initiatives right uh there is a strong exercise around uh platform performance adaption spend demand you know we have our impact team that's really positioned to make sure that uh you know the trust that our customers put in Us by adapting to our platform is executed uh to the best of its ability right so they come in with the best practices um a wealth of knowledge around what works what doesn't work what's the right way of driving uh transformation through our platform right um instance Pro definitely is is a potential problem for a lot of agencies right and the other area that really drove the decision point was when you start looking at data around the support cost when we when we talk about uh a software environment there's total cost of ownership involved right infrastructure Services cost o m very varied cost centers that that support this function or capability and what we saw was you know if you do it in a siled way there's 30 to 50 percent higher support costs compared to uh more unifying uh some of the key service uh offerings that we have uh for our agency so part of the data set we looked at for this customer was uh what what the future demand looks like right so again a lot of this was uh done um in in a collaborative manner right so we have our uh account teams right that that manage uh and focus on certain areas of the agency and uh they partner with their uh stakeholders and functional owners to kind of just gauge where the demand is for for theirs their use of the platform right so we kind of took in all those data points from the different areas of the agency and what we saw was again um the demand uh the future demand going up uh up and up right because there's more capabilities and and more user base that our customers wanted to utilize uh because again um the most important part here is there they want to do more with us because they see the value in what they already have right so after we kind of looked at some of the demand signals and did some initial assessment you know we collaborated with their leadership around the outcomes right hey what does what does great look like for you in in our future uh as we as we shape uh our future partnership right and and I think the three elements that that we heard the most from from agency leaders was we want this to be effective right we want this to be efficient and we want this to be economical right those were the drivers for us to kind of shape the Enterprise partnership and we we really looked at multiple elements for for this to work right the people the process the technology essentially uh that's that's our our driving force and the partners you know all this was a very strong part of the ecosystem that needed to be connected uh to drive uh an effective efficient and economical partnership moving forward and and what they were looking to do is essentially increase is you know the velocity the Synergy the unification the transparency and the Simplicity of of the partnership moving forward at the same time decreasing their cost and their silos by by really tailoring the solutions that fit that specific agency at that point in time moving forward so this is really what we got out from the customer as far as hey these are the things we're looking for in a partnership moving forward so again this is uh as as I mentioned it was more generalized right and uh for for this customer we started shaping what an agree what a Enterprise agreement potentially could look like right based on the the data points that that they had around their current usage uh their their their their short medium and long-term demands right we wanted to make sure that we optimized the agreement to to drive the strongest set of values uh for that for this specific customer right and uh so the solution areas that that they had I need right so more user coverage more uh Global consumption across the agency we we put those within the esa because we uh us and and the customers we jointly agree that these are the ones that we need the most of right so it just made sense to include them in the esa but there were other Solutions what we call below the line again just an example for for there were specific areas within the agency that had demand for limited use of of certain uh capabilities that we didn't want to include in the esa for the logical reasons of size and scale right so we made sure that because there was a strong commitment into the partnership that those also were identified and included at a negotiated price right so which is typically uh much better than any of our published pricing because there's a stronger commitment within the esa and and some of the below Library below the line Solutions from the agency and and what what this really drove is again more optimized category management or portfolio management uh we had well-defined cost offsets and savings this really empowered the agency to have one unified system of action right and again as I mentioned earlier this really was a path towards accelerated transformation I I won't kind of read off all the uh benefits but essentially portfolio management asset management or service management capabilities really drove the heart of this agreement because of again um as as we drive transformation for a customer it's really fueled by the innovation of the platform right so the platform keeps getting better to make sure that our customers have the Best in Class experience with the capabilities that we have productivity Legacy system spend is also a big area right uh when we look at these Partnerships and when we're looking at the data points we see we really look at their current ecosystem and where the kind of spend that they have again total cost of ownership of the Legacy systems that they have in place and and the opportunity we have to uh replace or offset some of that Legacy spend uh to drive accelerated transformation right and again Enterprise Agreements are to unify the agency um simplified acquisition is something we talked about right it's been again within the acquisition Community it's it's been uh very well received because it it it it has simplified the process of uh kind of collapsing multiple uh acquisition efforts Church within one Agency for similar kind of capabilities so that's been a very big benefit and a lot of value we did a lot of cost analysis with our customers where if they had you know 30 uh Contracting officers buying uh buying and managing servicenow Solutions across the agencies in a siled manner when you start unifying them you there's there's a lot of uh resource efficiencies that that come into play uh by simplifying this acquisition through through a better Define partnership again Cloud capabilities and Cloud management is another benefit that our customers see so again this is a notional framework that we start jointly building with our customers of what what a good partnership looks like what yeah again uh coming from the value lens we start taking data right uh and we start understanding uh how do how do we how do we Define