Home > Asset Management > I want to reduce IT spending on new investments
Home > Asset Management > I want to reduce IT spending on new investments
Let's review IT spending so that we have resources to devote to new investments.
Let's review IT spending so that we have resources to devote to new investments.
One of the most common objections to undertaking digital transformation projects is not having sufficient resources and budgets to achieve the set goals.
But according to Gartner, 30% of the costs are tied to unusability and the cases can be multiple: there can be duplicate licenses, oversized subscriptions, former employees with still active license, assignments for production tests and development kept to the limit, shadow IT, not convenient usage metrics etc. We also add the maintenance and support costs related to the license.
By adjusting spending to the real need, you can reduce IT spending to reinvest resources in new sites. We help identify unused assets and optimization opportunities from complete visibility into license usage.
We evaluate alternative saving scenarios from the same technology infrastructure, adopt SAM (Software Asset Management) best practices to set up automated software license optimization plans and help to renegotiate renewals in a profitable way. By reducing waste and unusability, we save IT budgets that can be used in other ways.
One of the most common objections to undertaking digital transformation projects is not having sufficient resources and budgets to achieve the set goals.
But according to Gartner, 30% of the costs are tied to unusability and the cases can be multiple: there can be duplicate licenses, oversized subscriptions, former employees with still active license, assignments for production tests and development kept to the limit, shadow IT, not convenient usage metrics etc. We also add the maintenance and support costs related to the license.
By adjusting spending to the real need, you can reduce IT spending to reinvest resources in new sites. We help identify unused assets and optimization opportunities from complete visibility into license usage.
We evaluate alternative saving scenarios from the same technology infrastructure, adopt SAM (Software Asset Management) best practices to set up automated software license optimization plans and help to renegotiate renewals in a profitable way. By reducing waste and unusability, we save IT budgets that can be used in other ways.
Unused accounts, duplicate users, excessive subscription plans end up weighing on the budget without any real benefit, but it is hard to ensure a match between procurement and need.
The difficulty of verifying your compliance position against large volumes of data to be correlated leads to unforeseen expenses in the event of audit , for alignment of licensing costs and penalties.
Unconsolidated and overlapping technologies can impact licensing metrics costs (per processor/core on virtual and physical resources) and lead to increased maintenance, support, migration and risk costs.
Optimizing IT spending to be effective must be recurrent, but it is difficult to ensure staff and time spent on this activity on a daily basis.
Unused accounts, duplicate users, excessive subscription plans end up weighing on the budget without any real benefit, but it is hard to ensure a match between procurement and need.
The difficulty of verifying your compliance position against large volumes of data to be correlated leads to unforeseen expenses in the event of audit , for alignment of licensing costs and penalties.
Unconsolidated and overlapping technologies can impact licensing metrics costs (per processor/core on virtual and physical resources) and lead to increased maintenance, support, migration and risk costs.
Optimizing IT spending to be effective must be recurrent, but it is difficult to ensure staff and time spent on this activity on a daily basis.
To help companies reduce IT spending in order to have new resources to invest, WEGG adopts the following strategy:
Creating a database for optimization
To know if we are incurring unnecessary costs, the first step is to find out what we have in the house and how we are using it. We make discovery and normalization of data related to the IT environment (hardware, software, cloud) in order to create a database for optimization. With the support of advanced technologies, we consolidate expense data and authorization agreements from multiple sources in an easily readable format and relate them to usage data, to easily determine the actual location of the licences and the appropriate charge-back arrangements.
Identification of savings
The fact of having a centralized and easily usable database, allows us to identify savings opportunities, creating "views" related to the conditions in which spending is not aligned with business needs. Unused accounts, duplicate users, redundant or underused applications are reported with their usage details, so you can at a later date resize contracts, reassign applications and renew only the necessary subscriptions.
