Large organizations generally have some governance in place to optimize IT costs. However, most SMBs struggle in this area.
Few Strategies that can be used:
Consolidate Payment and Expense Tracking: Use a central email account and bank account for all expenses. This makes it easier to categorize and manage renewals efficiently.
Review IT Costs Quarterly: Regularly assess expenses to plan and adjust renewals as needed, rather than waiting until the last minute.
Consolidate Tools: Avoid using multiple tools for similar purposes like marketing, conferencing, or project management. Standardize the tools across your teams to reduce complexity and costs.
CPU (Cost Per User): Establish a baseline cost per user to aid in forecasting for new hires and in aligning with projected revenue growth. This also helps in managing EBITA margins.
Ditch Unused Services: Rigorously evaluate and eliminate services that are not being effectively utilized to avoid unnecessary expenditures.
By implementing these strategies, organizations can streamline their IT spending and ensure financial resources are used more effectively.
At Moda Experts, we specialize in Cyber Security and IT Cost Containment for small and medium businesses. Please reach out to secure your business from cyber threats and convert IT spend into strategic investments.
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