Understanding The Importance of IT Consolidation in 2022


In this blog, we will discuss IT consolidation. What it is, its challenges, importance in 2022. Additionally, we will look into strategies to successfully implement it.

Whether you’re a CEO at a manufacturing company or a new manager focused on understanding how IT consolidation can improve your business, understanding the workings of IT consolidation is no easy task.

In the increasingly digital age, if haven’t already invested in IT consolidation, you’re falling behind.

Lets us see below how you need to be successful with information on best practices, challenges, steps to efficiently implement IT consolidation, and strategies for improvement.


Defining IT Consolidation

Information technology (IT) consolidation involves sharing data storage and other server resources with end-users, whether they are internal teams, external partners, or your customers.

Two common types of IT consolidations are server consolidation and storage consolidation. Server consolidation reduces the number of servers in an IT environment.

Storage consolidation refers to the centralization of data storage to achieve the best performance at the lowest possible cost. This also reduces the dependency of IT services on servers or applications, which directly translates into less downtime due to outages or cyber-attacks. When done correctly, consolidation keeps IT services running efficiently while optimizing the value of the available IT infrastructure.


Read: “Digital Transformation is Being Slowed by Legacy PLM Systems”


Why is IT Consolidation Important?

As more and more day-to-day business tasks are done digitally,  consolidated and seamlessly aligned information technology is critical to business success. The free flow of data between departments plays a major role in achieving company-wide goals on budget and on schedule.

A chief information officer (CIO) is the executive with overall responsibility for managing IT staff and information assets. They play a key role in any consolidation initiative and serve as a liaison between IT and other departments. They also ensure that the business model and the support model are aligned.

 The Benefits of IT Consolidation Include:

Greater Efficiency

More collaboration leads to shared solutions. The combination of systems, especially help desks and service desks, reduces the time spent on problem resolution.

Cost Savings

By consolidating acquisitions, companies not only generate savings, but also more purchasing power.

Business Proactivity

Respond to current challenges and anticipate future challenges through strategic planning and risk management. The consolidation of IT processes helps to optimize project deadlines, delivery times, and response times. The data must be quickly accessible from all locations. As a result, IT staff spends more time achieving business goals.

Read: “What Manufacturers Should Expect From Their IT Team”


Best Practices for IT Consolidation in 2022

IT consolidation is most valuable when planned as a long-term strategy that is constantly improving. Any decision to consolidate IT assets, IT systems, or network management should only be made after consultation with all decision-makers involved.

When your customers are your top priority, your consolidation is far more likely to succeed and save your business money over time. By aligning all supply chain contracts under a single management platform, service disruptions are reduced and customer satisfaction increased.

Cloud computing can also be a valuable resource in meeting consolidation goals, as it allows services and data to be delivered on-demand. The result is a significant improvement in user access to data centers

Avoid complicating organizational goals by using multiple disparate IT systems. Ensure that all IT staff report to the company’s IT department to significantly improve IT management.

IT consolidation is not just a business strategy, it is an organizational mindset.


Challenges of IT Consolidation in The New Age

The challenges for a full IT consolidation are enormous and affect not only the entire company but also the consumers. Try to minimize disruption to users while you work to consolidate IT.

Beginning a consolidation effort can be challenging. Business operations must continue during this phase, so it is critical that IT teams and other departments communicate efficiently to maintain progress. IT teams need to understand the operational needs of each business unit, while departments on the other hand need to be aware of the benefits of consolidation, e.g. B. The guarantee that the service will be improved. The CIO can add value by identifying the impact that IT consolidation will have on an organization’s business model.

While outsourcing IT infrastructure can be an effective decision to maximize cost savings, these data centers must still be able to provide all required IT services from a single point of contact.


Steps of Implementing IT Consolidation

Design a Risk and Change Management Strategy

Understand the customer journey and how IT consolidation affects it. Discuss how it exists today and how it could improve tomorrow through IT consolidation. Focus on the prospective plan rather than how it works today. That could mean preparing for increased demand for customer support as people initially adjust to the change. Get leadership buy-in. Helpful deliverables for preparation include a roadmap and quarterly budgets.

Develop a  Resiliency Plan

Follow risk management strategy to control major changes in IT infrastructure. Consider the far-reaching impact of virtualization on IT systems. Identifying redundancies in the applications, storage, and servers in your IT environment are key components of consolidation.

Branch Performance Testing, Iteration, and Local Consolidation

End users working remotely will be directly affected by these changes as they need access to these applications to do their jobs. Consider your feedback as performance improves. Additionally, optimizing IT systems is key to minimizing disruption and maximizing profits. Make changes to optimize on-premises consolidation, and remember that different users have different needs when optimizing IT services. Contact your CIO to determine how initiatives withstand the stress of real-time action

Build Infrastructure with a Future Vision

Use the most advanced technology in each area. The use of technologies such as legacy PLM solutions will complicate the way forward. Propel’s Product Success Platform guarantees at least three major updates per year. Equipment acquisition is often the most time-consuming part of consolidation.

Plan a Phased Deployment

Before expanding, focus on users you know can be easily supported. Make sure your service providers are prepared for increased demand.

Read: “Cloud Systems – Is This The Right Time to Switch?”


Strategies to Improve IT Consolidation

You can improve IT consolidation by having a single point of contact for all procurement operations.Considering the customer perspective will be essential for the development of a consolidated IT.

Accept and acknowledge that customers will have trouble navigating the new systems. Note that this is a question of if this will happen, not when. Be patient with end-users and be prepared to make exceptions if necessary. Furthermore, plan proactively to anticipate the changing needs of your users. Long-term planning can reduce future costs and improve service.

Ongoing communication and collaboration between stakeholders will also ensure a productive future. Create a comprehensive project roadmap and update it over time. Finally, a digital-first approach sets the tone for information technology modernization to continue to meet business standards.


The Future of IT Consolidation

Forward-thinking organizations have already prioritized the IT organization. As technology continues to evolve and operations move away from a process-centric approach, IT proficiency is required to fully exploit these opportunities. Automation is already playing an important role in the economy and will continue to grow. Rather than just being part of data centers, it is expanding for use in all aspects of business operations as new technologies are introduced.

Modern work cultures need to adapt to these modifications by being flexible and communicative. This permits the optimum amount of IT resources to be deployed in the right place at the right time. Additionally, IT staff must learn to work autonomously across departments as they interact with different workflows to facilitate optimization and ultimately innovation.

As more and more business data is stored in the cloud, IT service models must change to enable continuous product innovation. This also allows analytics to be pulled from a variety of sources, affecting overall decisions.

IT consolidation is setting the tone for the markets by driving consolidation across the industry. As the lines between software and hardware continue to blur, IT will continue to play a critical role. Schedule a demo with KloudPLM to know more.







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