As your organization grows, technology needs grow. Even if you’re reducing your physical infrastructure footprint, you’ve probably added applications, software and services from different vendors.
Plus, new solutions are constantly being introduced and added to your technology mix, while many older tools never really go away. Whether your technology purchases are driven by the need to add capabilities or reduce costs, you’ve probably amassed a high number of vendors and possibly redundant solutions and services.
More often than not, these vendor solutions can’t be integrated. That means additional costs and resources to manage, monitor, maintain and secure disparate vendor solutions. That means more time spent communicating with vendors and managing maintenance agreements. A long vendor list could ultimately affect service delivery, both internally and to you your customers.
IT vendor consolidation is the practice of lowering the number of vendors you rely upon for technology and related services. These decisions are typically based on a number of factors, such as the value of the vendor’s solution to the organization, along with capabilities, communication and responsiveness, security requirements, and cost.
By consolidating vendors, you simplify your IT environment, making it easier to manage, support and scale. You won’t have to spend as much time on user training. IT can spend less time taking care of technology and managing vendors and more time on higher-value tasks that generate revenue. You can focus your budget on fewer vendors and build stronger vendor relationships, both of which can give you more leverage at the negotiating table. Higher volume also translates to lower prices from your vendors and access to more advanced technology and features.
One of the most significant but often overlooked benefits of IT vendor consolidation is security. When you have fewer vendors, you have lower potential for vulnerabilities and more consistent enforcement of security policies. Also, you don’t have to worry about certain security tools and services being compatible with some vendors but not others. Given the complexity and sophistication of today’s threat landscape, vendor consolidation is an important part of risk reduction.
Unfortunately, the process of consolidation isn’t as simple as getting on the phone and breaking up with a certain number of vendors. That’s why it’s helpful to get your IT solution provider involved. Your IT provider can help you objectively evaluate your vendors based on value, need, price and other factors. All vendors are held to the same standards without bias.
By partnering with your IT provider, you can make sure each vendor’s solutions are aligned with business processes and goals. What specifically does the solutions accomplish? Are they performing to your expectations? If not, what are your options? What metrics are you using to measure performance? Are they realistic? What challenges are likely during the vendor consolidation process? What proactive steps can you take to overcome those challenges? How will your security strategy change after consolidation is complete?
Simplifying your IT environment is critical to optimizing efficiency, performance and productivity. Paring down your vendor list is an important part of that process. Let us help you develop and execute an IT vendor consolidation strategy that allows you to reclaim valuable IT resources and minimize risk.
