3 Ways That CIOs Can Reduce Their Software Costs

As CIO one of your most important jobs is to manage the budget of the IT department. This means that despite the importance of information technology, you need to always be looking for ways to make your limited IT dollars go farther. One of your biggest expenses is always going to the cost of all of that software that the company is currently using to accomplish its work. That’s why taking the time to find ways to reduce the company’s software costs will always pay off for the person with the CIO job.

It’s Time For Some Asset Management

If your company is like most companies, you use a lot of different types of software. This means that you have a significant organizational and tracking challenge just to keep track of what you should be paying for. This has to be your first step in getting software costs under control.

Studies of how companies make use of their software have revealed that up to 30% or even more of the software that they have purchased is either still sitting in a box or is underdeployed. What this means for you is that there is a very good chance that you are paying maintenance costs for software that the company is not even using.

Taking the time to create an effective asset management program may not seem to be as exciting as implementing a new cloud computing strategy. However, the benefits from taking this step will be immediate. Creating a system that allows you to track what you are using today and helps you to stay on top of what additional software you’ll be using tomorrow is the key to keeping your software maintenance costs in check.

Manage Your Software Vendors

The relationship that you have with your software vendorsĀ  shareit for pc is not a one-way relationship. Yes, they do make a valuable product that you purchase in order to allow your company to run its business; however, the software vendor needs you just as much as you need them. This provides you with the opportunity to look for ways to manage this relationship.

What you are going to want to do is to hold your software vendors responsible for the promises that they have made about what their software will be able to do (and when it will be able to do it). There needs to be a system of assessments and penalties in place to cover the times where promises are made and are not kept.

With that being said, when you choose to use a piece of software from a given vendor, you are actually entering into a partnership with that vendor. You need them to succeed and to continue to support their software just as much as they need to retain you as a paying customer. Creating and maintaining this relationship is a key part of being CIO.

Always Be Looking For Alternatives

In order to keep your company’s software costs under control, you always need to be keeping your eyes open for alternatives. Almost every software product out there has competition – another company is making another software product that does the same or least a similar task. As the CIO, it’s your job to always be aware of what your options are.

One of the most important aspects of looking for alternatives is to make sure that your current software vendors know that you are looking. The goal here is to always be reminding them that their position as one of your software vendors is not a sure thing – things could change. If they are aware that you are looking for ways that they could be replaced, then they’ll be much more attentiative to trying to keep you as a happy and satisfied customer.

Your much larger question will be what to do if you do find an alternative to the software that the company is using. I would suggest that you start to do a trial and have a single team use the software and report back to you. Sometimes things are not all that they appear to be – and sometimes they are even better! This type of trial will also help to keep your current software vendors highly aware that they need to be taking care of your needs in order to remain vendors.

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