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November 29, 2004 Mastering Cost And SLA Control Through IT SourcingBusiness Technographics® Europeby Manuel Ángel Méndez with Andrew Parker, Christof Herzog, Ph.D., Kim Le Quoc, Reineke Reitsma |
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This is an excerpt
Executive Summary
Companies have realized the need to implement a more strategic approach to IT sourcing. Why? In order to rationalize IT environments and reduce costs, they need to formalize their sourcing processes and centralize IT governance in parallel — and have both business and IT leaders involved in IT decision-making. Companies implementing successful IT sourcing are likely to lower vendor management costs and define better service-level agreements (SLAs). To achieve this, 45% of European companies will substantially reduce the number of vendors they work with in 2005. In spite of this formalization of IT sourcing, related initiatives that support rationalization and cost control will take longer to arrive. This applies to alternative software pricing methods as well as to the adoption of IT contract management tools.
TABLE OF CONTENTS
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Approaches To Effective IT Sourcing
- Dedicated Sourcing Governance Brings Benefits
- Vendor Rationalization Will Accelerate In 2005
- Structured Sourcing Uses Open Source Selectively
- Buyers Seek A Shift To Utility-Priced Software
- License Renegotiation Will Ramp Up In 2005
- Contract Management Tools Fail To Gain Traction
- Supplemental Material
This is an excerpt
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