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Helping IT Save Money ... and Jobs?

An anonymous reader asks: "I work in a small, overworked and understaffed IT department at a profitable business. We recently got the news that we needed to cut costs. While every penny counts, simply turning off the computers at night and saving pennies on processor cycles isn't exactly a noticeable savings. I'm curious what measures other Slashdot readers have taken to save money within their IT departments."

13 of 606 comments (clear)

  1. Every Penny Does Count by fembots · · Score: 4, Insightful

    Yes it does. And it's even more important that at time of cost-cutting, you show the initiatives to help the company cutting costs whenever, wherever and however you can - So that your head is not on the chopping board.

    If you're in a small, overworked and understaffed IT depatment, are you sure there's anything left to be cut besides offshoring? Does it always have to be cutting costs in IT? How about, for once, in other departments?

    My company recently merged 3 production servers and 2 test servers into 1P and 1T, and saved 3 SQL2000 licenses (yeah, ex ex ex developers just set up their own "independant self sustain" web+data servers whenever they needed one).

    Also, how about cutting the 'net costs/time spent on Slashdot?

    1. Re:Every Penny Does Count by Jhon · · Score: 4, Insightful

      Aside from your cute "offshoring" slam, there are other ways to save...

      Keep overtime to a minimum. Do a cost analysis of overtime paid vs. off-hour staffing and consider the addition of rotating on-call time for your employees.

      Keep your hardware CLEAN and read your logs! You can ID many hardware problems well before they cause downtime. Remember, when an office of 100 cant work, every hour of downtime translates to 100 hours of lost productivity.

      Change from Cells to Pagers.

      Don't let inkjet printers in the office AT ALL. They are a constant headache and steal more in support costs than ink.

      Need new workstations? Most software packages will run fine on older (say -- 5 year old) hardware. Buy off-lease Compaq, Dell, Gateway, etc... You can get 5x the hardware for the same money with win2k licences included. It will cost you in setup time -- but if you can manage identical hardware profiles (not that difficult), set up a single machine and clone it.

    2. Re:Every Penny Does Count by General+Fault · · Score: 5, Insightful

      We just cut our IT department. I would not recomend this as it makes our development staff our IT department. Paying a programmer to do IT stuff is like paying your contractor (as in home building contractor) to clean your house. Not only is it going to cost you $200 per hour to have a clean house but it is really going to piss off your contractor.

      --
      No man is an island... But I wouldn't mind having a bigger moat.
    3. Re:Every Penny Does Count by Cramer · · Score: 4, Insightful

      Salaried employees don't get overtime. It's rare (from all the surveys I've seen) for IT staff to be hourly workers -- for this very reason. As an "IT guy" and knowing many more in IT, it's rare for anyone to care that they're working more than 40hr/wk. (spouses, on the other hand, complain a lot.)

      Pagers are less reliable with worse coverage. And in many cases, a cell phone is simply cheaper. With a cell phone, you are talking with the person (or can be), so you instantly know if they are aware of a problem and when they'll be in a position to fix it.

      Having recently repaired a 5 year old computer -- a K6-2/350 running windows 98, there's no damned way you could get any productive work done with that thing. Just browsing the web is horribly slow. God help you if you have to run any real office applications (word, outlook, access, etc.) 2-3 year old (1GHz+ processor speeds) machines might be passable if your company is flat broke, but those machines are costing the company some employee productivity.

    4. Re:Every Penny Does Count by Jaysyn · · Score: 5, Insightful

      Or you could do what I do, get a couple of overpaid, underworked management types fired. You'd be surprised how much overhead that can clear up. Usually doesn't take much more than a quick trip to their browser cache either.

      Jaysyn

      --
      There is a war going on for your mind.
    5. Re:Every Penny Does Count by Blakey+Rat · · Score: 4, Insightful

      Pagers are less reliable with worse coverage. And in many cases, a cell phone is simply cheaper. With a cell phone, you are talking with the person (or can be), so you instantly know if they are aware of a problem and when they'll be in a position to fix it.

      I don't know where you live (or what pager company you use), but here (in Western Washington State) pagers have much, much, much better coverage than cells. Not only that, but they keep working even while in parking garages or in the center of large buildings where cellphones almost always lose signal.

      Pagers also have much better battery life, lasting 3-4 weeks on a single AA battery. You'll rarely miss a page because the battery is dead-- but a cell battery won't even last a full day.

