Self-fund the Initiative

 
 
By Tim Pacileo  |  Posted 2008-11-30 Email Print this article Print
 
 
 
 
 
 
 


Success factor No. 3: Self-fund the initiative

There's no denying that an application modernization plan requires significant investment.  But allocating the dollars to initiate the process presents a challenge, particularly in today's uncertain economy.

One way to address this challenge is to develop a plan focused on specific steps, resulting in quantifiable savings, and then to reinvest those initial savings to fund subsequent stages of the process. In one real-world example, an organization was spending 40 percent of its application development budget (around $2.5 million annually) just to maintain the interfaces between three disparate systems.

The firm had developed an in-house enterprise solution and then purchased a commercial application to replace it. Over time, the homegrown application was never retired and the vendor no longer supported the commercial application. A third enterprise application was then implemented. But, instead of replacing the two earlier systems, it was simply integrated to work with them. The solution was to consolidate the three systems into one, and to apply the cost savings to the next phase of the transition.



 
 
 
 
Tim Pacileo is a Business and IT Management Consultant at The Board Room Advisors. Tim has 30 years of experience developing and managing a variety of strategic business and IT initiatives. His experience includes IT strategy, architecture design, sourcing, network and telecommunications, IT security, enterprise application selection, implementation and oversight, disaster recovery and business continuity planning, software and hardware evaluation and selection, and infrastructure design, focusing on data center and server consolidation and SANs. Prior to joining The Board Room Advisors, Tim was an Executive Consultant at Compass. Prior to Compass, Tim was a VP at Gartner, where he established the firm's Global Data Center practice. Prior to this, he was Global Manager of Client Systems for AEI (a global logistics company), where he had responsibility for all client/server applications development, PC hardware and software standards, hardware and software purchases negotiation, network design and configuration, Internet application development, infrastructure design and security, and a Lotus Notes implementation supporting a global sales team of 300 individuals. Tim's experience also includes a stint as an IT consultant, specializing in application selection, and network design and implementation for the healthcare and mortgage banking industries. Tim received a Bachelor's Degree from Central Connecticut University. He attended graduate school at Fairfield University in Connecticut. He can be reached at TPacileo@TheBoardRoomAdvisors.com.
 
 
 
 
 
 
 

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