Distribution Company Reduces IT Costs, Modernizes Systems and Moves Beyond Reactive IT

Simplifying IT to Reduce Cost, Improve Security and Support Growth

When a $30-million-a-year transportation and distribution company came to Thriveon, they were at their wits’ end with their previous IT provider; their IT environment had become a source of frustration rather than a strategic asset. After being acquired by a larger IT provider the year prior, the quality of support had declined significantly. Constant turnover within the IT provider meant the company was constantly retraining new technicians, while fluctuating invoices required ongoing scrutiny to understand what they were being charged.

At the same time, their systems were aging and increasingly unreliable, risking operational disruptions. The organization was stuck in a reactive, break-fix cycle, addressing issues only after they disrupted operations. Even worse, they felt locked into their provider’s custom cloud environment, limiting flexibility and making it difficult to move forward. They desired a forward-looking IT roadmap to send them into the modern era and help them operate more efficiently and at a lower cost.

The company’s president recognized that something needed to change, and for the first time in over a decade, they evaluated alternative IT partners.

A Simpler, More Strategic Approach to IT

Instead of recommending large, complex projects or additional tools, Thriveon focused on simplifying the IT environment, reducing unnecessary costs and aligning technology with how the business actually operated. We evaluated their systems and recommended improvements to help reduce complexity, improve performance and align with the company’s financial realities. Essentially, we took a small company on a tight budget and delivered it into the realm of enterprise IT.

The first step was to transition the company out of its previous provider’s custom cloud environment. The move restored flexibility and eliminated the constraints that had been holding the organization back.

From there, Thriveon modernized core systems by implementing Microsoft 365, including Teams, Outlook and OneDrive, providing more reliable communication and secure, accessible file management. We also evaluated their infrastructure and identified areas of unnecessary spending and operational waste. Backup costs were dramatically reduced, and expensive hardware replacements were avoided, including eliminating the need for large on-premise servers.

The team also addressed security risks, including replacing outdated systems such as old firewalls and unsupported Exchange environments, which posed significant vulnerability to ransomware attacks.

Rather than forcing the business into costly software changes, Thriveon identified a way to lift and optimize a core operational system at minimal costs, avoiding what would have otherwise been a $50,000 to $60,000 overhaul of their business model.

The Impact: Lower Costs, Less Complexity and Greater Confidence

The results were immediate and meaningful. The company:

• Reduced its overall IT spend by about 20% while improving system performance and reliability

• Dropped annual backup costs from $10,000 a year to under $1,000 while gaining better protection

• Eliminated production waste and unnecessary hardware investments, reducing expensive overhead

By moving away from a reactive support model, the company gained a more proactive approach to IT, reducing disruptions and allowing leadership to focus on running the business instead of managing technology issues.

This simplified environment made systems easier to manage and more reliable for end users. Employees worked more efficiently with modern tools, while leadership gained greater visibility and control over IT spending.

Most importantly, the company was no longer stuck. With a flexible, cloud-based environment and a strategic partner guiding decisions, they had a clear path forward. With a stronger IT foundation in place, the business is now positioned to continue modernizing, leveraging automation and AI tools and exploring new technologies that support growth without adding unnecessary cost or complexity.

Executives Turn to Thriveon When...

Thriveon stands as the leading IT partner across Minnesota, Florida and beyond, dedicated to helping mid-size companies achieve enterprise-level outcomes. Chief executives turn to Thriveon when they are facing strategic IT gaps, under mounting pressure to strengthen their cybersecurity defenses, committed to optimizing ROI on substantial IT investments or frustrated with stalled IT projects and underperforming teams.

Our comprehensive IT service combines Fractional CIO expertise, cybersecurity and proactive IT management into one cohesive solution. You'll receive:

• A Fractional CIO is embedded in your business, crafting strategies and budgets that drive scalable profitability and security.

• Proactive technology audits align with over 500 proprietary best practices, preempting issues and fortifying defenses to enhance productivity and reduce risk.
• Comprehensive oversight of your technology ecosystem - hardware, software, and services - so everything works seamlessly together, preventing overspending on unnecessary tools or personnel.
• By deeply understanding how you use your line-of-business applications, we identify opportunities to improve efficiency, enhance data quality and maximize your return on investment.
• Leadership in cybersecurity readiness, including preparing for third-party audits, conducting tabletop exercises, leading company-wide security meetings and developing IT policies, all while ensuring robust defense strategies.

Discover how Thriveon transforms IT into a strategic advantage, fostering growth and resilience for our clients.