Blog5 CXO Strategies Securing Cloud Cost Optimization

“In today’s economy, every cloud dollar should do more than float — it must perform.”

For many CFOs and IT leaders, navigating cloud investments is like steering a high-performance boat in uncharted waters. Cloud adoption continues to rise — and for good reason — but so do costs, risks, and complexity. Are you among the 69% of enterprises exceeding their cloud budget? Have you experienced costly misconfigurations like 45% of organizations?

In a time when agility, security, and value are non-negotiable, aligning cloud strategy with business priorities isn’t just wise—it’s transformational. This blog explores how CFOs and IT decision-makers can take a more proactive, secure, and customer-centric approach to cloud cost optimization — and how to implement cloud cost optimization strategies that make a lasting impact.

Why Cloud Cost Optimization and Security Must Go Hand-in-hand

Today’s cloud landscape is a double-edged sword: it empowers rapid innovation yet introduces unexpected complexity. While multi-cloud architectures and dynamic workloads create the agility businesses need to compete, they also make it harder to see where costs are creeping in, whether environments are correctly configured, or how exposed you are to cyber threats.

Cloud was supposed to streamline IT. But if you’ve ever opened your monthly cloud bill with surprise or scrambled to contain a misconfigured environment that triggered a security review, you know the cloud doesn’t manage itself.

This is especially challenging for CFOs, CIOs, and CISOs because the cloud isn’t one-size-fits-all and doesn’t sit neatly in a single department. Engineering teams may be spinning up resources freely, and business units might deploy services independently.

Security teams are often playing catch-up to enforce policies after the fact. Meanwhile, finance struggles to forecast and manage what was once a predictable IT spend.

In this kind of environment:

Visibility becomes fragmented.
Unused or over-provisioned resources quietly drive up costs.
Misconfigurations go unnoticed until something breaks or becomes a security risk.
Budget owners lack the context behind usage spikes.

Innovation slows down under the weight of inefficiencies and uncertainty. Optimization without security is like installing energy-efficient lightbulbs in a house with an unlocked front door.

This is why secure cloud cost optimization matters. It’s not just about trimming expenses — it’s about responsibly modernizing your IT strategy so you can reinvest savings into what matters most: improving customer experience, enhancing cyber resilience, scaling safely, and accelerating innovation. It also gives you the opportunity to optimize cloud costs, eliminating exposure to risk.

Want to see how top CFOs, CIOs, and security leaders are making that shift? Here’s an expert-led webinar for hands-on guidance.

Understanding Why Cloud Costs Spiral

Modern cloud pricing gives you agility but can lead to budget chaos if not closely monitored.

Common challenges include:

Hidden and Uncontrolled Usage: Without centralized monitoring, multiple teams can spin up instances or services with little accountability.
Overprovisioning: Teams often request more capacity “just in case,” which leads to wasted expenditures on underutilized resources.
Idle Resources: Virtual machines, storage volumes, or environments left running over weekends, holidays, or even months.
Outbound Data Charges: It is too common to watch your cloud bill skyrocket because of unmonitored data transfer (egress fees).
Lack of Forecast Accuracy: Without usage patterns or historical trends, budgeting becomes reactive instead of proactive.

Understand the Pricing Models (and How to Use Them Smartly)

For CFOs and IT leaders, mastering cloud pricing is key. Here’s a breakdown of how to tap into savings:

On-demand / Pay-as-you-go: Highly flexible but expensive over time. Suitable for short-lived or extremely variable workloads.
Reserved Instances: These offer up to 72% in cost savings when you commit to a specific resource type for 1–3 years. They are ideal for mission-critical, predictable systems.
Savings Plans: Flexible pricing allows consistent resource usage over a term, which is great for apps with fluctuating patterns.
Spot / Preemptible Instances: Up to 90% savings; perfect for dev/test, batch processing, or data transformation tasks.
Azure Hybrid Benefit: Reusing your on-prem licenses in the cloud unlocks 40% or more in savings.

(Source: WS/SQL disclaimer: The Business Value of Microsoft Azure for Windows Server and SQL Server Workloads, App delivery speed disclaimer: The Business Value of Migrating and Modernizing with Azure, sponsored by Microsoft Azure, #US49665122 )

Cloud cost optimization strategies include choosing the right pricing model for each application or workload type. When you do this consistently, you not only control costs, but also optimize cloud costs while driving performance.

Optimizing Cloud Spend: Securely and Strategically

Here are cloud cost optimization techniques that can immediately impact your bottom line and security posture at the same time:

Ask Yourself…

Do I know which apps/services consume the most cloud budget?
Is our security team involved in cloud provisioning decisions?
Are any of our cloud resources idle or oversized?
Are different departments duplicating workloads across clouds?
Are we paying for performance or just the illusion of scale?

