The $1.2m SAM Question

How is your SAM Operations funded ?

Self Funding

It’s a factor of the highly competitive marketplace that we work in today which drives the constant pressure to cut budgets in every way possible. IT departments spend a significant portion of their budgets just keeping the existing systems running. In addition, there is high internal demand for new IT services as well as strategic organization moves to the digital age, most of which is unfunded.

Even though new SAM implementations can show significant cost savings in the first few years of operation, SAM does require an initial investment as well as ongoing care and feeding. SAM value is perceived as high value, but not as high as other IT projects on the list and not something that end users or the Board of Directors are asking IT to deliver immediately.

IT management is caught in a dilemma where they need to maximize services, work effectively in an environment where budgets are cut frequently, sometimes monthly and also limit the financial risks of projects going south or incurring a surprise audit by several of the largest providers in the same year. Unfortunately, many IT managers and executive management don’t realized just how expensive, and breath taking, these out of compliance audit findings can be.

It’s not that SAM isn’t important, instead the perception is that other projects have much higher visibility and therefore priority. SAM leaders need to combat this challenge by effectively reporting the value, savings and risk avoidance their organizations deliver while continually identifying the additional environment optimization activities. Carefully look at your reporting and communications capability. Develop messaging that goes beyond license position and compliance to document bottom-line impacts.

Funding

- Dan Sherwood

‘Curriculum Development Team Member - SAM’

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