Optimizing IT Spend: Strategies for Mergers PPT

This PPT slide, part of the 26-slide Post-merger Integration (PMI): IT Integration Framework PowerPoint presentation, presents a structured overview of potential savings in IT spending, categorized into 3 main areas: Applications, Technology, and IT Organization. Each category outlines specific strategies aimed at optimizing costs during a merger, along with projected savings percentages.

In the Applications section, the strategies focus on rationalizing applications and projects, integrating enterprise resource planning systems, and reducing maintenance contract duplication. The potential savings in this category range from 15% to 30%. This suggests that a thorough review and consolidation of software applications can yield significant cost reductions, which is critical during the integration phase of a merger.

The Technology category emphasizes consolidating data centers, rationalizing maintenance agreements, and retiring outdated hardware. The expected savings here are between 10% and 20%. This indicates that streamlining technology infrastructure can lead to more efficient operations and lower ongoing costs, which is essential for maintaining competitiveness post-merger.

Lastly, the IT Organization section addresses workforce optimization by reducing duplicate roles, rationalizing development and support resources, and outlining key skills and competencies. The potential savings in this area are estimated at 15% to 25%. This highlights the importance of aligning human resources with the new organizational structure to eliminate redundancies and enhance productivity.

Overall, the slide serves as a strategic guide for executives looking to identify and capitalize on cost-saving opportunities during the integration process. It underscores the necessity of a focused approach to IT spending to maximize efficiencies and drive value in a merged entity.

This slide is part of the Post-merger Integration (PMI): IT Integration Framework PowerPoint presentation.

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PMI Post-merger Integration Cost Reduction Human Resources Post-merger Integration Organizational Structure Enterprise Resource Planning

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