Changes to the FinOps Framework: ITAM as an "Allied Persona"

The FinOps Framework has recognised the critical role of ITAM by including it as an "Allied Persona." This change acknowledges the importance of ITAM in managing and optimising IT assets, ensuring that financial and operational efficiencies are achieved across the organisation. ITAM professionals are now seen as key stakeholders in the FinOps ecosystem, working alongside FinOps teams - as well as finance, ITSM, and engineering to - drive value.
 

Expanding Beyond Public Cloud: Covering SaaS and On-Premises Software

FinOps is also broadening its horizons by expanding its focus beyond public cloud environments to include SaaS and on-premises software. This expansion reflects the growing complexity of IT environments, where organisations increasingly rely on a mix of cloud services, SaaS applications, and traditional on-premises software. By extending its reach, FinOps aims to provide a comprehensive approach to managing and optimising costs across all types of IT assets.

This was a key element of the Day 1 Keynote at FinOps XE event last week where JR Storment discussed these changes and the positive impact it can have on increasing business value for organisations.
 

Positive Impacts of ITAM as an "Allied Persona"

The inclusion of ITAM as an "Allied Persona" in the FinOps Framework is a positive development for ITAM professionals. It elevates the role within an organisation, providing greater visibility and recognition of their contributions. This change fosters closer collaboration between ITAM and other departments, leading to more integrated and effective asset management strategies. ITAM professionals can leverage this opportunity to showcase their expertise in optimising asset utilisation, reducing costs, and ensuring compliance. It also enables ITAM professionals to demonstrate the key role they can play in driving positive cultural change within a business.
 

FinOps Expanding Beyond Public Cloud

The expansion of FinOps to cover SaaS and on-premises software can also be beneficial for ITAM professionals. This holistic approach to asset management ensures that all IT resources are accounted for and optimised, leading to better financial, operational, and cultural outcomes. ITAM professionals can embrace this change and play a crucial role in identifying cost-saving opportunities and improving the overall value of IT operations.

While the expansion of FinOps to include SaaS and on-premises software can bring comprehensive cost management and business value, it also presents several challenges for ITAM professionals. One significant issue is the potential for internal politics within the organisation. As FinOps teams begin to manage areas traditionally overseen by ITAM, there could be turf wars and power struggles over responsibilities and decision-making authority.

Moreover, ITAM professionals might feel their roles are at risk, leading to job insecurity and decreased morale. The introduction of FinOps into their domain could be perceived as a threat, potentially undermining their expertise and contributions. To mitigate these issues, it’s crucial for organisations to foster collaboration between FinOps and ITAM teams, ensuring that each group’s strengths are leveraged effectively without stepping on each other’s toes. 

The need for areas such as software licensing expertise, process creation, and governance frameworks is only going to increase – and many ITAM professionals are well placed to deliver these as the scope of FinOps increases.

Additionally, this overlap might lead to duplication of efforts, where both FinOps and ITAM teams are working on similar tasks, resulting in inefficiencies and wasted resources. This redundancy can also cause confusion and miscommunication, making it harder to maintain a clear and cohesive strategy for asset management.
 

Changes ITAM Professionals Should Make

To adapt to these changes, ITAM professionals should consider several adjustments in their roles and approaches:

Enhance Collaboration: ITAM professionals should seek to enhance their collaboration with FinOps teams, and other departments. This involves aligning asset management strategies with broader organizational goals and establishing clear boundaries to avoid duplication of efforts. Regular communication and joint planning sessions can help ensure that both teams work synergistically rather than competitively.

Invest in Training and Development: ITAM professionals should invest in training and development to acquire the skills needed to collaborate and advance. This includes understanding the financial aspects of SaaS and on-premises software, as well as the tools and methodologies used by FinOps teams. Ensuring you have a good understanding of cloud computing technologies is important too.

Leverage New Tools and Technologies: Exploring new tools and technologies that can help track and optimize SaaS and on-premises software is crucial. ITAM professionals should stay updated on the latest advancements in the tool markets across ITAM, SaaS, and FinOps and consider integrating these tools to improve efficiency and accuracy.

Foster a Collaborative Culture: To mitigate the risk of internal politics and job insecurity, ITAM professionals should foster a collaborative culture within the organization. This involves promoting the value of ITAM’s expertise and contributions and working together with FinOps to achieve common goals. Building strong relationships and trust between teams will help reduce tensions and create a more cohesive working environment.

By making these adjustments, ITAM professionals can navigate the changes brought by the FinOps Framework and continue to add significant value to their organizations.
 

Conclusion

The recent changes to the FinOps Framework, including the inclusion of ITAM as an "Allied Persona" and the expansion beyond public cloud, present both opportunities and challenges for ITAM professionals. By understanding these changes and adapting their roles and approaches accordingly, ITAM professionals can enhance their value to the organisation and contribute to more effective and efficient IT asset management.

Overall, this can be a very exciting moment of opportunity for professionals everywhere. As ITAM & FinOps move closer together, the possibilities for convergence and amplified success only increase.  If you would like to discuss how Synyega can help with any of the issues or points covered in this article, simply click on the link below to arrange a call with Rich and the team and we will do the rest!