Flickr Photo: Steve WamplerI know that -- if you haven't had to already -- many of you are right in the middle of figuring out how to cut your IT budget for the next fiscal year. It stinks, but you have to do what you have to do.

That said, you want to make sure the cuts you make are smart, and that they set you up for success when your budget can expand again.

That was the theme of a webinar I attended with the folks from Gartner called "Emergency IT Cost Cutting." What DO you do when your boss walks in and asks you to shave 25% from your budget?  

Being me, I tweeted throughout the webinar, which also sparked a couple great conversations. Here are some of the highlights:

• If you aren't articulating how IT relates to your mission, expect leadership to cut deep. Before you get out the scissors, know this: If you aren't making your value to the organization clear, there will be no mercy when it comes to cuts. You need to articulate how IT relates to mission, over and over again. See Chapter One of our book.
• This prompted @jasonricci (CIO at the Energy Foundation) to reply:  IT shouldn't have to "articulate" anything. If IT is not making a noticeable difference in how your org works, then it's failing. This, I replied, is true:  Show don't tell. But Jason is lucky to work at an org where IT already has a seat at the leadership table. As he said in a later tweet: "Where I come from IT = Leadership, sounds like we have some work to do across the rest of the sector." True that, Jason!
• The easiest thing you can do right now to save IT dollars is to renegotiate contracts and procure more carefully. Your vendors are also feeling the recession. They would much rather keep you as a paying cutomer at 85% of your current rate than lose you altogether. So we're in a position of power when it comes to contract negotation. As my mom always says: You can't get what you don't ask for.
• The next easiest way to reduce IT costs is to evaluate current IT processes and adjust where you can to save money. In other words, look at all the things your IT staff does and ask "Is there a better way to do that?" and "Do we REALLY need to do that." This might lead to you to decisions like "We don't support the iPhone" -- and mean that you have to train your staff to say "no" well.  
• Or, as better put by @peterscampbell (CIO at EarthJustice) Org alignment means that priorities are shared, allowing IT to not say "no" as much as "we're focused on this mission priority". Thanks Peter, for working 140 characters better than I ever could!
• Reducing costs may also mean you need to push IT costs out to future years where you can. Get another year out of laptops/software, etc.  This sounded familiar to @gartrell, who responded simply: Story of my life.
• Then, evaluate joint IT/Business processes. This may mean actually INVESTING in tech to reduce costs for business units. Look at the places where tech moves from the back office to the programs of your org. Would an IT investment now save money over time? Or, if an IT service is part of a specific program, see if you can shift the budget to that program, and out of IT.
• Finally, and most difficult: Enable innovation to do your business in new ways. This is where the rubber really meets the road. The best case scenario would be one where you use IT to reinvent how your organization meets its mission, saving money and improving service as part of the plan. 

Though the title of the event suggested the dire straits of "these economic times", the advice really has nothing to do with our current economy. You may be asked to tighten your IT belt at any time, for any reason, and the real lesson applies whether you're looking for cuts or the right way to expand.

IT belongs at the leadership table.  IT can have a tremendous impact on how we change the world, but the opportunities for innovation and impact decrease in direct relation to the number of layers on the org chart between you and senior leadership. 

IT is not a cost center. It's a force multiplier, when done right.