Gartner is telling clients to ready their technology cost cutting plans ahead of an economic slowdown.
In October at its Symposium conference, Gartner told clients to prep two IT budgets. One assuming business will continue as usual and another assuming the worst--or a recession. It now appears that Gartner is clearly in the latter camp.
In a statement, Gartner research fellow Ken McGee said:
Last October we published research recommending that organizations should prepare two IT budgets for 2008, the first reflecting guidance already provided by senior decision makers and a second ‘backup' budget assuming the need to cut costs in response to the arrival of a business slowdown. Since that time the factors we based the research on - such as GDP growth projections and expert predictions for the likelihood of a recession - have worsened to a degree that convinces us it is now time for clients to prepare for cutting IT costs.
Gartner argues that technology executives shouldn't wait for the official recession bell to be rung. CEOs and CFOs are likely to issue mandates of IT cost cuts as part of a broader cycle.
Among Gartner's tips for cooking up a IT cost cutting plan:
Gartner's advice is a bit high level. Another option would be to push along those projects that should be underway but may be going slowly. Consolidate those apps, retire those legacy systems that just cost you time and maintenance and move to architectures that can set you up later when the economy recovers.