optimising the use of it
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Optimising The Use Of IT In An Economic Downturn, Information Age Seminar, by Martin AthertonTRANSCRIPT
- 1 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Optimising the use of IT in an economic downturn
Martin AthertonResearch Director
Freeform Dynamics Ltd
+44 208 943 5324
- 2 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Topics
► Review of recent research
► IT imperatives in a tight economy
► 3 ways optimise the IT infrastructure and operations
► 3 ways to optimise the way IT is used in the business
► 3 ways to enable the business to be more efficient
► Helping the business drive the top line
► Q&A
- 3 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Has the ‘credit crunch’ had a specific impact on IT investment in your company or do you expect it to?
0% 10% 20% 30% 40% 50%
It has already impacted our IT spendingsignificantly this year
We expect it to impact our spending nextyear (2009)
We are not predicting an impact, but weare well aware it might happen
We do not think we will be affected
1125 Respondents
- 4 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Has the ‘credit crunch’ had a specific impact on IT investment in your company or do you expect it to?
0% 20% 40% 60% 80% 100%
UK
USA
Rest ofEurope
Rest ofWorld
It has already impacted our IT spending significantly this yearWe expect it to impact our spending next year (2009)We are not predicting an impact, but we are well aware it might happenWe do not think we will be affected
0% 20% 40% 60% 80% 100%
Corporate(5000 plus
emps)
Mid-Sized(250-5000
emps)
SMB (Lessthan 250emps)
- 5 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Has the ‘credit crunch’ had a specific impact on IT investment in your company or do you expect it to?
0% 20% 40% 60% 80% 100%
Financial servicesTravel and Transportation
Media/Entertainment/PublishingRetail and WholesaleIT products/services
ServicesTelecommunications
Manufacturing/construction/engineeringEnergy and Utilities
Central/Local GovernmentEducation
HealthcareOther
It has already impacted our IT spending significantly this yearWe expect it to impact our spending next year (2009)We are not predicting an impact, but we are well aware it might happenWe do not think we will be affected
- 6 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
If you are expecting an impact in 2009, how great do you think it will be?
0% 10% 20% 30% 40%
Devastating
Significant cut backs across the board
Cut backs in selected areas (e.g. noncritical)
No more than a bit of general belttightening
N/A - Don't expect an effect
- 7 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Summing it up
► Few have yet been hit by the downturn
● But the majority in IT are preparing themselves
► View seems to be consistent across segments
● Little difference between geographies
● Little difference by company size
● Everyone ultimately likely to be affected
► However, we are from widespread panic
● Most anticipating a selective/limited impact on IT
► So how can we maintain this controlled view?
- 8 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Maintaining control
► Not just about cost cutting within IT
► Need for a more balanced approach
Economic pressure
Economic pressure
IT DEPT RESPONSE
- 9 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
3 ways of optimising IT
► Server virtualisation● Underutilisation = excessive overhead & power consumption● Solutions now mature, costs coming down (e.g. MS option)
► Desktop management● Desktops account for significant IT related costs and overhead● Asset and licence management can have a quick ROI● Challenge/qualify proposed upgrades very hard● Consider desktop virtualisation
► Systems management● Prevention is cheaper than cure● Integration is cheaper than fragmentation● Efficiencies reduce costs and free up resource
- 10 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
3 ways of optimising the way IT is used
► Application training● From office tools to core business systems● Make users more self sufficient (and productive)● Reduce support costs● Defer investments (learn to use what you have!)
► Power and waste management● Configuration/user behaviour re desktop PCs, printers, etc● Define and implement end user policies
► Implement basic IT governance● Make all IT related activity count in business terms● Review of existing systems and projects (and shoot the dogs!)● Prioritise proposed projects via objective cost/value criteria
- 11 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
3 ways of enabling business efficiency
► Get people better connected● Mobile access: hand-held devices, data cards, etc● Unified communications: telephony, conferencing, messaging● Remote access: home working, branch office working● Reduce travel costs, reduce dead time, boost productivity
► Make smarter use of the Web● End user driven content management/maintenance● Extranets and collaboration portals
► Unlock the value in your information assets● Most businesses capture lots of data but don’t use it● Business intelligence is no longer a black art● Work with users to understand what drives performance
- 12 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Help the business drive the top line
► Generating income is fundamental
● Nothing happens without it
● Looking after the top line is even important in a downturn
● Need to improve, just to stand still
► Sales and marketing activity is:
● Information intensive
● Communication intensive
● Time sensitive
● Repetitive and formula driven
► IT can make big difference
- 13 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Time to marketTime to market
Focus on business objectives
► Enable maximum individual productivity► Get people working together as effectively as possible► Present the best possible image to the market► Operate in an intelligent, informed and joined up manner
Time to competitive response
Time to competitive response
Lead generation efficiency
Lead generation efficiency Sales
conversion rates
Sales conversion
ratesLevel of repeat
business
Level of repeat
business Overall cost of sales
Overall cost of sales
- 14 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
1. Make smarter use of office tools
► Templates and process● Re-use of content● Re-use of formatting● Lever talent/experience
► End user training● Tools● Processes
► Basic collaboration● Document shares● Team sites● Simple workflow● Search
Individual productivity Effective team working
Image/presentation
Intelligent execution
Individual productivity Effective team working
Image/presentation
Intelligent execution
- 15 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
2. Get your people better connected
► Mobile access● Hand-held devices● Notebook data cards● Email, diary, contacts● Other apps via browser
► Unified communications● Telephony integration● Messaging integration● Multi-media conferencing
► Remote access● Home working● Branch office working
Individual productivity Effective team working
Image/presentation
Intelligent execution
Individual productivity Effective team working
Image/presentation
Intelligent execution
- 16 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
3. Make smarter use of the Web
► Revisit your Website● Image, clarity, accessibility● Use of rich media● Interactivity, rich interfaces● User generated content
► Consider and extranet● Partner/channel● Customers
► Investigate social media● Blogs, wikis, networking● Your own and others● Sales, marketing and competitive
Individual productivity Effective team working
Image/presentation
Intelligent execution
Individual productivity Effective team working
Image/presentation
Intelligent execution
- 17 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
4. Unlock your data and put it to work
► Improve business understanding● Customer segmentation● Performance analysis● Affinity analysis
► Focus development● Market gaps/opportunities
► Optimise marketing● More effective messaging● Smarter targeting
► Optimise sales● Better qualification● Propagate best practice
Individual productivity Effective team working
Image/presentation
Intelligent execution
Individual productivity Effective team working
Image/presentation
Intelligent execution
- 18 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
5. Close the loop with integrated CRM
► Support CRM holistically● Business planning● Product development● Marketing campaigns● Sales force automation● Transaction execution● Customer service
► Integrated BI● Sales perspective● Financial perspective● Operational perspective
► Exploit single view of customer
Individual productivity Effective team working
Image/presentation
Intelligent execution
Individual productivity Effective team working
Image/presentation
Intelligent execution
- 19 - Optimising the use of IT in an economic downturnInformation Age Seminar - December 2008
Copyright 2008 Freeform Dynamics Ltd www.freeformdynamics.com
Maintaining control
QUESTIONS?
Economic pressure
Economic pressure
IT DEPT RESPONSE