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Revising budgets with the right tools

By Rodney Weidemann, ITWeb Contributor
Johannesburg, 22 Jan 2004

A new year generally means revised budgets for organisations, which are quite often based on the previous year`s figures, even though - especially in terms of IT - this can be inaccurate.

According to Tito Pereira, MD of Blue Label Technology, many companies are unsure of their true IT figures, partly because there are no accurate checks on what hardware and software is owned, what upgrades have been conducted and how many licensed applications are being used.

"In larger corporates, there is sometimes confusion as to what exactly exists in IT terms - that is, what hardware and software the company is using and which licences it has or still needs," he says.

"In order to budget correctly, it is imperative that companies have some kind of tool to track exactly what is going on in their IT departments, otherwise they may find themselves in serious trouble."

He recounts an instance of a company that conducted an audit where it was discovered that over 350 applications were being paid for, but it was found that only 47 of these were actually being used, and even then, not by the majority of the 2 500 users within the business.

"This obviously proved to be an enormous cost-swing for the business. By the same token, a company needs to track the licences for its applications, as having unlicensed applications could lead a business into trouble with a watchdog organisation like the Business Software Alliance," says Pereira.

He says this is where a product like Blue Label`s NetSupport DNA - which was released in SA late last year - can help an organisation.

"This is a product that offers everything from hardware and software inventory management and application and Internet metering, to licence management and enterprise reporting.

"Blue Label has been playing in this market for several years, and although this particular product is effectively version one, it is still backed by plenty of market experience. It has been specifically developed to counter the pitfalls and problems that can occur in the industry."

Pereira believes the IT industry is moving from a box-dropping industry to a solutions-based one.

"Companies are looking for results that are immediate and tangible. It is no longer like the early days when it was okay to wait 12 to 18 months to see results from your IT purchases. These days, businesses want to see virtually instant results," he says.

"This is why it is necessary for organisations to install the right products. After all, IT may be a requirement for every modern business, but it is still only a tool that must be used correctly to serve each company`s specific business requirements."

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