1. Budgeting Process and Approach: Advice and Insight From Your Peers Mal Mead, Chief Information Officer Sedgwick, Detert, Moran & Arnold Werner Gehrke, Information Technology Director Archer Norris Maryanna Bell, IT Director Steefel, Levitt & Weiss ILTA Northern California Regional Event San Francisco, September 27, 2006

2. An example of a bad budget

4. Dont let the tail wag the dog Strategic Plan Budget

5. Your Budget Should Reflect Your Strategic Goals Maybe your firms got a overall strategic plan Maybe Not Maybe you should just address improving your departments performance via the budget

6. Gap Analysis Uses a graphical representation to highlight SWOT (Strengths, Weaknesses, Opportunities, Threats) Compares firms performance to previous year, other firms, or the state of technology Focus on graphics and on gaps makes it easy to get the attention of upper management Also a good tool for sharing evaluation with IT staff

8. Other Criteria Desktop OS PCs Notebooks Printers Applications WP DMS CRM Email Intranet Extranet Internet Lit Support Legal Research

9. More Criteria Administration Financial Time Entry Budgeting Conflicts Docketing HR Records Communication Telephone Voice Mail Video Conferencing Remote Access

10. But wait, theres more… Service Help Desk Training Staff Quality Vendor Relations Budget Management Project Management 39 total criteria, plus some I would add PDAs More variations on Practice Support

11. Going from graphs to numbers

13. One more thing: can you walk it like you talk it? Do your people resources match your budgetary resources Do you have a portfolio of projects that you can actually accomplish in the coming year? Should you break down projects over multiple years?

16. Why plan? Allows you to set the agenda by defining the categories you want to evaluate and budget for Begins to develop a culture of project management – the notion that everything cant be done at once, but that over time you can get there Keeps management focused

17. Example of Big Firm Budgeting