IT Budget & Cost Transparency Part3 1 IT Cost Rationalization

#Question: When budget pressure hits, do you actually have choices — or do you just make cuts?

That question is at the heart of Part 3.1 of my IT Budget Management series: IT Cost Rationalization.

In this video, I focus on something simple: Rationalization isn’t about cutting more. It’s about choosing better.

We cover:
• Why trends and volatility matter more than a single year’s number
• How understanding your cost structure (run vs grow, labor, software, infrastructure, etc) creates real options
• How budget waterfall walks shift leaders from surprise to accountability
• Why benchmarking is a diagnostic tool & an aide to IT leaders
• And why cost reductions must consider timing with variable vs fixed costs

#keytakeaway : Rationalization is how leaders protect what matters, deliberately exit what doesn’t, and create options before pressure forces reaction.

**Missed previous videos?** Check out:
Part 1: IT Budget Pressures:
Part 2: IT Budget Management Goal State

Up next: cost transparency and business alignment — because rationalization only works when the business understands the tradeoffs too.
#itleadership #ITBudgeting #CostRationalization #CIO #FinanceAndIT #OperatingDiscipline