Start with Visibility: You can’t control what you don’t see. Use native tools like Azure Cost Explorer, Azure Cost Management, or third-party platforms that consolidate cost and usage dashboards across clouds.
Leverage “Smart Scaling“: Auto-scaling adjusts resources up and down according to demand. This avoids over-provisioning while ensuring performance during peak hours. Combine with real-time monitoring to prevent bottlenecks or excessive scale-outs.
Eliminate Idle Assets: Set policies to shut down or hibernate non-production workloads during off-hours—this alone can save 20-30% monthly. Identify stopped but chargeable resources (like unattached volumes or idle public IPs) and decommission them.
Match Workloads to Cost Models: Reserved Instances might be best if you run analytics workloads 24/7. Savings Plans or auto-scaling groups are winners for unpredictable demand (e.g., ecommerce traffic). For testing/training purposes, go with Spot Instances.
Automate Governance: Instead of relying on manual checks, set up automated guardrails:
- Alerting when VMs run over budget
- Automated tagging for cost attribution
- Compliance checks for public storage buckets, open ports, etc.
- Automated security scanning before spinning up resources
Plan with Long-term Trends: Use 90-day cloud cost and usage signals to forecast, fine-tune, and model cost trajectories. Couple that with upcoming project rollouts and business seasonality.
Collaborate Across Teams: Bring Finance, Security, and IT stakeholders together in planning cycles. Ensure cloud investments don’t just serve IT efficiency, but align with high-level business KPIs (customer retention, revenue generation, risk mitigation).

Building these into your company’s culture will enhance visibility and governance and help you optimize cloud costs in a repeatable, measurable way.

Final Thoughts: Optimize with Purpose, Secure with Confidence

Actual cloud value doesn’t come from merely cutting costs but from reinvesting every saved dollar into something greater. That could mean launching new customer experiences faster, fortifying your data security posture, or enabling geographically distributed teams.

When you adopt the right cloud cost optimization strategies, you create a foundation for continuous improvement that helps your business scale securely and intelligently. Optimize cloud costs not just for efficiency, but for resilience and long-term growth.

Cloud optimization isn’t a one-time checklist; it’s a culture of continuous clarity, foresight, and agility.

Case StudyDynamics CRM and Power BI Integration Reduces TCO by 70% for Medical Device Company

Customer: A public medical device company	Profile: The client is a market leader in Transcranial Magnetic Stimulation (TMS) for the treatment of major depressive disorder and other mental health conditions.
Industry: Medical Equipment Manufacturing
Services: Dynamics CRM and Power BI

The medical device company’s marketing team lacked visibility into operations, impacting lead-to-conversion rates. Limited expertise, undefined business processes, and manual data consolidation efforts made it difficult to manage customer interactions.

Learn how Synoptek’s suite of Dynamics CRM implementation and Power BI integration services helped:

Enhance clinical efficiency and patient care
Minimize manual effort and maximize decision-making accuracy
Reduce TCO by 70%

BlogWhat Strategies Can IT Leaders Use to Mitigate the Impact of VMware’s Price Surge?

Broadcom’s acquisition of VMware for $61 billion marks a pivotal moment in the technology industry, particularly affecting organizations that rely on VMware’s virtualization and cloud solutions. This strategic move aims to enhance Broadcom’s foothold in enterprise software, leveraging VMware’s expertise in virtualization and cloud computing.

With a shift to a subscription-based model and significant price hikes, organizations are forced to reconsider their IT budgets, potentially accelerating migration to alternative platforms or prompting negotiations for more cost-effective solutions.

As the landscape shifts, adapting to these financial pressures is key for organizations striving to maintain seamless technology operations.

The Impact of Broadcom-VMware acquisition on Your IT Strategy

The Broadcom acquisition of VMware has significantly impacted IT strategies for organizations in terms of pricing and licensing changes and product and service continuity challenges, among others. Here are the key impact areas:

Increased Licensing Costs

The shift to a core-based licensing model and the significant increase in annual support renewal costs have substantially raised the financial burden on organizations. For example, the yearly support renewal cost has jumped from $14,000 to $35,000, marking a 300% increase.

The new subscription model is 63% more expensive than the previous perpetual license model over a 7-year lifecycle. IT leaders must reevaluate their budgets and reallocate funds from other initiatives to cover the increased VMware costs.

