Cost optimization projects often have unanticipated consequences that offset the potential cost savings and result in dissatisfaction within the business. Additionally, quick-win cost-cutting initiatives typically are not enough to satisfy the organization’s mandate and can be disruptive and potentially affect the entire company.
To minimize the damage caused by IT cost-cutting, IT needs to work collaboratively with businesses to ensure they understand the full implications of proposed cuts. By taking a value-based approach to cost optimization, you can reduce IT spending while continuing to deliver the essential services.