– Ty’s Summer Internship – Day 16 –
Today, I am so excited to attend Donny’s presentation on creating an IT Budget: “A Strategic Approach to IT Budgeting”. Finally I get to see my boss’ talk! The seminar room is filled with participants who are eager to check out this topic, which tells me that this has been a hot topic for many companies. It is also a reflection on the fact that that Donny’s talk on IT budget has a good reputation. I used to deal with many Chief Information Officers (CIOs) and IT directors, and I see why this would be a hot topic. They usually love to talk about how their network infrastructure works but don’t have any thoughts on how their capital expenditure is hitting the company’s financial statements over the next few years. Plus, IT has so many factors to take into consideration, so it is a difficult matter for the Accountants too. There is usually a huge gap between accounting and IT so they need to fill that gap—and Donny’s presentation helps do that.
So here is a video of Donny’s talk on IT budgeting. It is just the highlights, not the full talk, but hope it gives you some idea of why this topic may be so popular.
It was very interesting. To be honest, with my background, I did not see whole a lot of new ideas/techniques, but it was well organized and super practical approach to putting the IT budget together. The presentation is almost like a toolkit for the attendees, with the right glossary, high level check points to think through the IT components, how to categorize and organize the different types of IT components, and a spreadsheet that they can actually use in the real world.
Also, there are many great tips throughout the presentation. For example, he emphasized that IT budget cannot be done without multi-year planning. Well, I guess any budgeting/planning has to be done in long term, but the IT budget needs to be synced with the company’s strategy, or even with the department level planning such as what’s the next 5 years of growth strategy? Recruiting plan? Accounting policy change? What is the incremental cost associated with those business strategies compared to IT capital expenditures?
IT is just a tool to help the companies to achieve their goals. It is a simple and basic point, yet many miss this point. I know there are so many IT folks out there who need to listen to Donny’s talk, or who are dying to get this kind of help. If you are one of them, then you may want to contact Donny!