IT service delivery is quickly moving away from a product and project-based delivery model to a more flexible, on-demand model known as IT-as-a-Service (ITaaS). ITaaS helps structure your organisation to get the most out of IT with ITaaS and prepare for the cost and business benefits.
Moving to ITaaS is a challenge for many organisations used to the traditional mode of deploying a one-off IT solution in response to a business demand. While there are many unique factors which make up an organisation’s transition, let’s review five simple steps to getting you on the path to ITaaS.
STEP 1: BUILD A PLATFORM, NOT A PRODUCT
IT is often seen as a “product” response to a business requirement. A goal like “we spent six months deploying our new insurance system” are not uncommon. In the world of ITaaS, IT is more of a platform which can be used to support multiple business outcomes.
STEP 2: PARTNER WITH ITAAS-FRIENDLY SUPPLIERS
This may seem obvious, but vendors and service providers can be very product and project focused. There will always be a need for products and project work, but in an ITaaS-centric model they are delivered on a consumption basis. The key benefit here is the business can start to see a return without having to commit to a large capital expenditure.
STEP 3: PREPARE CAPEX BUDGETS TO BE OPEX
This is another, somewhat artificial, barrier organisations face when moving to ITaaS. Many IT budgets are divided into allocations of capital and operating expenditures. ITaaS is fundamentally and Opex financial model so the less restrictions in Opex spending the better.
STEP 4: GET BUSINESS AND IT INVOLVED
ITaaS presents a good opportunity to overcome the age-old problem of alignment. ITaaS is all about business outcomes powered by IT, so it makes sense to get both business and IT stakeholders involved with supplier engagements.
STEP 5: RETHINK YOUR RETURN ON IT
With the ITaaS building blocks in place, it’s time to review how the ROI of IT is calculated. In the project world it’s all about seeing a return after a set time period like three to five years. ITaaS rewrites the ROI equation and value can be expected more immediately.
Let us know some of the steps your organisation is taking towards ITaaS.