  As the economic downturn starts to bite hard, IT becomes a prime target for the cost-cutting initiatives that are the order of the day. On the one hand, this is quite understandable given that IT is a significant cost center—and one that has an impact on almost every business activity.
On the other hand, though, IT plays a vital role in enabling high performance, as Accenture High Performance Business research has shown.
Cost-cutting should, therefore, be approached creatively lest it has the unintended consequence of creating a “capability gap” between what the IT department can deliver and what the business needs to grow, thus reducing the company’s ability to respond to the upturn when it comes.
Drawing on its ongoing research into the role played by IT in high-performance businesses, and its vast experience helping clients to turn these insights into bottom-line performance, Accenture notes that leading IT organizations typically follow a three-phase approach. This approach delivers short-term cost savings to fund more profound changes that will, in turn, produce greater savings—but it also lays the foundation for growth and innovation. To receive more Research & Insights, sign up for My Outlook, your single e-mail source for all of Accenture's latest ideas and innovation, personalised specifically to your business interests and the industry issues you face. |