Typically, the need for IT cost optimization arises due to financial constraints, and its existing industry narrative endorses asset consolidation, license optimization, vendor negotiation, etc. But in light of the 2024 IT transformation context, we cannot rely on that narrative anymore.
The current IT transformation context
Amid macroeconomic conditions, last year, IT budgets were not on par with inflated prices. CIOs claimed that the increased IT budget was stretched by inflation, which could cover only basic IT requirements. Accounting for this, in 2024 they witness a budget rise that’s marginally above the inflated prices but only to be defied by higher revenue targets.
Here’s where CIOs need to understand the challenging contrast lying in the above passage:
With less (IT budget rise slightly above inflation), CIOs need to drive more (higher revenue targets).
Usually, it’s just less and that’s it. So it is reasonable to envision a cost-reduction approach, which is the usual synonym of cost optimization—as seen during the pandemic and the recent recession. But when it’s combined with more, as above, CIOs have to evolve from just technology experts to digital business strategists and come up with an approach that’s collaborative with their CxO peers to cater to customers’ expectations and drive organizational resilience.
We went in deep with some research to address this complex and unprecedented IT scenario by contextualizing it with the macroeconomic trends. Based on the industry best practices—particularly the ones experts bet on during such tumultuous times—we have conceived a technology adoption guide for enterprises and drafted it as a white paper, which will answer questions such as:
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How do you optimize costs without decelerating your digital transformation?
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How do you create new revenue streams by leveraging technology?
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How do you make the most of the cloud?
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How do certain organizations find managing in-house hardware cheaper than the cloud?
Read our latest white paper, How IT leaders can drive more with less, to adapt your digital delivery to a dynamic economy.
