17-2
Financial Services

Driving IT transformation: A cloud migration success story

A leading financial institution partnered with iOCO to migrate 718 production servers to AWS Cloud, avoiding R21 million in hardware replacement costs and eliminating VMware license renewals. The migration reduced compute costs by 29%, storage costs by 6%, and was completed in just 4 months, future-proofing the institution's IT infrastructure and improving scalability.

The challenge

A leading financial institution faced significant IT infrastructure decisions as their production servers approached end-of-support. The organisation needed to address both immediate operational risks and long-term strategic considerations. Hardware replacement costs were estimated at R21 million, with additional expenses expected for upcoming VMware license renewals. The existing infrastructure also presented limitations in scalability and operational efficiency, potentially impacting the institution's ability to adapt to market demands and technological advancements.

Key challenges:

  • 718 servers nearing end-of-support
  • R21 million projected hardware replacement costs
  • Impending VMware license renewal expenses
  • Limited scalability and operational efficiency

The solution

To address these issues, iOCO proposed a comprehensive migration to AWS Cloud. This strategic move was designed to resolve immediate infrastructure concerns while positioning the institution for future technological needs. iOCO's approach involved a systematic migration of all their servers, including 702 production and 16 non-production environments.

The migration was executed efficiently:

  • Full migration of 718 servers to AWS Cloud
  • Completed in 4 months
  • Phased approach to minimise operational disruption
  • Tailored solution leveraging AWS's scalable infrastructure

This cloud migration strategy eliminated the need for hardware replacements and software renewals while enhancing operational agility.

Key outcomes

  1. Significant Cost Savings
    • Avoided R21 million in hardware replacement costs
    • Eliminated VMware license renewal expenses
    • Reduced monthly compute costs by 29% through AWS Compute Savings Plan and resource scheduling
    • By rightsizing the storage during the migration, they realised an additional 6% saving.

  2. Operational Improvements
    • Enhanced ability to run parallel testing and development environments
    • Improved scalability to meet changing business needs
    • Minimised risks associated with unsupported hardware
    • Reduced migration time from 900 minutes per server to just 4 minutes

  3. Future-Proofing
    • Positioned the client to adapt quickly to technological advancements
    • Improved competitive edge in a fast-moving market

Migration highlights

  • Prioritised migration of 718 production servers due to imminent EOS risk
  • Successfully migrated 16 non-production environments
  • Completed initial pilots to prove production environment and connectivity
  • Executed Cash Centre migration, proving all types of BDS production servers function in the new environment
  • Achieved full migration two weeks ahead of the on-premise hardware EOS deadline

The impact

By partnering with iOCO for their AWS Cloud migration, the financial institution not only achieved significant cost reductions but also transformed their IT capabilities. The newfound flexibility and efficiency enable them to focus on strategic initiatives and innovation, rather than infrastructure maintenance.

The successful migration in just 4 months demonstrates iOCO's expertise in managing large-scale, time-sensitive cloud transitions. This rapid execution minimised disruption and allowed the client to quickly realise the benefits of their cloud investment.


Are you facing similar challenges with aging infrastructure or rising IT costs? Discover how iOCO can guide your organisation through a transformative cloud journey. Contact us to explore how cloud migration can drive your business forward while optimising your IT spend.

About the client

The client is a major African financial services organisation. Operating across the African continent, this institution serves a wide range of customers across personal, business, and corporate banking segments. As a listed company, it employs more than 25,000 people throughout its operations.

Known for its significant role in driving Africa's economic growth, the client has also established itself as a leader in digital innovation within the financial services industry. The scale and geographic spread of its operations underscore the complexity of its IT infrastructure and the critical importance of the cloud migration project in maintaining its competitive edge and operational efficiency.

Key Technologies

  • AWS Cloud
  • EC2 Instances
  • AWS Compute Savings Plan
  • AWS Resource Scheduler