Digital technologies are seen as the way forward when it comes to improving the customer experience, but alongside this CIOs are still under pressure to drive cost out of the business. Reducing cost, however, is not a one-off project – it requires unwavering focus and ongoing initiatives to achieve deep cost efficiencies.
These initiatives require a combination of clear insight on expenditure, broad experience of new and emerging delivery models that align to agile business processes, and specialist knowledge that can expose technical, architectural, operational, or process related inefficiencies.
Look at your strategy first
Assessing the suitability of various cloud and infrastructure delivery models, and aligning these to your business, technical and financial objectives, enables you to deploy the most cost effective strategy.
Identify areas to optimise
Identifying and rectifying inefficiencies in your current environment can result in big savings. By optimising and right-sizing on-premise resources, you can often decrease or defer future hardware and software acquisitions. With an Infrastructure as a Service (IaaS) model, optimising your resources can result in immediate and significant savings.
Streamline your operations
With infrastructure and operations making up approximately 60% of the IT budget, containing costs and improving process efficiency can have a major impact. Many cost reduction opportunities can be found, for example, in outsourcing of day-to-day infrastructure management, implementing modern architectures that reduce management burden and implementing an ITIL framework to reduce the cost of service management. Using data analytics and business intelligence software can also help you pinpoint where the opportunities lie to streamline your operations and reduce costs.
Multi-source for optimal efficiency
With a broad and expanding range of IT service providers, the decision around sourcing is becoming more and more complex. Significant savings can be achieved by determining which IT services should be insourced and which should be outsourced, and aligning each of these with the most appropriate and cost effective provider.