business technology optimization

Business Technology Optimization (BTO), is an enterprise software product category focused on helping businesses ensure that every dollar invested in information technology, every resource allocated, and every application in development or production meets business goals. BTO is part of an emerging business philosophy to manage IT resources as a business rather than as a service bureau.

Unlike software offerings and methodologies that focus on internal IT processes, BTO optimizes the strategic functions between technology and business. The depth and breadth of BTO software allows technology executives to better manage a wide range of strategic IT functions that directly impact business results. Effective project and portfolio management, testing new SAP deployments, or reducing the mean time to repair custom J2EE applications are just a few examples.

BTO can result in direct bottom-line results

Many of those who participated in the survey indicated that using BTO could result in 15 to 20 percent savings in their applications budgets, making more money available to invest in other core areas. Some also noted that an absence of BTO for business applications and maintenance costs is taking a toll on corporate manpower and financial resources.

In the context of the Yankee Group survey, BTO, according to Gardner, has an admittedly broad definition that goes beyond other popular metrics, such as total cost of ownership and return on investment. He said BTO is an alignment between the goals of businesses and the goals of the IT infrastructure within these businesses.

Although she said BTO is a solid approach for managing different organizational IT-related issues, Lena L. West, founder and CEO of xynoMedia Technology, based in Yonkers, N.Y., stressed that it isn't a one-size-fits-all solution.

"Just like CRM is not for every company, BTO may not be either," said West. "If you have a mid-cap company or a Fortune 500 company, maybe BTO is the way to go. But if you're looking at a smaller company, maybe that's not the best use of their energy or their time."

For smaller companies, she added, a better option might be TechMapping, a procedure West said her firm uses to determine what kinds of technology are going to support business goals.

BTO is based on two key principles:

· Strategic initiatives such as business agility, business application deployments and upgrades, and compliance are most likely to succeed if they are focused on business outcomes.

· IT organizations that take a holistic, lifecycle approach can bridge the gaps between IT strategy, applications and operations teams.

By following these principles, you can help bring IT into full alignment with the business and ensure IT investments deliver maximum value.