Evaluating and managing billions of dollars in IT spending across 400 tech providers in 200 countries provides valuable experience in verified ways to cut costs and accelerate IT financial management tasks. Want to tap into a wealth of cost-cutting knowledge gleaned from 60 IT cost management consultants who are engaged in hundreds of cost-reduction projects each year, saving companies as much as 20% or more on their IT spend? Here are the top lessons learned according to Tangoe\u2019s cost management consultants. \n\nCompanies Can Cut Costs by 10-40% Across Multiple IT Domains \n\nCreating an effective methodology for IT expense management and optimization is no longer a strategy used only by large enterprises in specific use cases. It\u2019s an approach used widely by companies of all sizes and applied to the entire IT environment\u2014cloud, mobile, network, and security. Although savings vary across each IT domain, an effective cost optimization program typically produces significant savings. \n\nAt Tangoe, we commonly see companies: \n\nWhile cloud cost optimization and FinOps may seem like a post-pandemic trend, the IT expense management (ITEM) industry is a mature market with more than 20 years of historically proven results. Known results allow ITEM providers to offer clients the advantage of a savings guarantee, and with the market heating up, providers are actually making guarantees a contractual commitment. \n\nActing on Cost Savings Is Harder Than Simply Identifying Them \n\nIn today\u2019s information age, AI-powered analytic tools make it easier to crunch data and pinpoint millions of dollars in potential IT cost efficiencies. But then what? Opportunities are worth nothing if you can\u2019t capitalize on them quickly. Actioning identified opportunities is where the real work begins and where speed to savings is key, as every month that goes by is a lost opportunity that increases the savings you\u2019ll never see. \n\nWith staffing tight and other priorities taking precedence, all too often we see identified savings go unrealized for months if not years. \n\nGiven the criticality of quick response, leveraging a firm to implement identified savings makes sense. Better yet, the firm should be able to automate the process to confirm those savings are actually realized and continue to be achieved on an ongoing basis. For these reasons, we recommend asking about professional services (staff augmentation) when your IT team is too overstretched. \n\nTo cut costs faster you also need an automated IT expense management platform integrated with the service portals and dashboards of the technology service providers themselves. This way, modifications and service changes can be made faster and with less manual work. \n\nSecret to Avoiding Waste: An Accurate Inventory of Services \n\nRapidly changing times make for a rapidly changing corporate IT environment. It\u2019s critical to ensure you know what IT assets you have now, understand how efficiently they\u2019re being used, and then charge back those costs to the departments using the most resources. \n\nCloud cost management is top of mind today because companies are wasting as much as 30% of their cloud resources and overspending in the cloud by as much as 50%\u2014even 70%, according to Gartner. And it\u2019s not just the cloud creating IT waste. Mergers, divestitures, corporate rightsizing, a return to travel and hybrid work environments are all contributing factors to misalignment between IT resources and business needs. Any time the company evolves, IT services need to come into alignment, and when assets aren\u2019t right-sized waste, inefficiencies, and overpayments are the result. \n\nTo get rid of IT waste, you must first identify it. Knowing what you have, where you are paying too much, and where assets are going unused requires gleaning intelligence from an accurate inventory of all mobile, cloud, and network services. Visibility is only as good as your system for tracking and categorizing costs. A disciplined inventory and vendor management program establishes a corporate catalog of providers and uses automation to collect granular account information, invoices, and service data. Insights can shed light on current trends in usage and efficiency as well as serve as a launchpad for cost control, policy decision-making, and security risk reductions. \n\nMigration Mismanagement Slows Technology ROI \n\nChange is the new normal. Whether it involves moving services to the cloud, shifting employees to more secure corporate-owned mobile devices, or transitioning services to optimize and modernize a network, the management and administration of technology migrations is everything. \n\nAt Tangoe, we see the ROI on digital transformation initiatives decline (and even turn negative) because companies underestimate the time and resources needed to carry out change. Designing, managing, and monitoring transitions becomes a full-time job that can distract internal teams from more meaningful work. In the end, it\u2019s more efficient and less expensive to augment those internal teams with outside resources or outsource enterprise-wide deployments together. Mismanaged technology migrations can significantly hinder a company\u2019s digital innovation strategy. \n\nCareful consideration is needed when it comes to deciding how corporate resources are allocated. We see network service transitions, SD-WAN implementations, as well as migrations to cloud-unified communications as areas that benefit from staff augmentation. While we all know outsourcing can help curb costs, this is where we see consultancies payout in significant ways. \n\nInsider Knowledge Provides a Level of Confidence That Is Priceless \n\nA highly dynamic mobile, cloud, and network environment highlights the importance of obtaining insider intelligence. When corporate service transformation is on the line, IT spending decisions shouldn\u2019t be made in a vacuum. IT budgeting decisions are far easier when consulting an authority on the latest pricing benchmarks for services or tips for negotiating telecom contracts in your favor. They evaluate how millions of dollars are spent (and misspent) every year, and they bring with them valuable insights into tech spending trends that can help you compare your corporate strategies against hundreds of other companies. Consultants are versed in helping tackle the big stuff: \n\nAfter all, it\u2019s the insider intelligence that helps CIOs and CTOs sleep at night. That confidence is worth its weight in gold. \n\nTo learn more about IT expense and asset management services, visit us here.