TeamQuest to Discuss Alignment of Costs Related to Business at Gartner Summit and Conference
TeamQuest is proud to be presenting at the Gartner Data Center events in Las Vegas and London. One of the many subjects we’ll discuss is an important and often overlooked one in the world of IT: cost alignment with the rest of the business.
Too often, IT is regarded as an “operational cost,” a department used to fix problems or react to crises. We at TeamQuest believe this model is fundamentally outdated, and so we’ve dedicated ourselves to the integration of IT departments with the overall business, transforming them from cost centers into strategic assets.
Indeed, IT can and should be regarded as a major source of business value — a prospective business tool, rather than a retrospective one. In order to achieve this, however, IT departments must align their costs with their value to the business. TeamQuest is excited to discuss this very subject — “Eliminate Turbulence Between IT and the Business” — at the Gartner Data Center Summit in Las Vegas and the Gartner Data Center Conference in London, Nov. 30 - Dec. 10.
Along with thought leaders from companies like Microsoft, Cisco, and of course, Gartner, TeamQuest will discuss the current state of IT infrastructure and operations. As IT becomes more and more closely tied to the overall success of the business, one of the most important steps that IT leaders must take is to align their own goals and budgets with those of company leadership.
The Perils of Budgeting
In managing their budget, IT staff must navigate between two equally dangerous budget risks. If they under-allocate resources to business operations, service may suffer slow response times or crashes. If they overprovision in these same areas, however, the business wastes mission-critical budget — and risks circulating an image of IT as a cost, rather than an asset.
TeamQuest has developed software to reverse that calculation, leading to greater IT control over its budget and a top-level rethinking of IT’s role within an overall business strategy. Our tools help IT teams predict the cost of services, allowing for better coordination between business leadership, finance, and IT departments.
How Leadership Benefits
Business executives enjoy newfound visibility into IT department costs, enabling them to begin a dialogue with IT staff about business priorities and the budgets needed to achieve them. At the same time, executives gain insight into the resources needed for new business services, ensuring that executives and IT departments are always on the same page.
Finally, executives are able to understand IT’s value to the business — as a crucial part of every initiative and product, rather than just the department to call when things go wrong.
How IT Benefits
For IT departments, aligning IT costs with business value produces three related advantages, in addition to the benefits that accrue to business executives.
First, alignment encourages an optimal distribution of IT resources. When costs and business value are closely tethered, resources are allocated more efficiently in areas of the business that most urgently need them. Efficient resource distribution in turn avoids the twin risks of under- and over-provisioning -- the “rock” and “hard place” for many IT financial managers.
Second, the cost alignment process leads to greater understanding of IT’s cost structures and can reveal new sources of value. IT staff thus gain a strong knowledge of existing and potential risks, as well as new and upcoming costs. Because each cost division can identify its corresponding source of business value, alignment also increases accountability within IT departments.
Finally, IT staff are better able to communicate their value to business leaders. A clear and incisive communication of IT value leads to better results in every respect: more consistent service, a growing ability to justify bigger budgets, and increased margins for the entire company.
TeamQuest will cover all this and more in our discussions at the Gartner Data Center Infrastructure & Operations Management Summit and Conference. We’re proud to take part in these important events and to help lead companies everywhere into the new age in IT infrastructure and operations.
(Main image credit: Zbigniew Osiowy/flickr)