Insurer Saves $400K a Month with Mainframe Software Optimization
Allyship Snapshot
Use Cases
Mainframe stabilization and managed services transition to support workforce continuity, reduce software costs, and prepare for long-term infrastructure retirement.
Solutions
- Mainframe-as-a-Service
- Software optimization and replacement
Outcomes Achieved
The Challenge
Unlocking New Possibilities During a Critical Time
A regional Blue Cross Blue Shield health insurer—part of a non-profit federation that collectively provides coverage to one in three Americans—faced mounting pressure from aging infrastructure, rising software costs, and a shrinking pool of mainframe experts.
The insurer’s challenges were compounded by industry-wide headwinds, including rising claims and increasing operational demands that were straining budgets across the sector.
These factors created an urgent need for a solution that could stabilize operations, reduce costs, and support a phased migration away from the mainframe. With plans to retire its mainframe within three years, the organization needed a partner that could help right-size its environment, reduce expenses, and maintain continuity during a critical transition.
The Journey
A Responsive Partner for a Complex Transition
The client explored multiple vendors to support its mainframe retirement strategy. Ultimately, Ensono stood out for our responsiveness and consultative approach—offering insights, guidance, and a clear path forward.
Ensono delivered:
- Mainframe-as-a-Service (MFaaS): Provided a flexible model that allowed the client to avoid paying for unused capacity.
- Software optimization: Replaced high‑cost products with more affordable alternatives, reducing one vendor’s monthly software spend from $431,000 to $39,000.
- Cost optimization: Optimized both infrastructure and licensing to deliver immediate and sustainable financial benefits.
The Outcomes
Building Resilience for the Future
This transformation delivered measurable business results and long-term value:
- Gained the flexibility to scale down costs as applications migrate off the mainframe through a consumption‑based model
- Improved budget predictability and created a more stable operating environment
- Maintained service continuity despite workforce retirements and infrastructure transitions
- Achieved significant ongoing savings driven by the software optimization program, including around $400,000 in monthly reductions
- Freed up funding to support future innovation and modernization initiatives
- Positioned the organization for long‑term efficiency and operational stability
Frequently Asked Questions:
How did Ensono help the insurer modernize its mainframe environment?
Ensono delivered Mainframe‑as‑a‑Service (MFaaS) and a software optimization program that replaced expensive products with more affordable alternatives—reducing a $431,000 monthly software spend to just $39,000.
What were the key outcomes of the insurer’s transition to Ensono’s managed services?
The client gained flexibility through a consumption‑based model, improved budget predictability, maintained continuity during workforce retirements, and realized around $400,000 in recurring monthly savings.
Why did the insurer move away from its previous mainframe approach?
Aging infrastructure, rising software costs, and a shrinking pool of mainframe expertise created pressure to stabilize operations, reduce expenses, and support a phased retirement of the mainframe—needs Ensono addressed with a right‑sized, cost‑efficient model.
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