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It costs how much?

In our last post we introduced Apptio’s Technology Business Management (TBM) tools, which are at the heart of our Spend Comprehend solution, and looked at exactly what those tools deliver. Let’s now dive into what can you do with all the data and the insights Apptio offers.

Yes, Apptio’s TBM software builds trust with the business and gives you the data you need to manage costs much better. But it goes well beyond that. Time and time again Voco has seen the power that Apptio’s insights bring. When business units can see the total cost of IT services, it changes the conversation. Instead of debating cost (“why is it so expensive”?), we start to jointly brainstorm how we can optimise costs. We start to see: 

 Rationalisation of applications: “The value of these applications doesn’t quite justify their cost.  I don’t really need them.” 

 Alternative support models: “We have a 99.9% uptime SLA on this application requiring 24×7 support but we really only need 11 hours x 5 days, and we can probably tolerate a one-hour response time.” 

 Alternative delivery models: “Now that I can see the fully loaded cost of this service let’s explore alternatives that could provide the appropriate service at a lower cost. 

 Behaviour change: “We could return a lot of those laptops and most of our people certainly don’t need a Visio licence. In fact, we should probably do a full review of all our licensing now we understand what we’re spending on them.” 

 The ability to compare with the market: “Now I can see what everyone else is paying for desktop support, I am better equipped to negotiate a good deal for ours. 

This is just the tip of the iceberg. Apptio has seen organisations find millions of dollars in savings by changing support models, rationalising serversreducing storage, consolidating datacentres, and more.  

 One of the biggest benefits is arguably the ability to reinvest savings into highervalue strategic projects. It’s no secret that topperforming organisations invest more of their IT budgets into transformation. 

 As IT and the business become more aligned, the conversation moves from defending costs to discussing how IT can help innovate and grow the business. And that is where the real magic of Apptio lies. 

To discuss the topic further, please get in touch with the author, Vaughn Woods, on 021 996 685.

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