Planningyour Next It Purchase


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Planningyour Next It Purchase

  1. 1. PCQuest : Top Stories : Planning your Next IT Purchase Page 1 of 7 Tuesday, December 25, 2007 Search CIOL Network sites CIOL Network Sites j k l m n Web n i j k l m Search by Issue | CD Search | Sitemap | Advanced Search nair Home > Top Stories Planning your Next IT Purchase If you had an unlimited IT budget at your disposal, what would you buy? How much of a mismatch is there between what the CIO and CEO expect from their IT infrastructure? We received some interesting responses to these questions from some of the key CIOs in the country. Find out the answers to these and much more in this story before making your next IT purchase Tuesday, December 04, 2007 It's good to have lots of technologies and solutions available, but it also increases the difficulty in choosing the right one for your business. Today's IT infrastructure is more complex than ever, which makes it essential to make a very careful IT purchase. It doesn't mean just paying for cost of the IT setup but the cost of services, maintenance, licenses, etc. It's very important that your IT purchase process goes beyond product buying. With endless solutions available in the market, CIOs face the dilemma of what to buy and what not to, as a single wrong IT purchase can result in huge losses or a flop project. We surveyed key CIOs from across the country to understand their buying habits. Where they actually plan to invest in near future and what are their expectation levels from the current setup in their enterprise? We provide Governance and Risk you with the know how of having a strong IT purchase strategy in place and Management a well-defined process to back it up. Game for IT Managers 25-Dec-07
  2. 2. PCQuest : Top Stories : Planning your Next IT Purchase Page 2 of 7 Trends in IT purchase One of the key findings of survey is the fact that enterprises are spending more and more every year. When asked about the trends in their IT budgets, most of them said these increased over the years. When asked where they are planning to invest in the coming year, DR and BCP topped the list. Good to know that enterprises are finally taking DR and BCP seriously. Other most wanted technologies for the next year turned out to be Unified Communication, SAN, Information Security, and Server Consolidation. When asked about how frequently they purchase products, 40% of them said as and when required and incidentally the same number of CIOs, ie, 40% said every quarter. Gap between your current IT setup and your expectations Green IT revolution also seems to be gaining momentem, 56% of the respondents said that they are extremely serious about implementing Green IT in their enterprise while only 40% of them said that they were somewhat serious. Every company has a limited budget and they need to spend it carefully. Let's take a look at steps you can go ahead with to ensure you spend your IT budget effectively. How frequently do you purchase equipment for your IT setup? 25-Dec-07
  3. 3. PCQuest : Top Stories : Planning your Next IT Purchase Page 3 of 7 CIO vs CEO: Satisfaction level with current IT setup Look before you leap Before planning your IT purchase strategy, you need to find how well is your current IT setup performing? How happy are the users with your current IT setup. In our survey when we asked key IT decision makers about how often they conduct user assessment surveys, only 50% of them said once in a year. As ultimately it's the users who are running the business, user's feedback should be taken more often, at least once in six months. For defining a good important strategy, it's important to know that how have your recent IT setups delivered, their impact on the business, what are the challenges that have come across after deployment and how they are being resolved? Other than the user's feedback, this valuable information can come from your own IT team, managers, partners, and customers. Next you will also need to calculate the costs of IT setups implemented in the past year. This will give you fair idea of variation between how much you planned to spend last year and how much you actually spent. And in case you have spent more than you actually had planned, and the setup is still not up to your expectations, you will have to drill deeper to find out what exactly have caused the gap. Once you have gathered all this information (which is quite time consuming) you need to analyze the trends faced in IT problems and issues faced during the past year. This can be easily done by analyzing data of calls logged by your IT helpdesk. Here determine the unique incidents which resulted in major problems. How much of a loss did these cause and how widespread was it? Other things to look at are how many users did it impact, how long it took to rectify the problem completely, what was the overall impact on the business and what should be done to prevent such attacks in future? Once you have identified the key issues that had an impact on your organization and reasons behind them, you will have a fair 25-Dec-07
