A CFO has the enormous responsibility of managing limited financial resources across several budgets to achieve a company’s strategic objectives. Furthermore, the CFO is also likely to be an IT decision-maker and determines how much money is allocated to tech spending. Cost minimization is a top priority and having an IT budget is essential. Not all companies have the in-house IT capacity or the desire to manage all of their tech needs. Let’s discuss how hiring a managed IT services provider can help a CFO and other executives keep track of planned IT expenses and the IT budgeting process.
The Importance of an IT Budget
The current pandemic has seen an increase in remote work adjustments and technology underpins critical remote collaborations. It is clear that tech spending is unavoidable, and that planned IT expenses are ideal for effective budgeting to meet your business goals.
Global spending on IT purchases in 2019 was $3.5 trillion, with companies spending approximately 8% of their annual revenue on their IT budgets. The main drivers for tech spending include digital transformation, cybersecurity, cloud-first or cloud migration services, and improving customer experience. However, the two main challenges to greater innovation are budget constraints and the time spent managing legacy IT infrastructure.
Key Considerations When Budgeting for Tech Spending
Creating an effective IT budget requires:
- Communicating with other managers and staff to ensure that all their tech needs are met.
- Taking inventory of your company’s IT hardware and software and having a replacement or upgrade schedule.
- Knowing your company’s recurring planned IT expenses such as cloud storage space and software licenses.
- Being aware of your peers’ IT budgets and keeping abreast to be competitive in the market.
- Planning for future tech spending to expand the expertise and capacity of management and staff.
- Leveraging outsourced IT services to minimize costs and free in-house talent to focus on core business operations and processes.
How an Expert Managed IT Services Provider Supports Efficient Planned IT Expenses
An effective IT budget has definitive spending categories and hiring a managed IT services provider can help. They offer:
- Fixed monthly fees to help you efficiently account for predictable operational costs.
- Centralized billing for all IT vendors via your managed IT services provider.
- Scalable service contracts that you can easily adjust to meet your company’s needs.
- Affordable and easy access to niche tech expertise for special projects.
- Reduce in-house IT costs and increase operational efficiencies.
A managed IT services provider not only helps you streamline your IT budget, but also ensures that your IT infrastructure is current, secure, and works at optimum levels. This frees your company’s personnel from having to spend their time conducting network security and maintenance and lets them focus on key business objectives and growth areas in your company.
Manage Your IT Budget With Net Friends
Managing planned IT expenses is critical for your company’s success and Net Friends is your ideal partner to accomplish this goal. Our NetVisor service gives you the best outsourced IT services with fixed, predictable, cost-effective, monthly pricing.
With Net Friends as your managed IT service provider, you will enjoy:
- A 24/7 IT Support Center for custom IT assistance at a fixed rate.
- A dedicated Account Manager who will work closely with you to align your IT infrastructure with your company’s practices, process, and strategic goals.
- Scheduled maintenance to avoid downtime, security breaches, and data loss.
- Email protection against cyber threats, as well as server, network, and endpoint support.
- Executive reporting every month to help your company effectively manage and plan your IT budget.
Contact Net Friends today for dependable managed IT services designed to help you leverage your tech spending for competitive growth and market dominance.