Gartner Research

China Summary Translation: 'Prepare for Radical Cost Optimization Measures to Match the Severity of Enterprise Emergencies '

Published: 28 April 2016

ID: G00303380

Analyst(s): Owen Chen , Kurt Potter


Emergency circumstances require a radical mindset and tactics to optimize costs to meet critical enterprise goals. CIOs and IT leaders must adopt radical measures to sustain the enterprise, but also understand that the side effects will be felt in future years.

Table Of Contents



Prepare for Radical Cost Optimization Measures to Match the Severity of Enterprise Emergencies

  • Key Findings
  • Recommendations


  • Commitment to Radical Actions Based on Tolerance for Disruption
  • The Radical Cost Optimization Mindset
  • Radical and Emergency Cost Optimization Actions
    • Message a Positive Future, Even If You Know It Will Not Be
    • Be Maliciously Obedient to Goals
    • Use General Rules of Thumb to Set Fast Goals Within the IT Organization and Beyond, but Prepare for 50% IT Budget Reduction
    • Make Enterprise Stakeholders Uncomfortable With Lower Service Levels and Benefits Realization
    • Avoid Business Investments for Automation Unless They Come With a New Funding Pool, and Instead Focus on Realizing the Benefits of Automation That Already Exist
    • Segment IT Services, Systems, Applications and Investments Into Mission-Critical Categories to Drive Tier 1 Vendor Strategies
    • Slow Down Supply and Demand by Creating Funnel Friction or Stress Points
    • Drive Decentralization of IT Into Business Units and Encourage Shadow IT
    • Evaluate All Staffing Strategies, and Be Prepared for Your Best Staff to Depart the IT Organization
    • Share With Competitors Where It Makes Sense
    • Think About What You Would Do If Radical Optimization Would Go On Indefinitely
  • If Radical Cost Optimization Leads to Radical Ruination, Does It Really Matter?

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