Ways to Reduce your IT Costs
Delivering IT solutions at minimum cost tops the agenda of several CIOs. So, how can you keep the cost of delivering IT services at the minimum? In this article, we point out some of the potential areas you can target in order to lower your organizations IT cost.
Target reduced personnel costs
Do you feel that your organization is top-heavy with the IT personnel? You are not alone. Thousands of organizations are considering scaling down their IT personnel! Having experienced IT staff is definitely an important consideration. However, today, most IT functions can be easily replicated. You do not necessarily have to employ a Server Room manager and server-room support staff, yet the organization’s crucial servers are cloud hosted. To deal with this, you can organize a personnel reduction strategy and remain with only the more resourceful employees. Alternatively, you can redefine the job description for the permanent IT department employees. Some organizations choose to redefine their job roles and assign them into more productive roles like sales and marketing with a focus of increasing the revenue.
Hire new college graduates or interns
Developing a relationship with a college near you gives a great opportunity for lowering the IT department operating cost. The fresh graduates are eager to learn on the job in order to increase their employability. Leveraging on such an opportunity becomes a great approach for managing your IT department expenditure, especially on personnel.
Virtualization is the way to go!
Use software-based resources in order to lower the IT cost. Ideally, organizations are spending too much money buying servers that they do not need. Instead of investing in hardware that you will not use to full capacity is an unnecessary cost. You can easily eliminate this by hiring a consultant to drive your IT services virtualization strategy. Servers with low utilization rates only increase your hardware cost as you need someone to manage the server room and you are also incurring the maintenance cost and paying expensively for the server room space. Let go the physical hardware and take advantage of virtualization. Cloud hosting solutions by BELNIS will help you lower the hardware cost.
Open source Software
The initial cost of purchasing licensed software plus the cost of license renewal is another burden CIOs cling on. Some will argue that the licensed software has more robust capability and additional features dear to the organization. But did you know that the open source software has similar capability? Check out the available alternatives, and you will realize that you have been incurring unnecessary annual software renewal cost.
We have looked at some of the easiest approaches you can use to ensure a lower cost of running the IT department. At BELNIS, we offer businesses and organizations in the Richmond area Managed IT services. Contact us to take advantage of our cheaper services.