Gartner Research

Seven Actions to Take When Short-Term Cuts Are Demanded From I&O Budgets (Again)

Published: 27 October 2015

ID: G00291882

Analyst(s): Jay E. Pultz

Summary

Uncertain economies, volatile oil prices and the rising U.S. dollar are putting pressure on I&O leaders, once again, to reduce their current fiscal year budgets. This research provides I&O leaders with best practices to deal with this situation.

Table Of Contents
  • Key Challenges

Introduction

Analysis

  • Be Ready to Say "No" to Unwarranted and Unwise I&O Budget Cuts. Clearly Delineate the Negative Impact of Such Cost Cutting on Top-Line Revenue.
  • Defer Key Initiatives That Only Offer Modest Modernization or Provide Nice-to-Haves.
  • Review Contracts and Look for Ones That Can Be Renegotiated, Consolidated or Terminated Within 12 Months. Focus First on Colocation, Networking and Outsourcing Service Contracts.
  • Conduct an Asset Utilization Audit on Network and Colocation Services, and on Major Hardware/Software Platforms.
  • Tackle VM Sprawl and Underutilization: Consolidate VMs to Fewer Servers, and Underutilized VMs to Fewer VMs.
  • Look for New Consolidation Opportunities Around Colocation, Managed Services and Cloud Providers.
  • Examine Options to Use Public IaaS Offerings, Especially for New Demands.
  • Take Drastic Action, Only If All Else Fails.

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