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October 28, 2006

IT Utopia

One of the challenges for any organization is balancing their technology spending against the bottom line. Year after year many IT organizations are limited to a 10 to 15 percent increase in IT spending over the previous years run rate, which really restricts new projects and growth in new technologies. This strategy, although good for the bottom line in the short run, is not a good strategy for the long run. IT organizations end up supporting older networks, older applications and older technologies for longer periods which eventually require large replacement projects to upgrade the older components, as opposed to consistent lower costing upgrade projects. As time goes on, the different IT departments compete with each other for new projects and eventually the oldest and most critical environments are replaced, usually consuming the entire 10 to 15 % increase in the budget, leaving limited funds for real infrastructure upgrades.

In my opinion, one requirement of IT Organizations in to deliver Best of Breed applications to the Business Community. IT groups can always identify the Best in Breed products and practices, however full adoption is usually cost prohibited, leaving IT organizations with partial adoption and holes in support, which results in an increase in process and headcount within the IT Organization.

From an IT perspective, complete lights out automation of every process would be Utopia. Adopting Best of Breed products and strategies could get us closer to the Utopia, however I am sure that we will never see this Utopia in my lifetime.

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