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This video introduces some of Info-Tech’s new research on controlling application related costs in IT. Applications typically account for about 40% of the enterprise IT budget, therefore it faces a lot of scrutiny from senior management. We talked to IT managers about nine strategies. The four most effective strategies are:

  • Eliminating maintenance on non-core applications.
  • Deploying zero-based budgeting to reduce waste.
  • Introducing greater platform standardization.
  • Triaging delveopment based on effort, since support and maintenance account for between 10 and 20% of effort.

These tactics can be deployed for managing discretionary spend. But when it comes to major budget reductions of over 20%, you only have two options: cut people, or cut applications.

Also In

Optimize Applications Cost Management

Choose the right tactic to save the most money.

Solution Set Steps

  1. Understand the business situation and top tactics for each
    • Applications Cost Management
  2. Learn from another enterprise's experience through an in-depth case study

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Search Code: 51922
Published: January 25, 2012
Last Revised: January 25, 2012

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