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IT Department Spending TOO MUCH

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IT Department Spending TOO MUCH

Isis06
I've recently been told, by the powers at the top, that the IT department is spending too much money. I?ve read through the old discussions regarding IT spending, but I need a different input.

I've come up with a budget for updating the company?s infrastructure and hardware which I think is reasonable considering every sector needs its own web server (virtualisation) and all users need licenses upgrades and so fort. However they think compare to other company?s our size, we are spending too much.

The original infrastructure was setup for 50 employees with 5 different sectors within the one company. We now have 150 employees and 10 different sectors, but the infrastructure and hardware have not been updated for the past 5 years not for the lack of trying from the IT department I might add.

Now they are ready for the upgrade, but as with everything IT, I am trying to balance the cost with the best possible solution available. Are there any IT managers out there who have a similar size company that have been through an upgrade who can share their IT Budget / Cost?
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    The 'G-Man.'

    and I know this is rough....

    3 times bigger org, 3 times bigger system.

    3 times more software costs

    3 times more PC's

    Approx 3 x more storage space / backup required

    5 years old - go down the Virtual Systems Route. Less Hardware / Power required.

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    IC-IT

    each sector need their own web server? With virtual servers, they should be able to host multiple sites.

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    Isis06

    they use different developers. Some are good and others are not so good. The not so good ones tend to create codes that crash the web server.
    My plan is to use virtual servers with the new upgrade.

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    jck

    Do a phased rollout across 2-3 budget years.

    If management comes to you and asks why it is taking so long, tell them they aren't willing to allocate the necessary funding in one year so you are doing it within the period that the funds will be there...and stress everything is *necessary*.

    Sounds like you have penny pinchers who are trying to cubbyhole money for a corporate retreat or something.

    Good luck to you.

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    andytech79

    You always need key metrics and numbers to prove your point to uppper management. That comes from the historical data or benchmarking data from your industry peers.
    InfraSage ITM Suite provides tools to manage your IT Budgets, IT Spending and IT Forecasting effectively.
    Check out http://www.infrasage.com and there are interesting blogs at,
    www.infrasage.com/index.php/blog

  • +
    0 Votes
    The 'G-Man.'

    and I know this is rough....

    3 times bigger org, 3 times bigger system.

    3 times more software costs

    3 times more PC's

    Approx 3 x more storage space / backup required

    5 years old - go down the Virtual Systems Route. Less Hardware / Power required.

    +
    0 Votes
    IC-IT

    each sector need their own web server? With virtual servers, they should be able to host multiple sites.

    +
    0 Votes
    Isis06

    they use different developers. Some are good and others are not so good. The not so good ones tend to create codes that crash the web server.
    My plan is to use virtual servers with the new upgrade.

    +
    0 Votes
    jck

    Do a phased rollout across 2-3 budget years.

    If management comes to you and asks why it is taking so long, tell them they aren't willing to allocate the necessary funding in one year so you are doing it within the period that the funds will be there...and stress everything is *necessary*.

    Sounds like you have penny pinchers who are trying to cubbyhole money for a corporate retreat or something.

    Good luck to you.

    +
    0 Votes
    andytech79

    You always need key metrics and numbers to prove your point to uppper management. That comes from the historical data or benchmarking data from your industry peers.
    InfraSage ITM Suite provides tools to manage your IT Budgets, IT Spending and IT Forecasting effectively.
    Check out http://www.infrasage.com and there are interesting blogs at,
    www.infrasage.com/index.php/blog