If Paul Chedid American Automotive Paris was to overtake fierce competition, an IT refresh was in order. How could the firm overhaul its aging infrastructure without breaking the bank?
The company joined forces with IT service provider Everdata to deploy a best-in-class IT solution, made possible through a 36-month lease offered by IBM Global Financing.
Enabledtransformation while preserving cashflow for other business imperatives
Avoidedtying up large amounts of cash in new technology
Paved the wayto help deploy state-of-the-art technology in the future
Business challenge story
Speeding ahead of rivals
The automotive industry never slows down, and companies in this sector must keep up with the ultra-fast pace of change, or risk losing ground to quicker, nimbler, and smarter competitors.
This was precisely the challenge facing French automotive firm Paul Chedid American Automotive Paris, as Benoît Melon, IT Manager, explains: “We have been providing high-quality American cars for twenty years now, and have always prided ourselves on exceptional customer service.
“Nonetheless, we were aware that the IT backbone supporting our business operations was aging and slowing down: not only did we experience frequent downtime, but we also couldn’t download the latest versions of our core applications, and lacked a reliable WiFi connection that could help our mechanics to move freely and work more productively in the garage.”
The firm recognized that, in order to avoid obsolescence and maintain excellence in customer service, a comprehensive IT refresh was paramount. “We evaluated several solutions, and were soon won over by Everdata’s hardware and software proposal,” continues Benoît Melon.
“To reduce up-front payments and keep cash free for refurbishing our offices and workshops, we wanted to find a suitable financing provider that could help us make the solution more affordable. To reduce costs even more, we also planned to transition from our traditional, on-prem IT environment to a cloud-based, pay-per-use model.”
Flexible, complete financing solution
Paul Chedid worked closely with IBM Global Financing to negotiate a 36-month fair market value lease for non-IBM cloud-based servers, storage, software and networking technology, hosted by Everdata.
“Even though none of the hardware, software or services are from IBM, the financing proposal from IBM was the most attractive out of the various options that we considered because it enabled us to spread the capital expenditure across predictable monthly payments,” comments Benoît Melon.
“The IBM Global Financing solution has made it easy for us to invest in a modern, flexible, low-maintenance, high-performance infrastructure in the cloud.”
The 36-month lease from IBM Global Financing helped Paul Chedid to modernize its IT environment without exceeding its available budget when acquiring its new cloud-based infrastructure.
Benoît Melon notes: “With the new cloud solution made possible by IBM Global Financing, we are enjoying higher application performance levels and improved WiFi reliability, which means that the staff in the garage can work more efficiently and productively, ensuring excellent customer service.
“Thanks to IBM Global Financing, we were able to avoid tying up large amounts of cash in new technology, converting it instead into affordable monthly payments.
“This has enabled us to preserve capital to fund our strategic refurbishment project that will enable us to compete better with other automotive dealers.”
He concludes: "Another great advantage of IBM Global Financing's solution is the fact that, once the contract ends, we will have the choice to either refresh the hosted solution on a new lease, or sunset our environment and implement different technology. This protects our investment and means we can be confident in having the right IT backbone for our future needs. Equally, with IBM Global Financing being able to finance IBM and non-IBM solutions, we can invest in whatever solutions we want in the future."
About Paul Chedid American Automotive Paris
Founded in 1995, Paul Chedid American Automotive Paris is a vehicle importer in France. The company provides customers across the country with American brands of luxury and sports vehicles, including Corvette, Cadillac and Hummer. In addition, the company sells spare parts and provides servicing for American vehicles.
- Global Financing