How GM Cuts IT Operating Costs

CIO, March, 2004

How do you continue to cut IT costs when you've already cut to the bone?

Daniel McNicholl, chief strategy officer of information systems and services at General Motors, explained how in a recent interview with CIO Executive Editor Christopher Koch.

CIO: In a recent talk, you said that in the past six years your overall IT budget at GM has gone down from $5 billion to about $3 billion.

Daniel G. McNicholl: But the investment part of the budget has gone up. Break the total IT budget into two major areas—investment and operating cost. We were focused on reducing operating cost and using that as fuel to put into investments for both new applications and new infrastructure, and giving money back to the company. For every dollar you save, you put a third in on...

Read the full article with a Free Trial at MyWire.

Premium Content Partnership | MyWire provides an in-depth online archive library of reference works.