White Paper
Rebalancing IT Cost to Fund Business Change
By Ray Strecker, Russ Trivedi and Sultan Khan, Tata Consultancy Services
IT executives continue to be challenged by their ability to meet cost and agility demands from business partners. This is largely due to the fact that today’s IT cost is predominantly devoted to “running the business” (80%), leaving very little for “changing the business” (20%). Recent analyses also suggest that the cost of running infrastructure is increasing disproportionately to the cost of application developing, further impacting business innovation. Does the root of the problem lie in the cost structure itself? How can IT be a self-funding function, keeping itself aligned with changing business imperatives? How can we set a methodical roadmap to such a cost structure? This white paper suggests how the much needed transformation can be brought about.