Rationalization of technology
In our analysis, we also try to rationalize the technology used: we select the applications that need to be integrated, replaced or deleted in order to obtain the most convenient licenses and we consolidate the infrastructure to reduce spending. This allows us to cut in half the costs of maintenance and support, operating system migration and also risks. Take Microsoft 365, for example: within the same bundle there are applications that have similar functionality (e.g. Sharepoint/Dropbox e Teams/Zoom) and therefore redundant: we can provide, in some cases, reduced subscription plans. Or, in the case of licenses whose count is based on hardware (number of cores etc.), you could optimize costs by reviewing the infrastructure.
Setting up recurring and automated optimization plans
With an updated database, we can provide automatisms to scientifically assign the best license to each user and facilitate the setting up of self-service procedures to activate subscription plans. Each user, monitored in his workflows, thus receives a plan appropriate to its uses, without waste or unused. Regarding the licenses overused, unused or duplicate, we set up automatic mechanisms within the tool SAM (Software Asset Management) to convert or reassign them to new users.
Support for audit and negotiation
With detailed analysis at the user level, it is possible to monitor the compliance of the uses and proactively face against vendor audits: if there are discoveries they can be remedied with further purchases or contract revisions, avoiding exorbitant alignment costs and penalties. We also help in negotiations with the vendor: with a constantly updated database and our experience in negotiating software contracts, we purchase, review and renew contracts and subscriptions according to the real needs of the organization. We always do it with knowledge, also thanks to what-if analysis and benchmarking among multiple vendors who have previously evaluated the most convenient solution.
To help companies reduce IT spending in order to have new resources to invest, WEGG adopts the following strategy:
Creating a database for optimization
To know if we are incurring unnecessary costs, the first step is to find out what we have in the house and how we are using it. We make discovery and normalization of data related to the IT environment (hardware, software, cloud) in order to create a database for optimization. With the support of advanced technologies, we consolidate expense data and authorization agreements from multiple sources in an easily readable format and relate them to usage data, to easily determine the actual location of the licences and the appropriate charge-back arrangements.
Identification of savings
The fact of having a centralized and easily usable database, allows us to identify savings opportunities, creating "views" related to the conditions in which spending is not aligned with business needs. Unused accounts, duplicate users, redundant or underused applications are reported with their usage details, so you can at a later date resize contracts, reassign applications and renew only the necessary subscriptions.
Rationalization of technology
In our analysis, we also try to rationalize the technology used: we select the applications that need to be integrated, replaced or deleted in order to obtain the most convenient licenses and we consolidate the infrastructure to reduce spending. This allows us to cut in half the costs of maintenance and support, operating system migration and also risks. Take Microsoft 365, for example: within the same bundle there are applications that have similar functionality (e.g. Sharepoint/Dropbox e Teams/Zoom) and therefore redundant: we can provide, in some cases, reduced subscription plans. Or, in the case of licenses whose count is based on hardware (number of cores etc.), you could optimize costs by reviewing the infrastructure.
Setting up recurring and automated optimization plans
With an updated database, we can provide automatisms to scientifically assign the best license to each user and facilitate the setting up of self-service procedures to activate subscription plans. Each user, monitored in his workflows, thus receives a plan appropriate to its uses, without waste or unused. Regarding the licenses overused, unused or duplicate, we set up automatic mechanisms within the tool SAM (Software Asset Management) to convert or reassign them to new users.
Support for audit and negotiation
With detailed analysis at the user level, it is possible to monitor the compliance of the uses and proactively face against vendor audits: if there are discoveries they can be remedied with further purchases or contract revisions, avoiding exorbitant alignment costs and penalties. We also help in negotiations with the vendor: with a constantly updated database and our experience in negotiating software contracts, we purchase, review and renew contracts and subscriptions according to the real needs of the organization. We always do it with knowledge, also thanks to what-if analysis and benchmarking among multiple vendors who have previously evaluated the most convenient solution.
We offer real-time monitoring of technology spending.
We identify opportunities for saving IT spending.
We make optimization a recurring practice.
We offer support for audits and negotiations with the vendor.
We offer real-time monitoring of technology spending.
We identify opportunities for saving IT spending.
We make optimization a recurring practice.
We offer support for audits and negotiations with the vendor.
Would you like to reduce IT spending to make new investments?
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