It's a common problem for businesses owners. Your company expenses seem to be skyrocketing out of control.
IT costs are an especially pocket-draining area. Surprisingly, smaller companies tend to outspend larger ones.
An inefficient IT plan can drain cash from important sectors of your business. And you may never even know how it's happened.
If you are a South Florida businessperson, it's time to take charge of your IT spending. But how to do so?
Don't worry, help is here. This article will explain 10 ways to reduce IT expenses for your company.
1. Get into Cloud Hosting
Cloud computing has been a game changer for IT expenses. Cloud hosting means you don't have to use a single server to support a site. Data is hosted in the cloud throughout multiple servers.
You don't even need to create a private hosting system for your business. For smaller organizations, a public cloud solution can work perfectly well.
With this solution, you can also feel better about your company's impact on the environment. It saves energy and has a much smaller carbon footprint.
2. Minimize Cloud Phone Expenses
Internet-based phone services, known as "VoIP" or the Voice over Internet Protocol, are popular. But are they the best choice for your business? In addition to the cost of the system, handsets can be extremely expensive.
Free alternatives like Skype and Google Hangout work equally well for calls. And most customers prefer to communicate by email, social media, or live chat anyway. Even governments are replacing their phone systems with Skype.
Take a look at your current phone usage, and if it's minimal consider moving over to a cloud-based option.
3. Reduce Monthly Subscription IT Expenses
If you're anything like other businesses, you're overspending on your monthly IT subscriptions.
It's shocking how many companies are signed up to software applications they never use. A common way this might happen is a free trial signup. You might forget about it until you see it has been charged to your credit card every month.
Audit your bank statements and cancel unused products or services and save thousands.
4. Get Multiple Bids for IT Service Providers
Bidding is an established business technique works just as well in IT services. It may take a bit more time than you are used to, but the potential savings are worth it.
Get your office administrator to hit the phones and email to shop around. If you find a better price, be sure to share that with the service provider. They may be more willing to negotiate than you'd think.
5. Do an Audit of Your IT Assets
Gartner estimates 20 percent of IT spending goes to assets that aren't in use. You can, however, reduce this number.
Your IT department should know the location and usage history of every IT asset. This way, the true value of it can be determined. Those that do not give back to the business or have high costs should be eliminated.
6. Leveraging IT Asset Management or ITAM
If you're looking for a long-term solution to manage your IT expenses, try ITAM.
This overall IT strategy stands for IT Asset Management. The core of ITAM is three questions: What are your IT assets, where are they, and how are they being used?
Successful business owners use ITAM to gather detailed information about hardware and software the company possesses. A good ITAM process is then used to inform decisions on hardware and software. This saves you money that would have been wasted on buying assets that aren't needed.
It also promotes good management of the company's current IT resources.
7. Avoid Software Audits
Most people don't even know what a software audit is. But it's one of the fasting growing ways a company can rack up IT expenses.
Make sure you are not under-licensed when software vendors come to collect. Get your IT department to put together software usage data. When they match it up with user data, they then get an effective license position (ELP).
This method has an initial cost in man-hours to get the information needed. However, you can avoid this by using a SAM program that will make the ELP available at all times.
8. Go Green
"Going green" is both good for your company's image and saves you money. The IT sector can take advantage of this money-saving tactic too. One method is to automate and streamline processes.
It's easy to reduce paper consumption and content storage. A simple tactic is to encourage electronic correspondence and stop printing emails. If you do have to print, use eco-friendly paper.
9. Mitigate Potential Vulnerabilities
As technology advances so do the level and frequency of cyber attacks. Is your grid protected?
Start by identifying all remote users and accounts that are on your system. This way you have an insight into who is accessing critical systems in your organization.
Lock down credentials in a safe environment so users can securely retrieve passwords. They can also get an SSH key, or ask for a connection to their accounts.
Early detection and alerts are your friends here. Deploy analytics tools to identify abnormal activity. This way an incident response process can happen quickly and disrupt an attack while it's in progress.
10. Proactive Patch Management
Patch management means using software to update a program or data.
"Patches" are code changes, some of which fix security vulnerabilities and bugs. The point of all of this is to improve the performance of systems.
Doing proactive patch management saves time compared to dealing with vulnerabilities after they have been exploited. It also saves money.
Get Help Reducing IT Expenses
These are just a few of the ways that your IT expenses can be reduced. It's more cost-effective in the long run to use an expert. This way you'll get a holistic view of your systems and processes and advice on how they can improve.
We are experienced providers of tech solutions in South Florida. Find out how we can help make your technology work better by getting in touch with us today.