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04.20.10 Companies Not Including Energy Use In IT Budgets  By
Mike Sachoff
Companies recognize energy as a significant cost, but more than half fail to account for energy costs when developing IT budgets, according to a new survey commissioned by Avanade. "In today's technology market, companies have constrained capital budgets and IT resources and a strong mandate to maintain profitability, all while improving service quality with limited resources," said Tyson Hartman, global Chief Technology Officer at Avanade. "One IT analyst research firm estimates that over the next few years, most enterprise data centers will spend as much on energy as they do on hardware infrastructure. Companies need to start considering greener options like server virtualization and cloud computing to be able to adjust their IT budgets appropriately to curb these rising costs."
The study, conducted by Kelton Research found more than 50 percent of companies say they measure all costs associated with a system before implementing. The majority (89%) of companies surveyed cite cost as a significant factor in a company buying decision. Twenty-five percent of businesses list energy among their top three largest it costs per year. More than half (53%) of the companies surveyed do not account for energy costs when developing their IT budget. Just over a quarter (26%) say reducing energy usage is a corporate mandate to save money. Cost is also a deciding factor when it comes to cloud computing and Software-as-a-Service (SaaS). More than half of companies (51%) cite energy consumption as a factor when considering cloud computing. About the Author: Mike is a staff writer for WebProNews. Visit WebProNews for the latest ebusiness news. |
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