Reduced Flexibility

The core-based licensing model, which requires a minimum of 16 cores per socket, reduces flexibility for organizations with varying hardware configurations. For example, a data center with 12 CPU sockets must license 192 cores, even if the actual usage is lower. This inflexibility limits the ability to optimize costs based on actual usage and may lead to over-provisioning of licenses.

Vendor Lock-in Concerns

The exclusive availability of VMware Cloud on AWS through Broadcom raises concerns about vendor lock-in and reduced customer choice. IT leaders may feel compelled to stick with VMware solutions due to the significant investments already made, even if alternative solutions become more attractive.

Uncertainty and Risk

CIOs and CTOs are concerned about the potential impact on their existing infrastructure and cloud strategies, especially given Broadcom’s history of post-acquisition changes that have led to customer dissatisfaction.

How can Managed Service Providers Help with VMware Price Increase?

Managed service providers (MSPs) can play a crucial role in helping businesses navigate the steep price increases associated with VMware’s new subscription model following Broadcom’s acquisition. Here are several ways MSPs can assist:

4 Ways Managed Services Providers Mitigate the Price Surge Impact

Cost Analysis and Optimization

Optimize Licensing: MSPs can thoroughly analyze your current VMware usage to determine if all features are necessary. They can help align workloads with the appropriate VMware product bundles, potentially reducing costs by selecting only the required features rather than paying for comprehensive bundles that include unnecessary services.
Explore Alternatives: MSPs can introduce businesses to open-source virtualization solutions or alternate cloud service providers. By leveraging their expertise, organizations can help transition to more cost-effective platforms, mitigating the financial impact of VMware’s price hikes.

Implementation and Migration Support

Migration Planning: Many businesses are considering moving away from VMware due to the increased costs. MSPs can assist in smoothly planning and executing this transition. They can provide a structured approach to migrating workloads to alternative platforms, ensuring minimal disruption to business operations.
Infrastructure Management: MSPs can offer managed services that reduce the overall complexity of managing virtual environments. This includes providing hypervisor-agnostic disaster recovery and backup solutions, which can help businesses maintain flexibility and control over their infrastructure while potentially lowering costs.

Negotiation Strategies

Budgeting Assistance: With the new pricing structure, many organizations face unbudgeted increases in operational expenses. MSPs can help businesses reevaluate their IT budgets and provide insights into how to absorb these costs or adjust spending in other areas.
Negotiation Support: MSPs often have established relationships with vendors and can negotiate on behalf of their clients to secure better pricing or terms. This can be particularly beneficial for smaller businesses that may not have the leverage to negotiate effectively on their own.

Ongoing Support and Training

Continuous Monitoring: MSPs can provide ongoing monitoring and management of virtual environments, ensuring that businesses are utilizing their resources effectively while identifying potential areas for cost savings.
Training and Education: MSPs can offer IT staff training on the new VMware licensing model and best practices for managing virtual environments under the new structure. This knowledge can empower teams to make informed decisions about their virtualization

Plan for a Smooth Migration from VMWare to Cloud

Major cloud providers like AWS, Amazon, and Google are offering robust VM hosting services. These services also benefit from scalability, automated backups, and high availability. With the ease of integration with existing systems and the availability of pay-as-you-go models, companies looking to move away from VMware are choosing cloud services tailored to unique needs and environments.

This is how organizations can effectively transition:

1. Conduct a Thorough Audit of Your VMware Portfolio

Review all purchased and in-use licenses to understand your current VMware environment.
Identify underutilized licenses and assess if your setup aligns with your organization’s needs.

2. Map Out the Impact of Changes on Your Organization

Evaluate how the new pricing structure affects your budget and operational capabilities.
Involve relevant stakeholders, including finance and IT teams, to comprehensively understand the consequences.

3. Begin Planning for a Timed Migration Workflow

Develop a structured migration plan that outlines key milestones and timelines to avoid rushed transitions.
Ensure the migration process is smooth and organized, minimizing disruptions to business operations.

By proactively addressing these challenges and implementing strategic mitigation measures, IT leaders can navigate the impact of the Broadcom-VMware acquisition and ensure the continued success of their IT strategies.

Diffuse VMware Volatility with Right Partner

If you want to avoid the anxiety caused by unexpected price hikes and changes in product offerings, you must partner with a competent managed service provider. A competent partner can provide tailored solutions such as public and private cloud hosting, managed on-premises private cloud services, and comprehensive Azure and AWS deployment management.

BlogHow to Achieve IT Strategic Cost Optimization Through Managed Services

Every company today is a technology company! If your organization isn’t investing heavily in technology, you’re in the minority. According to Gartner forecasts, worldwide IT spending is set to grow 7.5 percent in 2024. As organizations increasingly rely on technology to drive growth, the complexity of IT environments has surged.

