Why ITSM Now? - Because IT services have never been so critical

By: Axios Systems  09-12-2011
Keywords: Capital Investment, IT Budget

We were able to get assyst up and running very quickly and achieve a tangible return on our investment within the first year.

In many cases, the IT department is responsible for the largest chunk of the organization’s capital investment and operational expenditure, attracting a great deal of pressure to control costs and demonstrate value during times of economic difficulties. Applying best practices for managing IT services can help by improving efficiency and releasing resources for more strategic IT initiatives. The majority of organizations spend up to 80% of their IT budget on 'keeping the lights on', and only 20% on strategic business support initiatives. In an economic downturn, this is an opportunity for IT to cut costs, increase value, release resources and drive the business forward.

Don't let a reduced budget become a threat to IT stability

An economic downturn brings new challenges to IT. Often perceived as a cost center, it’s difficult for the IT department to fend off budget cuts and staff losses, so it’s critical for IT to demonstrate value, maximize efficiency and work with the business to build a competitive edge. With the right tools, the IT department can capitalize on the economic environment as an opportunity to show just what IT can do for the business.

Demonstrable Value

While it is easy for your sales force to demonstrate their impact on the company’s bottom line, the value of IT to an organization is often underestimated. Justifying continued spend on IT is difficult at the best of times. In times of economic turmoil, IT is often the first department to suffer from budget freezes and scrutiny from the Chief Financial Officer (CFO). To counter this, IT must demonstrate value to the business by illustrating the part it plays in revenue generation. Databases, application servers, web servers, routers and communications networks all play a part in supporting IT services. These services are critical links in the processes that underpin customer facing business services. Making that link between the two is the key to understanding the importance and value of IT to the business.

The challenge here lies in identifying IT assets and mapping them to the IT services, business processes, business services and revenue streams they support. Without this link, it’s easy to question the value of a server, process, service or even a member of staff.

Efficiency – Reactive to Proactive IT

When the business is under pressure, IT is under pressure. The need for new business services is increased and new business services means demand for new IT services to support them. The business wants to be agile, so IT has to be equally responsive. Business units want new IT services to support competitive initiatives but budget cuts can mean resources are stretched to the limit.

Mitigating Risk, Ensuring Business Continuity

In prosperous times, few companies survive a major IT disaster. In a downturn, the risks are even higher and a solid plan for continuity of IT services is an essential element of a company’s disaster recovery plan. Change to the IT infrastructure is often the single largest cause of interruption to services, the impact varying from a reduction in system performance to significant loss of revenue. By managing IT infrastructure change effectively you can avoid service downtime and the introduction of errors to the infrastructure - making it more efficient and reliable.

To maximize stability, it is important to have an accurate, up-to-date model of the IT estate: the Configuration Management Database (CMDB). The CMDB underpins planning for changes by showing which other items, services, processes and people are dependent on the item that is the subject of the change. The impact can be seen in advance, the risk can be managed and potential disasters averted. To further support risk management, the CMDB can be utilized as a blueprint for creating duplicate offsite IT support infrastructures for business critical IT services, while a CMDB baseline, a ‘snapshot’ of the infrastructure, can be used to roll back to a known safe configuration or reconstruct the IT estate in record time.

IT Service Management initiatives drive a change in IT from being a misunderstood cost center to a strategic asset that engages with the business.

Find Out More

Keywords: Capital Investment, IT Budget

Other products and services from Axios Systems


Why do I need a service management solution

In many cases, the IT department is responsible for the largest chunk of the organization’s capital investment and operational expenditure, which naturally draws a great deal of pressure to control costs and demonstrate value. It is important for IT to prevent downtime wherever possible through visibility of impact, risk and cost, as well as providing a solid plan to support disaster recovery.


Enterprise Service Desk Software and ITSM Solutions

The assyst ITSM software solution is designed to support the needs of large and multi-national enterprise organizations with a need to gain and maintain control over the infrastructure and services that IT supports. Single product – one vendor, one application, one implementation, one license.


ITIL Service Management on-premise & SaaS Software to Power your IT Services

Benefiting from over 20 years of research and development, assyst is one of the most functionally mature ITSM solutions on the market, with a proven track record for delivering measurable results in large organizations across the globe. Our experience of customer needs drives the development of a software product that combines an unrivalled depth of functionality with unique simplicity of management.