  4. 4. PCQuest : Top Stories : Planning your Next IT Purchase Page 4 of 7 idea of what should be in your priority list of next IT purchase. Where CIOs plan to invest in the near future? Everytime a new technology is introduced in the market, do you purchase it immediately or wait? Set your priorities Once you've outlined the major incidents and their impact on your business, next thing you need to do is figure out their solutions. Again this can be done in various ways: by taking an IT consultation, asking your managers and IT team for suggestions. Once you have got the list of the solutions 25-Dec-07
  5. 5. PCQuest : Top Stories : Planning your Next IT Purchase Page 5 of 7 recommended, you can also perform a feasibility study. Now you have a starting point on identifying what to purchase. At this stage, you can start filtering them out, based on the impact they'll have on your business. At the end, you'll have a filtered-out list of items you need to purchase. You could collate them in different categories and define a time period by when you'll need them. There might be things that need to be purchased immediately, while others could wait, perhaps for the next purchase cycle. Once you have a filtered and well-categorized list, you can start defining the specs for each item onit. Choosing the right vendor After identifying what exactly you want to buy, and who all are going to be the key decision makers for it, the job is half done. Next step is to identify the vendors offering the product you are looking for. This shouldn't be hard to do, you can find this information online, in various magzines etc. Once the list is ready, check out the products available on the vendor's Website. After going through few specs, you will have a fair idea of what's available in the market and which of them exactly suit your needs. Next you invite the quotes from various vendors and process of negotiating for the best deal begins. When choosing the vendor, it's advisable to go for the vendor which can deliver multiple items on your purchase list, as this makes your IT infrastructure more standardized. In our past surveys we have seen there has been always a gap between a CIO's expectation and what is finally delivered by the vendor. To avoid such situations you should test some of the equipments before placing the final and must have stringent SLAs with the vendor. How often do you conduct user assesment and satisfaction survey? Of expectations and dreams When we asked how much is the gap between the current setup and their expectations from it, a major chunk, about 48%, said that there is only a small gap. In our survey another surprise came out when according to the CIOs their CEOs were more satisfied about the current IT setup in their enterprise than the CIOs themselves. About 64% of the CIOs said that their CEO is very satisfied with the current IT setup, while same figure for CIOs themselves was 44%. When we asked CIOs whether there is a mismatch between you and your CEO's expectations, only few of them admitted that there is a difference. When we asked CIOs the dream question that where they would like to 25-Dec-07
  6. 6. PCQuest : Top Stories : Planning your Next IT Purchase Page 6 of 7 invest, if they were provided with unlimited IT budget and it was their call of where to invest, Virtualization topped this list and others in the top list were Unified Communication, BI, SOA, DR ,and BCP. When we asked CIOs about their personal likes and dislikes, incidentally Virtualization again topped the list of personal likes. Other technologies CIOs seem to love where .Net, DR and BCP, BI, RFID, IP telephony, and Green data center. While coming to dislikes some of them didn't like even a single technology, while others seem to have different choices but at the end of it, there was no single technology that we can call most hated one. Anil Chopra and Swapnil Arora Page(s) 1 Comments: Name: Email: Please enter text shown below : Submit Read Comments 20 Killer Products that Revolutionized IT Usage Trendsetters in IT Unified Threat Management Virtualization Technologies | RQS | Contact Us | Team PCQuest Magazine Subscription Other CyberMedia web sites [Dataquest] [Voice&Data] [CIOL] [Living Digital] [IDC India] [CIOL Shop] [DQ Channels] [the DQweek] [CyberMedia India] [Cybermedia Dice] [CyberMedia Events] [Cybermedia Digital] [CyberAstro] [Global Services Media] [BioSpectrum] [BioSpectrum Asia] [Computer Shopper] [College Buying Guide] [Voice&DataConnect] 25-Dec-07
  7. 7. PCQuest : Top Stories : Planning your Next IT Purchase Page 7 of 7 Copyright © CyberMedia. All rights reserved. Reproduction in whole or in part in any form or medium without express written permission is prohibited. Usage of this web site is subject to terms and conditions. Broken links? Problems with site? Send email to 25-Dec-07