However, managing technology is complex. This complexity poses significant challenges for Chief Information Officers (CIOs), with 76% expressing concerns that managing digital performance could become impossible due to intricate tech stacks. Companies are partnering with Managed Service Providers (MSP) to stay safe from complexity-driven inefficiencies, higher operational costs, and security vulnerabilities.

The bottom line is that the technology sprawl we have today creates more complexity and risk, which, ultimately, if not managed effectively, can drive up costs and hinder business results.

Challenges Faced by Businesses Due to Growing Technology Demands and Complexity

Highly complex technology stacks are generally less efficient and more expensive to operate. They can create a tangled web of applications and services that complicate management and hinder performance. As a result, organizations may face escalating costs without a corresponding increase in value or innovation.

1. Growing business dependence on technology

Businesses are increasingly reliant on technology to drive operations, enhance customer experiences, and maintain competitive advantages, making it an integral part of daily processes.

2. Proliferation of technology solutions

The rapid advancement of technology has led to many solutions available to businesses, which can enhance productivity and innovation but also lead to challenges in selecting the right solutions that align with business goals while avoiding unnecessary complexity.

3. Struggle to transition to cloud platforms

As businesses recognize the benefits of cloud computing, many face difficulties during the transition, which often involves significant planning and resources to address concerns related to data security, compliance, and integration with existing systems.

4. Fragmented technology strategy and execution

A fragmented technology strategy can hinder an organization’s ability to achieve its goals effectively, leading to inefficiencies and misalignment with overall business objectives, wasted resources, and missed opportunities for collaboration and innovation.

5. Managing enterprise technology operations costs

With the growing complexity of IT environments, managing technology operations costs has become increasingly challenging. Effective cost management strategies are required to optimize IT spending without compromising service quality or operational efficiency.

6. Rapid growth in cybersecurity threats

The rise in cyber threats poses significant risks for businesses relying heavily on technology, necessitating robust cybersecurity measures to protect sensitive information and maintain customer trust, leading to increased investments in security technologies and protocols.

7. Inability to attract, develop, and retain talented technology professionals

The demand for skilled technology professionals continues to outpace supply, creating challenges for organizations seeking to build robust IT teams and impeding innovation and the effective implementation of new technologies.

8. Lack of processes, tools, and people to manage complex systems

Many organizations lack the necessary processes (ITIL/PMI), frameworks, and tools to manage complex IT systems effectively, leading to inefficient operations and poor service delivery.

9. Insufficient breadth and depth to cover critical technologies 24/7

Ensuring comprehensive coverage requires strategic planning and investment in skilled personnel or managed services that can provide around-the-clock support, as gaps in support during off-hours or emergencies can impact service reliability and customer satisfaction.

Strategies for Managing Complexity through Managed Services

Organizations can leverage managed services as a strategic approach to cost optimization and efficiency to navigate the challenges posed by IT complexity. Here are some strategies to embrace to manage the increasing complexity of tech ecosystems:

Centralization of Services: Organizations can streamline operations and reduce redundancy by consolidating technology services via managed service providers (MSPs).
Automation and Standardization: Automating routine tasks and standardizing processes helps minimize human error and operational overhead, making it easier to manage complex environments.
Cloud Optimization: Implementing a cloud-first strategy allows organizations to utilize scalable resources while optimizing costs. Managed services can help monitor cloud usage and identify underutilized resources, reducing unnecessary expenditures.
Continuous Monitoring and Reporting: Utilizing tools for continuous monitoring enables organizations to gain insights into their IT performance and spending patterns, facilitating informed decision-making regarding resource allocation.

Benefits of Partnering with an MSP for IT Cost Optimization and Boosting Service Level Excellence

Partnering with a managed service provider offers significant cost reduction and service level excellence benefits. MSPs typically operate on economies of scale, which can lead to lower operational costs for businesses. Additionally, they provide specialized expertise and resources that ensure high service levels, including 24/7 support and proactive monitoring.

Major benefits include:

1. Increased Responsiveness to Fluctuating Market Demands

Organizations that embrace managed services can significantly enhance their agility and responsiveness to market demands. By offloading routine IT tasks to specialized providers, businesses can focus on strategic initiatives, allowing them to quickly adapt to changing market conditions and customer needs. This flexibility enables faster decision-making and the ability to pivot operations in response to emerging opportunities or challenges.

2. Enhanced Technology Capabilities

Partnering with managed service providers (MSPs) allows organizations to leverage advanced technology capabilities that may otherwise be out of reach. MSPs offer access to cutting-edge tools, expertise, and resources—all under one roof—that drive business growth. By integrating these technologies into their operations, companies can streamline processes, improve efficiency, and create new products or services that meet evolving customer expectations.

