Client computing (desktops, laptops, mobile devices and client applications collectively known as EUC) can be one of the hardest areas of IT to control. This leads to out of control costs. Platform standardization, application bloat management, virtual desktop initiatives and vendor management are all well known methods to rein in costs. But the difficult aspect is understanding current unit costs and analyzing how much could be saved under various project proposals.
By leveraging Technology Business Management (TBM) practices, IT managers can better understand the unit costs in client computing, key cost drivers and how to drastically cut and control those costs.
With Apptio, you can:
- Accurately model IT unit costs to obtain a total cost of deploying and maintaining a client device.
- Analyze cost drivers, usage and utilization to identify areas for cost reduction.
- Present a Bill of IT to business unit managers showing the cost of EUC.
- Create and streamline processes around Continual Cost Optimization, Budgeting and Service Cost Allocation.
Reducing Desktop Costs and Analyzing Alternatives
The high penetration of desktops in most organizations, combined with the fact that many companies also provide employees with both a laptop and a desktop, have driven end user computing costs to become a significant portion of the IT budget. Even though initial acquisition costs have plummeted, the cost to provision, license additional productivity software, and support a desktop over the life of the machine can easily outstrip the upfront capital expenditure.
Additionally, many companies today use, or are exploring, alternatives to the traditional desktop configuration for some or all of their workforce. Many vendors provide solutions to enable either application virtualization or complete desktop virtualization. While both offer tremendous value and bring down costs at the desktop, they also introduce servers sitting in a data center and the cost of that infrastructure needs to be considered when doing a financial comparison between traditional and virtualized desktop alternatives.
Using Apptio's Technology Business Management solution, IT managers can quickly upload their desktop cost data including hardware depreciation, OS fees, application and management software licenses, provisioning costs, support and break/fix labor expenses to drive a fully-loaded cost of providing desktop services to the business. These costs can be compared across the organization, against virtualization strategies or against industry benchmarks to help identify opportunities for cutting cost and improving efficiencies.
Organizations that use a TBM system to gain deep insight into their cost drivers find quick savings in the range of $100k to $2M by making better decisions on the use of client computing technology. Making this level of data analysis available to IT managers fosters a proactive, regular process for Cost Optimization at a grass roots level.