Pre-sale Margin enhancement for rapidly growing technology Healthcare Technology company- leads to ongoing relationship

Inside Consulting differentiate themselves by their depth of analysis and their proprietary process for targeting and delivering savings. They were welcomed by our team, who very quickly saw the benefits of the project.- Tony Hughes | CFO
Inside Consulting absolutely delivered above expectations for us. Beyond just delivering outstanding cost savings, they successfully united different functions and stakeholders as they worked through a complicated cross-functional system selection process. Not only will we save over 40% on this system, but we also have confidence and alignment that we sourced the right system and made the best business decision.- Tom Catchings | CTO


  • NaviHealth had grown rapidly over the 2012-2017 period, though some components of its cost structure were not scaling as expected, resulting in lower than expected margins.
  • NaviHealth engaged Inside Consulting for a series of initiatives over the 2017-2021 period to identify rapid and sustainable earnings improvements, while also helping to build internal capabilities in sourcing, budgeting, and sales operations.

Insights and actions:

  • The first engagement was a rapid outside spend compression initiative, as part of preparation for sale.  Diagnostic analysis revealed a set of spend categories whose costs were increasing disproportionately.  Inside Consulting conducted muti-round tenders and live online reverse auctions where appropriate.
  • Following the sale, Inside Consulting assisted with a zero-based budgeting (ZBB) exercise to build driver-based budgets for technology infrastructure and application development spend.  The process identified some areas requiring increased investment, which would yield immediate benefits through enhanced product reliability.  The process also revealed areas of spend where NaviHealth could realize increasing scale benefits over the next 2-4 years.
  • In particular, the ZBB process highlighted the need to clarify the relative priority of investments across divisions.  Inside Consulting conducted a strategy ‘refresh’ for a SaaS business unit, updating internal estimates of market potential and pro-forma economics, resulting in increased investment.
  • Inside Consulting then partnered with Navihealth in sourcing and re-negotiating supplier contracts, armed with fresh insights on expected volume growth and potential alternatives.


  • Collectively, the outside spend reduction work resulted in $4.5M in incremental annual EBITDA and savings of $1.7M in CAPEX.  
  • More importantly, the resource reallocation coming out of the zero-based budgeting enabled significant increase in platform uptime reliability and network resilience.
  • SaaS Net Revenue Retention increased 150bp, with further renewal pricing upside identified, delivering $1.5M incremental EBITDA with clear potential for $4M/yr+.