3. Improved Cost Predictability and Control

Managed services can improve business cost predictability and control. Organizations can better forecast their IT expenses by transitioning to a subscription-based model with an MSP, eliminating unexpected costs associated with hardware upgrades or emergency repairs. With this financial clarity, organizations can develop more effective budgeting and resource allocation plans, leaving enough room to invest strategically.

4. Continuous Adaptation to Evolving Industry Trends

Organizations that engage with MSPs benefit from constant improvement and the ability to adapt to evolving industry trends. They help you stay in sync with the latest technological advancements and best practices, ensuring that you leverage innovative solutions that enhance operational efficiency.

Save Money: Deliver Excellence: Start with Small Steps with Synoptek

Every strategic IT investment is driven by growth and stasis to absorb any churn or cut down bottom-line expenditures. As companies increase strategic IT spending to focus on modernizing outdated systems, reducing technical debt, and creating new revenue streams, partnering with the right MSP will help them lead the way.

Are you interested in gaining practical insights and actionable strategies to help re-examine your IT costs and maintain a long-term cost-optimization perspective? Watch our on-demand webinar to learn more: Strategic IT Spending: How to Achieve Cost Savings and Service Level Excellence.

Businesses looking for a managed services company in Orange County to streamline IT spending, enhance IT strategies, and maximize savings can connect with our managed services experts to start a conversation.

BlogMaximizing Dynamics 365 Business Central Returns with Application Managed Services

As the demand for ERP systems continues to grow, platforms like Dynamics 365 Business Central experience widespread adoption. Dynamics 365 Business Central now supports over 40,000+ small and mid-sized businesses on its SaaS platform. Users increase by 200% annually, highlighting the solution’s growing popularity. And while 80% of companies successfully implement the ERP, less than 50% report achieving their expected Business Central ROI. This gap is often due to inadequate lifecycle support and maintenance of the platform, necessitating the need for around-the-clock Application Managed Services.

Understanding Common Business Central Challenges Post-implementation

SMBs often turn to Dynamics 365 Business Central to transform business operations, improve financial performance, boost sales and service, and optimize supply chain management. However, despite a successful deployment, they face many challenges in the day-to-day monitoring and management of this ERP:

1. Timely User Support

As users transition from a legacy tool to a modern and intelligent solution, they face several issues navigating the system, finding the information they need, and making quick decisions. Addressing and resolving these issues for in-house teams with limited expertise doesn’t come easy for these teams. These teams also face hurdles in creating standard operating procedures, establishing best practices, and onboarding and training users.

2. Functionality Pain Points

Another challenge SMBs face post Dynamics 365 Business Central deployment is around functionality. As many implement an out-of-the-box system with little or no customization, the challenge of configuration not optimized to support business processes often emerges. Organizations also realize that they are not leveraging intelligent workflows and automated processes to the fullest and recognize the need for improvements in user experience.

3. Continuous Improvement

With Microsoft constantly optimizing Microsoft Dynamics 365 Business Central to meet evolving needs, SMBs find it challenging to stay on top of new functionality and updates. Lack of familiarity with the Microsoft ecosystem and upcoming initiatives makes aligning future business growth goals with a technology maturity strategy difficult.

4. System Management/ Maintenance

Businesses often struggle to maintain in-house expertise to manage system updates, security patches, or administrative functions. They also struggle to conduct necessary testing before system updates and lack the time and skillset to improve and optimize Business Central’s performance over time.

Transforming Costs to Value – Key Components

The challenges in running and optimizing any Microsoft Dynamics 365 Business Central deployment often diminish the ROI. Organizations looking to transform costs into value must rethink their support model. Here are the four key components that hold the key to maximizing Business Central returns:

1. Proactive Support

For any Business Central deployment to function correctly, proactive support is vital. Anticipating potential performance, security, or user experience issues is critical to maintaining user satisfaction. Support teams must also be capable of finding the root cause of recurring issues for permanent resolution and maximizing application uptime and availability.

2. Continuous Improvement

Organizations using Dynamics 365 Business Central must also have a mechanism to stay updated with new features and opportunities and how they can be leveraged to keep up with technology innovations. Evolving business processes with new additions in the Dynamics ecosystem are also essential for staying relevant.

3. Strategic Alignment

With business needs and market trends constantly evolving, organizations must align current and future business goals with the Business Central roadmap. From adding new functionality to removing those that don’t make sense, organizations must put in effort to ensure strategic alignment of business and technology objectives.

