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What is the Optimal Spend on IT Infrastructure?

11/23/2021
|
10 mins read
written by
Dhoof Mohamed

Most organizations have a challenge finding the optimal amount to spend on their IT infrastructure. Some spend too little which causes system inefficiencies and downtime that leads to a loss in productivity. Other organizations choose solutions that are much more expensive than is needed for their situation, which wastes company resources.

The primary cause of this is a disconnect between company goals and the IT team’s goals. They are typically not in alignment, because the business goals and how they apply to IT have not been made clear to the IT team.

Let’s look at a backup solution as an example: When asked to recommend a backup solution, the IT team suggests a “bullet-proof” backup system that costs $50,000 with almost no downtime. Their goal is to eliminate as much risk of downtime as possible.


However, if this type of investment is not in line with business priorities, management comes back and says that it is too expensive. At that point the IT team offers up a $1,500 solution that is not reliable enough for the business needs and risks downtime, because they think all management cares about is cost.

What the IT professional really needs is to understand how downtime affects the company and what the budget priorities are. The organization may really need a $10,000 solution that has a very high degree of reliability, and takes just an hour to recover lost or corrupted data. If the IT team understands the goals, they can map out several reasonable options for the organization and highlight the cost versus performance tradeoffs. Then, management can make an informed decision on the optimal solution.

That is why it is worth your time to communicate your business goals and IT priorities to your IT team. You get much better options and can choose optimal IT solutions for your business.

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