value for our customers right so uh with this specific customer what we did was we kind of uh started chalking out uh the data Journey right like so our partnership started in 2020 and um in the last three years what we saw and again this is just uh data in motion here right that that paints the picture for us but basically 100 year over year growth right uh and with with some new demand uh that that are that is imminent for this customer you know there was even uh an accelerated need for our capabilities uh because they were taking down some massive Legacy systems and needed you know you user coverage of eight hundred thousand users in the in this this next three uh next year or so these these were imminent demands that that needed to happen right where where our platform was committed to as as the platform of choice to replace the Legacy systems and and the capabilities uh of the past so we knew that even after a hundred percent year-over-year growth the demand is only spiking further and when we say we it's a joint discussion with our customers because they uh validated the same demands that we saw right so uh then it's a data exercise of you know uh price points uh as is right uh and and the capabilities as is and what the spend looks like in the next two three years uh based on the growing demand then we started kind of talking about the options um as far as what an Enterprise agreement looks like right again these are kind of siled uh licensed mechanisms right with limited users for limited programs so we started uh articulating in partnership with this customer to say what if for certain capabilities we we create a a special one you know for this one we called it kind of a super skew that that has uh um unrestricted user capabilities uh so they can kind of Meet the this high demand that's coming uh in the very near future for them um and start pricing repricing our capabilities uh for them to be a lot more aligned and reasonable to to this partnership um and this is where what we asked of them was is an all-in commitment to the platform right we worked out uh you know the the solution areas uh the subscription uh models that made uh a lot of sense for them um and in return we wanted to make sure that there's uh an all-in commitment uh you know now and end the future to the platform uh which essentially you know required them to kind of consolidate some of their existing contracts and and because of this uh higher demand uh there were some uh Revenue adjustments right so they had to increase the budget uh to for for our platform across the agency uh which and at the same time um you know almost doubled the capacity of subscriptions for key areas uh and so that was kind of the conversation uh that that we had uh which was Data driven and what we basically uh worked on was um what does what does again the value look like by doing this um and so you could see like there's massive um agency savings that that this partnership uh uh brought back to the agency and it was all done again in a in a very collaborative way and and and it was a data driven exercise right sometimes perceptions and emotions get in the way of uh real information that that drive that drive good decision making right and again we do a lot of the value analysis right so what does a typical run rate look like uh uh versus what what what a run rate looks like with with an Enterprise partnership you know again factoring in the demand in the current pricing versus uh versus the agreed upon uh partnership under an EA right uh we do the we want to make sure that there's a strong business case that makes sense uh not to not just to our stakeholders but uh the agency leaders uh who again we're kind of jointly responsible right to make sure that when we drive a partnership it makes sense for all involved uh including uh making sure our taxpayers uh dollars are spent wisely so again a lot of analysis goes in uh to considering um an Enterprise agreement and what what I want to do is just make sure we we understand the key takeaways right probably uh kind of spoke about this a few times um today right but there has to be an alignment of mission acceleration in our platform right you have we have to jointly assess the trends and the drivers together right we have to make sure we analyze the outcomes in the data uh I think looking at the data points uh together is critical it to shape a business case that makes sense for for you and your agency and then we jointly shape it right folks like us here we only kind of think about shaping a business case with our customers and do a very strong value analysis of of you know how do we improve uh the partnership uh uh which is aligned to your mission and what matters to you guys right and making sure that there's a strong leadership commitment and buy-in these are the key takeaways uh I feel are very important uh to drive a good partnership forward uh we are very fortunate to have the kind of uh customers now right so it's only our only focus is to make sure that we're we're improving this partnership uh and an Enterprise agreement is uh is definitely been uh a good option for a lot of our customers to accelerate our partnership moving forward I'll take a pause now I think I've spoke a lot but uh happy to take any questions uh Heather uh let me know if there's anything else we do have one question in the Q a pod you may have touched on this a little bit but they're just asking if there are any reports and or analysis on how business leaders and Enterprise Architects value servicenow EA and business management functionality integrating from cmdb implementation yeah so I I think maybe we can take this offline and and share some some of those reports but yeah we have an Enterprise architect team that's uh focused on our customers and making sure that uh there's strong alignment between our our customers architecture and the right practices around uh how how best to manage the architecture uh so maybe we can take this offline and and send something uh either connect them with our Enterprise Architects or send them some reports and Analysis that have already been done in that space all right I'm not seeing any other questions coming in um Sam did you want to go ahead and close out yeah sure I mean all all I'll tell you is thank you for your time right uh I think there's nothing but uh uh of strong focus on our end to to help accelerate our journey with our customer I'm a little partial to our federal customers because this is That's where I've lived for 20 years uh and the mission sets that that they serve to so we are here to help uh we are here to make sure that uh we help solve some of your problems and again an Enterprise agreement is is just one form um of service that that we work very hard uh to make sure we serve our customers the best possible way so thank you thank you for your time and thank you Sam for joining us today um and thank you to all of our participants as Sam said we do hope the information you received during today's webinar has been helpful