      Not to mention that no doubt the vast majority of your staff already carries around a cell phone. Carrying around a cell and a pager is not that weird, but carrying around two cells would be very strange.

      I agree with your other points... overtime watching doesn't help with salaried employees, and 5-year-old computers are older than you think, but pagers are definately a better idea than cell phones.

  2. Where do you spend it? by Barondude · · Score: 5, Insightful

    Saving money is directly tied to where you spend it.

    --
    "That's the sort of blinkered, philistine pig ignorance I've come to expect from you non-creative garbage."-Monty Python
  3. turning off computers? by AmigaAvenger · · Score: 4, Insightful
    generally the electricity isn't going to come out of the IT budget anyway, and you probably won't be recognized for cost savings if you write up a nice proggy to automatically put your computers to sleep at a certain time, so why bother on that one...

    Instead, do what businesses themselves do. diversify! If your IT department is only responsible for maintaining a users desktop, then develop an interactive web based help system that goes towards that purpose. Now your it department also has programmers, and your mission is expanded (and hopefully your budget will follow!)

  4. Are you building instead of buying? by plierhead · · Score: 4, Insightful

    Bit of an open question really. But are you doing any software development? Sometimes the big drain on the department's budget turns out to be some piece of ambitious development that would be better handled by buying outside.

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  5. Re:Turning off the computer is costly by cdipierr · · Score: 4, Insightful

    Except that your assumption is faulty.

    A computer, at night even /w the monitor "on" will probably draw about 100W of power tops. This assumes the monitor is energy star compliant and goes into a typical sleep state and that your PC isn't running some CPU intensive task, so at the very least cut your numbers to 20% and you get $400/month for the 100 machine scenario. This isn't nothing, but you're better off convincing people not to take clients to expensive dinners.

  6. I got a better idea by Orion+Blastar · · Score: 5, Insightful

    downsize the IT managers who cannot say "No", as they are the ones that force IT departments to overwork themselves.

    "Here are the projects I want you to work on."

    "But these projects are commercially available for less money than our development costs to make them."

    "I don't care, I made promises to other departments that we will do them."

    "But it will take a staff of 200 to do these projects in 3 months. We only have 30. We will need more time."

    "We don't have the budget for that, so everyone will be forced to work 80 hours a week with no overtime pay."

    "In some cases we already have some of these software projects. Like Microsoft Outlook for scheduling and contact management, and Microsoft Project for Project Management."

    "I want custom versions of those programs, because I promised them to the other departments."

    "Well at least can we have a raise to compensate for all the overtime we will put into these projects?"

    "No, in fact, I have to cut everyone's salary in order to help budget more money for marketing and executive pay raises."

    Then the IT department has a 90% turnover rate for four years of this, and each IT employee that is fired or leaves ends up costing 150% of the annual salary for that position to replace, which adds more to the IT budget.

    Then after being over-stressed, over-worked, and suriving 4 and a half years of this, I get really sick and end up being fired and replaced with someone willing to work for half of my salary.

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  7. It's a management mantra... by Vexler · · Score: 4, Insightful

    It's the management's responsibility - not the IT staff's responsibility - to make sure the company comes out in the black on the balance sheet every year. The average IT staffer doesn't see every penny coming in and going out - that job belongs to the CFO and the accounting department.

    Management needs to take a stock of how the cash is flowing and make strategic decisions on how best to save for long-term growth. Buying that shiny and new equipment may not make much sense, until you realize that you are throwing away five times as much money in manhours every year by not biting the bullet and upgrading.

    I used to work for a manufacturing facility, and there are a lot of old-timers who think that saving money involves turning off their PCs every night. But they were not looking at how much time they are wasting every day in dealing with old OSs and crash-prone programs. They also did not look at how much time I (the network engineer) had to go over and "fix" their machines by rebooting for them.

    Having your corporate culture mumbling to itself "gotta save money, gotta save money" is a good sign that the senior management, together with middle management, has not done its job in formulating and communicating a coherent game plan to the rest of the company.

  8. Re:Automation by TedTschopp · · Score: 4, Insightful

    I've saif this for years, IT should always be looking to put themselves out of a job. (Which interestingly enough is why I'm not concerned with the current fad of outsourcing.) There is always more things to bring under the control of IT automation.

    Ted Tschopp

    --
    Fantasy remains a human right; we make in our measure and in our derivative mode... -- JRR Tolkien