Cloud & Infrastructure · IT Cost Optimization · Medium · 25-35 min

Cutting 15% From the IT Budget

Last updated 2026-07-29

What is this case about?

A financial-services firm's IT budget has grown to $300M, roughly 8% of revenue and well above the 5% peer benchmark. A new CFO wants 15% out within a year without harming regulatory-critical systems or the digital roadmap. Spend splits roughly: 55% run/maintenance, 25% mandatory/regulatory projects, 20% discretionary change. You lead the rationalization.

Where strong candidates start

  • Segment the $300M into run vs mandatory vs discretionary before cutting anything
  • Protect regulatory and security-critical spend — name what is off-limits and why

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