4. Cost Efficiency

Running and optimizing Microsoft Dynamics 365 Business Central requires organizations to uncover ways to maximize cost efficiency. One way to do this is by leveraging economies of scale via shared resources/global delivery model. They can also consolidate their technology ecosystem and bring in partners who can run the system’s day-to-day operations.

The Role of Business Central Application Managed Services

Keeping up with the pace of emerging technologies while aligning technology tools with evolving business needs is a Herculean task. With businesses focused on their core priorities, devoting time and resources to day-to-day Microsoft Dynamics 365 Business Central management is complex. Many companies also face issues in hiring, training, and retaining Business Central talent while struggling to scale the system to meet current and future integration and collaboration needs.

Businesses looking to make technology investments with business goals in mind and keep up with the pace of advancement must embrace Application Managed Services (AMS). A qualified AMS provider can enable businesses to:

Focus time and energy on core competencies while qualified experts handle daily Business Central management and administration.
Enjoy continuous improvement via updates/upgrades and ensure the Business Central instance runs on the latest version.
Maximize employee productivity and efficiency by having all user issues identified and resolved in time.
Drive scalability by accessing features and capabilities on-demand and meeting the growing needs of the business.

Explore Synoptek’s Business Central Application Managed Services

As organizations continue to face issues with managing and maintaining their Microsoft Dynamics 365 Business Central deployment, Synoptek’s Business Central Application Managed Services aims to improve customer results by participating on an outcomes basis in the initial transformation roadmap, planning, setup, and ongoing system operation. By providing access to skilled and certified Business Central talent, we help boost overall business results for our clients, allowing them to meet their ROI objectives while building lifetime value-added relationships with them.

Engage with our Business Central experts to get support for commonly used technology platforms through a single window. Watch our on-demand webinar to learn more.

On-demand WebinarApplication Managed Services: Maximize your Dynamics 365 Business Central Returns

Are you spending too much time and money managing or optimizing your Dynamics 365 Business Central instance? Are you getting enough value for your money from your current application support provider? Are you looking to maximize your investment in Dynamics 365 Business Central?

Many small- to mid-sized enterprises like yours adopt comprehensive enterprise solutions like Dynamics 365 Business Central to effectively manage financials, sales, service, and operations. However, they face issues with the solution’s day-to-day management and maintenance. Maximizing ROI requires effective and continuous management of Dynamics 365 Business Central throughout its lifecycle—from planning and implementation to ongoing operations.

Stream this insightful webinar to uncover insights on how a suite of Dynamics 365 Business Central Managed Services across Integration, Cloud License, Infrastructure Support, and ongoing Application Management can pave the way for optimal value and results.

Whether you are struggling with poor implementation from a previous partner, need expert assistance in onboarding new users and bringing them up to speed with best practices, or want to more holistically leverage the extensive capabilities of Dynamics 365 Business Central, this webinar will help you:

Deep dive into the common challenges organizations face in running and optimizing Business Central ERP
Understand the key components of value creation and how you can transition your Business Central implementation from cost to value
Assess the impact of Managed Services via real-world use cases
Explore the scope and benefits of Application Managed Services for Business Central

Watch today to drive the best results from your Dynamics 365 Business Central system implementation, optimize its use, and ensure seamless and sustained operations.

Explore our exclusive offers to get the most out of Application Managed Services

If you have never experienced Managed Services and want to know how it can help you save money, sign up for a complimentary Business Central Value Assessment (worth $2K).
If you are interested in Synoptek’s Managed Services, sign up to enjoy
- Zero onboarding fees (Get a waiver of $20k)
- Up to 5 months of free support (Depending on the length of the contract)

On-demand WebinarStrategic IT Spending: How to Achieve Cost Savings and Service Level Excellence

Can you accurately forecast and budget for unpredictable IT costs in the long run? What strategies can you implement to build a flexible IT budget? What are the hidden costs of managing your IT infrastructure in-house, and how can outsourcing to managed services help reduce those costs?

Companies are leveraging managed IT services to free up capital for strategic IT initiatives, improve existing service levels, and maximize the value of technology investments.

In this webinar, you will discover:

What’s currently happening in the market
Key Challenges
Tradeoff between costs and service levels
Framework for evaluating what to do
Real-world success stories with tangible business benefits

Stream now to gain practical insights and actionable strategies to help re-examine your IT costs and maintain a long-term cost-optimization perspective.

Cost Optimization Workshop Offer

If you are interested in prioritizing your IT spending, sign up for our complimentary cost optimization workshop. Our managed services experts will work closely with you to provide practical insights and actionable strategies to re-examine your IT costs and maintain a long-term cost-optimization perspective.

