Companies must reconsider investments as money may not be flowing all the time

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Almost all organizations, whether big or small, are having trouble with budgeting, which may result in disputes between the finance and UT departments.

After a poll was taken to determine the rate at which IT budgets change, tech leaders were asked whether their IT budget changes significantly every year. Only four said yes while eight said no.

Usually, IT budgets are determined by the following questions. Will the company be able to carry on with its operations after investment? What investments are needed to achieve cost optimization and growth?

Ken O’Brien, executive vice president and CIO, says that the budget doesn’t necessarily change based on the present technology but the needs of the business. Moreover, firms save some funding for the modernization of technology and for differentiating their products from their rivals.

Another tech-leader said that their budgets are divided into everyday expenditure and new projects. In some cases, budgets are allocated on client bases as well.

When a new technology is launched, costs are high as it includes implementation costs as well in initial years. But as time passes, a further increase is expected.

Budgeting for new projects is heavily influenced by legacy technologies. The technology that has already been created by the firm requires some costs to keep them updated as well. Moreover, modern programming languages are much more efficient than older ones and cost less.

Change in the corporate world, whether it’s organizational or innovative, happens slowly and takes time. Hence, organizations should devise strategies to achieve key goals and use technologies to their advantage.

Furthermore, organizations may also need to look at their existing strategies and formulate new, better ones to achieve future goals. A firm should look forward to prospering rather than being myopic in today’s advancing world.

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The winner of the title Mr. Pune 2009, Mr. Shreyas Tanna is currently the young, dashing, and dynamic CEO of a market research company called ResearchNReports in Pune. Fondly known as RNR, the company specializes in market research as well as industry analysis, and is closely associated with its parent company Absolute Market Insights (AMI). Mr. Shreyas Tanna began his corporate journey as the Head of Corporate sales & PR at RED Entertainment while pursuing his degree for MMS (Marketing) from the MGM College of Management, Mumbai. After accomplishing the tedious task of balancing his work and education, he further polished his skills in Corporate Sales, Public Relations, Channel Development, Global Client Engagement, Strategic Consulting, and Brand Development by working with HDFC Life and Researchmoz Global Pvt. Ltd. His dedication towards his work has even won him accolades such as the National Level Performer 2013 – HDFC Life and Mr. Research Moz 2015. A disciplined individual with a loving heart, he is often seen taking crisp walks with an engrossed look and a gentle smile within the premises of his company to interact with the various departments. And he will be usually followed by an adorable trail of his beloved trio of Shih Tzu babies proudly known as Gucci, Drake, and Paris. The most enticing thing that you will notice about this content and proud pet parent is his infectious positivity and the firm belief in his eyes, a reflection of his favorite quote, “LIFE IS BEAUTIFUL!”