Some companies are currently in a particularly difficult economic phase. With inflation rising, it’s more important than ever for many businesses to learn how to do more with less. At the same time, IT spending is growing exponentially, and strategically reducing costs is becoming increasingly difficult.
The catch is that cost reductions must not come at the expense of employees’ digital experience. That would affect productivity. Thus, this would also make all savings achieved through cost reductions obsolete. A key way executives try to contain spending is by reducing equipment, software, and network costs. The following are some of the most effective strategies CIOs use to save money in their organizations.
Optimize Hardware Updates
In the past, companies have used the age of their devices as the main indicator for renewing their employees’ devices. However, using observability tools that measure actual performance and user experience is far more effective. This makes it much more accurate to determine whether the hardware needs to be replaced or upgraded or is operating well.
Organizations can significantly reduce device replacement expenses by using data that shows the health of employees’ devices rather than picking random dates. Another advantage is that employees have constant access to powerful devices.
Discard Unused Software
Last year, 30% of SaaS licenses remained unused. In practice, this means wasting millions of pounds a month on technology. However, as SaaS tools become more popular, IT teams need help monitoring and tracking software usage across the enterprise.
With centralized digital experience management solutions, companies can automatically determine and measure the scope of all applications used by their employees. These insights can then be used to identify unused or underutilized licenses. At the same time, bloated software expenses caused by shadow IT applications can also be curbed.
Reduce Network Congestion
The more companies advance on their path of digital transformation, the more difficult it has become to navigate the networks. This is largely because IT teams need to catch up on potential bottlenecks while managing new cloud architectures and legacy infrastructure simultaneously.
CIOs are now emphasizing proactively looking for trouble spots before they escalate into a full-blown crisis. This also includes the use of network performance management tools to get a better idea of how communication is moving in the infrastructure. This streamlines data transport and reduces network latency and congestion, all of which significantly reduce network costs across the enterprise.
Reduce Cloud Spend
Monitoring and understanding public cloud spend has become a complex issue for many organizations. If cloud traffic and its impact on budgets are not transparent, cloud costs will inevitably increase. Solutions such as network and cloud monitoring are essential for companies. Especially for companies that need to escalate traffic by priority, reduce round-trip traffic to the cloud, and gain clear visibility into cloud spend. With this information, organizations can optimize their network and cloud performance and drastically reduce overspending in areas such as cloud egress.
Curb Spending On IT Resources
To remain competitive, companies must maintain their digital transformation projects and their digital experience. However, IT budgets need to catch up with rising costs. The three-quarters of IT leaders surveyed late last year are under pressure to reduce or streamline costs.
As a result, organizations must continually ensure they are strategically deploying their IT budgets and eliminating overspending. By optimizing the device, software, network and cloud infrastructure, companies can solve many problems – reduce costs, optimize the digital experience and increase employee productivity.