Managing IT Costs in a Weakened Economy - ' Finding 4'
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: Virtualization and Consolidation Lower Costs...">
Finding 4
Virtualization and Consolidation Lower Costs... (Slideshow)
But cost management tools don't live up to expectations. Virtualization and consolidation have appeared as major trends in recent CIO Insight surveys because they do a great job reducing IT costs by helping companies save on hardware. Open source software, by comparison, is much less of a cost-buster, while outsourcing (as shown in other CIO Insight surveys) disappoints most companies that implement it in the hopes of reducing costs. Many of the software tools companies use to manage costs also prove disappointing: In general, they are as likely to meet expectations as not. This underscores our previous finding: Smart technology choices and effective collaboration between IT and business are what matter most when it comes to managing IT costs.
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