Restructuring IT to overcome economic adversity and become more resilient

Published on 22 May 2023

the changing world of technology

The world economy got through the problems caused by the COVID-19 pandemic, but there are clear signs that more issues are on the way, and some are already showing up. High inflation rates, gaps in the job market, rising energy costs, product and supply chain shortages after a pandemic, and global wars all affect economies worldwide. Recent polls and economic predictions show a good chance of a slowdown in the United States and other developed markets within the next 12 to 18 months.

Since these things are happening, companies already trying to get stable must now prepare for another economic slump. These events show how important it is to get the most out of investments and make companies feel like they need to act quickly to improve their spending on IT and business processes. Our customers have told us that they are also looking for ways to strengthen their ties with their customers, improve things for them, and speed up growth. They want to use data and insights to drive strategic imperatives like predicting demand, lowering costs, getting new products out faster, and setting up good business practices for the environment.

Strengthen your base and drive growth for the future by reorganizing

To deal with these problems, it helps to learn from past recessions and know the most common issues that businesses face. Harvard Business Review looked at how companies did during past global recessions and found that while 80% of companies finally got back to the sales growth they had before the recession, only about 10% did better than before. These companies that did well during the recession were able to find a good mix between defensive and attacking actions. They cut costs carefully based on business efficiency and made investments that helped them grow in the future. This shows that recessions are times of trouble, but they are also chances to rethink plans, build up grit, and come out better on the other side.

In the past, when a slump was coming, the first thing people did was cut back on investments in technology. People often consider the IT area a cost center with little strategic value and many costs. But since COVID, people have greatly changed about how valuable IT assets are. During the global pandemic, organizations could stay open and gain a competitive edge because they used technology and digital tools well. Research shows that funds for investing in technology, especially cloud solutions, are growing as businesses realize their importance. Budgets demonstrate this change in people's thinking, for internal private and public cloud tasks are getting bigger.

Getting the best price for technology

Companies need to speed up business value to get technology cost efficiency while lowering IT routine costs. In many places in an organization, cloud skills can be used to cut costs. Some of these possibilities are scalable management of peak demand, efficient unity of data systems, strategic investment in security measures, effective tracking of cloud spending, and the development of strong financial management skills across the company.

In short, the global economy is facing new problems and the chance of a slowdown, which means that businesses need to change to be more resilient and grow. Organizations can benefit from recessions if they learn from them and find the right mix between defense and positive actions. In today's digital world, it's important to see the worth investing in technology, especially cloud options. Technology cost optimization is key to cutting costs while getting the most out of your business. It allows groups to organize processes, improve security, and learn how to handle money. By using these strategies, companies can get through the uncertainty ahead and set themselves up for success in an economy that is always changing.


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