Case StudyManaged Services Help Aircraft Lessor Achieve 3X Savings Post-Divestiture

Customer: A premier global full-service aircraft lessor	Profile: The aircraft lessor invests in liquid, high-demand aircraft and focuses on building long-term partnerships and creating value for airline customers and investors.
Industry: Airlines and Aviation
Services: Managed Services

The aircraft lessor was going through a divestiture with difficult and unforgiving exit criteria. Since the financial transaction in progress had to continue, there was no allowance for delay, change, or modification.

Learn how Synoptek’s suite of Managed Services helped the aircraft lessor:

Achieve an annual savings of 3X
Reduce 97% IT investment costs
Free up $1.2 million capital

“Partnering with Synoptek has strategically empowered us to concentrate on our core business, alleviating the complexities of managing an in-house IT department. Synoptek has consistently exceeded our customer satisfaction KPIs by providing 24/7 helpdesk and security services to our employees worldwide. Access to highly skilled professionals on a fractional basis enables an IT service capability portfolio that rivals a larger company. As stewards of a multi-billion-dollar portfolio comprising Airbus and Boeing jets operated globally, our collaboration with Synoptek has reinforced our operational focus and enhanced our ability to deliver exceptional value in the fiercely competitive aircraft leasing industry.”
– CIO

BlogMaximizing ROI: How Managed IT Services Minimize CapEx Investments

When markets are volatile and budget constraints are high, organizations don’t have the luxury of making the wrong decisions about technology investments. Equipment purchases, technology investments, software licensing, infrastructure development, maintenance and upgrades, and installation costs are just some of the capital expenditures that significantly impact a company’s financial strategy. Partnering with a managed services provider (MSP) offers an intelligent way to access essential IT services and solutions while gaining valuable investment protection.

Unlock the Secret to Smarter IT: Why Managed Services Matter?

Today’s leading-edge solutions become outdated faster than estimated. So, a managed services approach provides the agility to adapt to the IT environment, ensuring that budgets aren’t tied up in long-term technology investments.

Managed services providers offer the financial flexibility of a subscription-based approach. They allow organizations to transition technology spending from a capital expenditure (CapEx) to an operating expense (OpEx) model. Hardware, software, and service costs are bundled into a single contract with a predictable monthly payment. This allows for improved cash flow management, capital preservation, and a more manageable expense structure.

Common Challenges Businesses Face with Traditional CapEx Models

What is a good choice – cash today or growth for the future? Organizations struggle to balance short-term needs and long-term investments when conducting a capital expenditure analysis. While designating proper funding for capital-intensive projects, companies face challenges like:

Large Upfront Costs

Technology adoption often requires significant upfront investments, which can be challenging for businesses with limited budgets. This can make allocating funds effectively throughout the digital transformation lifecycle difficult.

Complexity in Approval Processes

The traditional CapEx approach involves lengthy and complex approval processes. These eventually lead to delays and inefficiencies as multiple stakeholders must review and approve projects, prolonging decision-making times.

Difficulty Assessing Value

Evaluating the value of technology projects can be subjective and complex. Traditional methods often rely on single-dimensional metrics like net present value (NPV), which may not capture a project’s full impact, leading to poor investment decisions and missed opportunities.

Resource Constraints

Technology implementation projects often require significant resources, including personnel, equipment, and infrastructure. Limited resources can hinder the ability to execute projects effectively, leading to cost overruns.

Maintenance

Maintaining and upgrading capital expenditure (CapEx) assets can be expensive and time-consuming. A significant portion of the budget can be tied to ongoing maintenance rather than allocated to more strategic initiatives.

Limited Flexibility

Traditional CapEx models often involve long-term commitments to specific technologies or infrastructure. This lack of flexibility can make adapting to changing business needs or technological advancements difficult, potentially leaving businesses behind in innovation and competitiveness.

The Shift to Managed IT Services

Managed IT services involve outsourcing various IT functions to a third-party vendor or a managed services provider (MSP). This model encompasses many services, including network monitoring, cybersecurity, data backup, software updates, and help desk support. With an ingrained proactive approach, MSPs actively monitor and maintain IT systems to pre-empt and prevent issues before they arise.

Partnership with a managed service provider is usually based on a subscription-based model, which allows businesses to pay a fixed fee. With such predictable monthly expenses, organizations can better manage their budgets, nullifying the impact of unpredictability in traditional CapEx investments.

