IT Portfolio Management: Technology Managers Don't DO Green? Print E-mail
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Forrester Research recently conducted a green survey of IT management professionals asking what steps they have taken to reduce power consumption at the desktop. The results were dismal but, unfortunately, precisely what many of us would have predicted. When asked if they had taken steps to reduce power consumption at the desktop level, 69% had no significant process in place (and additional 18% had only addressed a portion of the needs).

In brief, a majority of the respondents in this (admittedly small) survey essentially implied:

“It's not our problem.”
If ever there was a significant statement describing what ails the business technology mind-set, this would be it. We are constantly witnessing the core disconnect between the technology personnel and the business side of the enterprise and it's neither pretty nor economically intelligent.

Read on
for additional survey details and ideas for how you can avoid the costly “It's not my problem..." disconnect in your organization.

So... Here's how this thing played out. Forrester Research conducted a survey of 91 technology managers asking about their formal processes for reducing the power consumption of desktop systems—including when the systems were not in use.

Note that these are "technology managers" not "technology asset managers" or trained "technology portfolio management" personnel.

Their findings? Scary to say the least. Only 13% of those polled had implemented any significant process for reducing power consumption. Take a look at Chris Mellor's article: “Study finds IT heads not interested in power saving,” posted HERE in The Register on 30 April 2009. As with many issues regarding the realities of technology portfolio management, there is much more beneath the surface here than will ever meet the eye.

For the most part, technology personnel are vastly over-extended in their job responsibilities. At the core, their job is to get systems operational and keep them that way. Unfortunately, as systems become more complex, this becomes more difficult and these folks are generally left scrambling just to keep up with the immediate firestorms. Now, management has decided that these same highly talented technical people should also be managing licenses, negotiations, telecommunications, and an incredible array of business asset life cycles simply because those products or services contain a chip—or are relate to some type of computing device.

Order up! One recipe for financial disaster: Assign people responsibility for processes and procedures they are not qualified to pursue...

With very few exceptions, technology personnel are not, and management shouldn't expect them to be, business process management professionals. It isn't in their nature; nor their training; and, if it IS in their experience, it hasn't generally been a very positive experience.

The bottom line is this: Every enterprise that depends on technology to survive needs to establish a multi-functional team of diverse personnel to manage the business side of the technology portfolio. Failure to do so is costing our enterprises tens of thousands of dollars (tens of millions?) more than necessary.

Real World: Lake Washington (Washington) school district reduced its power bill by $200,000 PER YEAR simply by centralizing power consumption policies and procedures. (Source: Verdiem.com)

Did you get that? All these folks did was establish a formal process for controlling sleep mode on their 11,000 desktops. Depending on the type of system and monitor you are using, you could save anywhere from $15 per computer to a whopping $100 per year just by putting those computers out of your misery (to sleep) when they aren't being used.

TELL me you couldn't do the same? And, no: I have no intention of being politically correct in delivering this wake-up call. (You want gentle? Buy a pony.)

Here is where it becomes challenging: As technology portfolio managers—technology asset managers—it is our job, our responsibility, to reduce the costs and risks associated with acquiring and using technology goods and services. We are not necessarily techies—far from it. Instead, we bring a business process sanity to what has traditionally been an ad hoc and reactive Wild West sourcing, utilization, and disposal chaos.

To resolve a majority of the problems with out of control IT costs and risks—business profitability?--you need do nothing more complex than begin managing the entire portfolio as a business process.

It's THIS Simple:

Identify the precise functionality you need to acquire;

Acquire precisely what you need;

Ensure that you get what you pay for;

Constantly monitor for business value / ROI.

To play the ever-more-popular Green Game with power consumption, try this:

  • Check to see how much your company pays per KWH for power,
  • Check and see how much each one of a small group of your computers consumes per hour,
  • Do the math,
  • Only acquire flat screen monitors—no more CR tube monitors (even IF you can get them).
  • Offer to deliver this kind of savings EVERY YEAR to management.

Or, to begin seriously reducing tech costs and risks, do this:

  • Remove ALL unlicensed shareware, or evaluation products from every computer you possess. ANY shareware or eval product still on a system beyond the trail period is a violation of federal and global copyright laws. Savings in the event of an audit = anywhere from $750 to a whopping $150,000 per title.
  • Be sure to document the audit penalty avoidance total. It will be significant and you need to track it to show management what you are capable of accomplishing.

Or, even... Negotiate every agreement: (Savings = enormous)

  • Do NOT permit the suppliers to intimidate you into using their generic agreement. It is about as disadvantageous as any agreement you will EVER not sign.
  • Establish purchase and functionality criteria for EVERY significant IT purchase. Ensure that the supplier agrees, in writing and as part of the formal agreement, to deliver on those specific criteria.
  • Eliminate the Limited Software Warranty or Disclaimer of Warranties from every license. If the software publisher will not stand behind their product DON'T buy it.
  • Always have—and be prepared & willing to USE—a BATNA. Let the supplier know that you will do so.
Remember: Any enterprise, of any size, in any location, can significantly reduce the costs and risks relating to business technologies without spending a bundle on "stuff." No big money international standards; no consultants wandering around the office; no costly proprietary silver bullets. Just brain power.

Vilfredo Pereto was right: The vast majority of your results will be based on the simple methods - such as an intelligent application of plain old common sense...
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3.26 Copyright (C) 2008 Compojoom.com / Copyright (C) 2007 Alain Georgette / Copyright (C) 2006 Frantisek Hliva. All rights reserved."

 
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