{"id":52679,"date":"2022-07-12T11:03:10","date_gmt":"2022-07-12T18:03:10","guid":{"rendered":"https:\/\/newrcblog.wpengine.com\/us\/en\/blog\/?p=52679"},"modified":"2023-01-12T20:09:54","modified_gmt":"2023-01-13T04:09:54","slug":"how-to-cut-it-costs-and-maximize-software-roi-in-2022","status":"publish","type":"post","link":"\/us\/en\/blog\/how-to-cut-it-costs-and-maximize-software-roi-in-2022\/","title":{"rendered":"5 steps to reduce IT costs and maximize software ROI"},"content":{"rendered":"

IT teams constantly struggle with an impossible task: finding the right tools for their company while keeping costs at a minimum. Not only is there an endless list of devices and apps to understand, but business needs can change on a whim.<\/span><\/p>\n

Add the possibility of a looming recession to the mix, and you have an environment where IT budgets dwindle and leaders look to maximize their existing investments. Which tools do we keep? Which ones can we sunset?<\/span><\/p>\n

Many IT leaders are beginning to re-evaluate their tech stack in light of the market uncertainty. The challenge is to contain costs and maximize ROI like never before. The question is, how?<\/span><\/p>\n

Optimize ROI on your SaaS spend<\/b><\/h2>\n

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Consolidation is the name of the game today. It helps businesses lower costs by reducing the number of cloud apps, physical servers, desktop PCs, and various infrastructures that they pay for.\u00a0<\/span><\/p>\n

Consolidation also fits neatly into a company’s ESG strategy, since less IT equipment produces less carbon and contributes to lower electricity bills<\/a>.\u00a0<\/span><\/p>\n

\ud83d\udca5RingCentral customer success metrics:<\/a><\/strong> According to a 2022 survey of over 1300 RingCentral customers, our customers see a 35% return on investment<\/b> and a 9-month time to payback <\/b>period for RingCentral MVP.<\/span><\/div>\n

Ultimately, the goal is to help your enterprise spend less on SaaS without sacrificing the mission-critical tools you need to stay competitive.\u00a0<\/span><\/p>\n

Let\u2019s look at some common SaaS spend overages and how to maximize your IT budget for the coming fiscal year and beyond.\u00a0<\/span><\/p>\n

Step 1. Begin the application rationalization process<\/b><\/h2>\n

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Simply put, application rationalization is the process of determining which applications you should keep\u2014and which need to be sunset\u2014or consolidated because you have overlapping capabilities.\u00a0<\/span><\/p>\n

Bear in mind that application rationalization is much more than a quick audit of your business applications. It\u2019s thinking about the logic and reasoning behind each tool in your SaaS stack.<\/span><\/p>\n

\ud83d\udca5<\/span>RingCentral customer success metrics:<\/a><\/strong> According to a 2022 survey,\u00a0 our customers see a <\/span>23% decrease in average telecommunication costs, a 20% decrease in hardware costs, and a 16% decrease in overall IT spend <\/b>when they migrated to RingCentral MVP.<\/span><\/div>\n

It\u2019s no secret that unproductive and outdated tools linger in every company\u2019s tech stack. Through application rationalization, you not only identify obsolete tools, but also determine which software investments are most valuable and most comprehensive based on your business\u2019 needs.\u00a0<\/span><\/p>\n

It\u2019s not just about what tools you\u2019re using, but <\/span>why you\u2019re using them<\/b> in the first place\u2014and if they can be replaced with another vendor\u2019s tool stack that you’re already paying for.\u00a0<\/span><\/p>\n

<\/a>Step 2. Gain full visibility of your current software stack<\/b><\/h2>\n

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Rationalizing your portfolio of SaaS applications starts with seeing exactly what you’re paying for, how many users you have, and in what capacity are they using the software.\u00a0<\/span><\/p>\n

That means having a clear picture of the following information and updating it in real-time:<\/span><\/p>\n