How to alleviate the burden of large upfront investments

Benefits of Managed IT Services

The transition to managed IT services offers businesses a strategic advantage by reducing upfront costs, enhancing flexibility, and allowing them to focus on their core competencies while leveraging expert IT support. The benefits include:

Financial Benefits

A predictable cost structure is the most significant financial benefit of managed services for capital planning and expenditure. With a fixed monthly fee, organizations can more accurately forecast their IT expenses, maintain a steady cash flow, and allocate resources without worrying about unexpected costs.

Reduced Upfront Investment

Managed services providers allow organizations to access advanced technology and infrastructure without the burden of significant investments.

Lower Capital Outlay: Unlike traditional IT models that require substantial capital expenditures for hardware, software, and infrastructure, Managed IT services enable organizations to invest in technology without straining their budgets.
Access to Cutting-Edge Technology: By outsourcing IT needs to a qualified managed services provider, businesses can minimize the financial risk associated with large purchases. This access enables them to remain agile in a rapidly changing technological landscape.

Tax Advantages of OpEx vs. CapEx

Managed IT services typically fall under operating expenses rather than capital expenditures. This distinction is crucial when considering tax implications. While CapEx investments are depreciated over time, OpEx expenses can often be fully deducted in the year they are incurred. Deducting OpEx in the same year can provide immediate tax benefits and improve cash flow.

Flexibility and Scalability Benefits

As a company grows, its IT needs often change and expand. New employees, offices, or product lines may require additional servers, storage, or network capacity to support the increased workload. Some businesses witness massive shifts in demand based on the time of year or seasonal variations. Shifts in consumer preferences, new technologies, or industry needs require quick company product or service changes. Managed services providers can quickly provide additional resources, such as servers, storage, or network bandwidth, without delays or overcommitting capital associated with traditional procurement processes.

When comparing in-house IT provisioning to utilizing managed services providers, several vital differences emerge:

Speed and Efficiency: Provisioning in-house resources often involves lengthy processes, including budgeting, purchasing, and installation. In contrast, managed services providers can deploy resources almost instantly, leveraging their existing cloud infrastructure and expertise to meet urgent business needs.
Expertise and Focus: While in-house teams may deeply understand the organization’s needs, they may lack broad technological expertise. MSPs specialize in various technologies and can provide insights and solutions that in-house teams might not have access to, enhancing overall IT performance.

According to IDC, organizations that partner with a managed IT services provider can reduce operational costs by up to 30%. This reduction is primarily due to improved resource management and eliminating inefficiencies associated with in-house IT operations.

Risk Mitigation Benefits

MSPs conduct thorough risk assessments to identify potential vulnerabilities and implement tailored IT strategies that address specific business needs. Other benefits include:

Continuous Monitoring and Support: By providing 24/7 monitoring and support, MSPs can quickly identify and address potential issues that reduce the risk of downtime and operational disruptions.
Incident Response Planning: MSPs develop and implement comprehensive incident response plans to prepare for potential security breaches or IT failures to minimize possible losses.
Streamlined Vendor Management: Organizations can simplify vendor management by consolidating multiple IT services under a single MSP, allowing easier service adjustments and quicker response times.

Optimize Your Cash Management Through Managed Services

Managed Services continue to play a pivotal role in supporting digital transformation activities by offering the right expertise, skilled resources, and strategic guidance. As businesses strive to thrive, managed IT services providers help navigate the complexities of integrating digital solutions into existing processes while optimizing capital expenditures.

The subscription-based model of a managed IT services contract improves financial flexibility and preserves capital for other strategic investments by shifting technology spending from CapEx to OpEx. As market conditions continue to evolve rapidly and cost pressure from economic uncertainty reigns, MSPs can help organizations budget resources accurately, maintain a competitive edge, and anticipate future needs.

Are you looking for a qualified managed services company in Denver? We can help! Talk with our managed services experts today to begin the transition!

White PaperTop Azure Cloud Cost Optimization Tips

The pressure on organizations to digitally transform themselves is at an all-time high. Although implementing the latest enterprise systems and modernizing proprietary legacy systems are part of the game, adopting cloud can accelerate the transformation process like no other technology can. Cloud, with its array of capabilities across availability, flexibility, resiliency, and scalability can help bring organizations up-to-speed with the evolving tech landscape.

When it comes to cloud, Azure is a much sought-after cloud computing service that offers a range of secure, future-ready, hybrid and multi-cloud solutions and opens doors to limitless data and analytics capabilities including unmatched time to insight, scale, and price performance. But if you want to get the best from your Azure investments, you need to constantly monitor usage and curb unnecessary costs, so you can avoid unmanageable and uncontrollable cloud bills.

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Why cloud overspend is so widespread
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Top Azure cloud cost management tips

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