Ten IT Talking Points Your CFO Will Love
Irwin Teodoro/CTO Edge
4, 5 and 6. Virtualize, Virtualize and VIRTUALIZE
This subject takes up three spots because there are three key virtualization targets — servers, desktop and storage. But again, the key here is how to justify and how now NOT to justify.
Let’s start with server virtualization — it’s the easiest to justify TCO-wise. The challenge is to provide accurate savings estimates upfront. In other words, don’t guess as to the savings. Many times, virtualization projects are viewed as unsuccessful because the savings don’t match the upfront promises. This can be avoided by running a formal assessment before asking for funds. Collect real-world usage statistics to build an accurate business case. And don’t use low-traffic period estimates. If your IT use peaks during the end-of-the-month business close, then include that time period in your assessment.
Desktop virtualization projects usually require a multi-year business case. It’s tough to justify a full-scale VDI program in the first year because of the upfront capital expenses. But VDI can extend the typical three-year desktop refresh cycle, reduce operating costs for support, maintenance and upgrades, and reduce subsequent year capital expenditures.
Finally, check into the new wave of storage virtualization products. They can lower capital spending by up to 90 percent.
Photo: John Markos O’Neill/Flickr (CC)