As businesses increasingly rely on technology to drive operations, boost productivity, and enhance customer experiences, IT leaders face mounting pressure to manage budgets while delivering innovation.

The challenge is to maintain a balance between investing in powerful technologies like cloud, AI, and cybersecurity without overspending.

CIOs and technology leaders must make strategic decisions to identify high-impact use cases, maintain visibility over IT expenditures, and leverage automation to prevent escalating cloud costs.

Here are insights from four technology executives on how they manage IT budgets effectively:

Feroz Merchhiya, CIO at the City of Santa Monica: To make the most of IT investments, it's crucial to focus on existing assets and identify actual gaps rather than getting distracted by the latest technologies. Technologists are often drawn to new innovations, but having a clear use case is essential before investing.

Dan Priest, Chief AI Officer at PwC, US: One common mistake is to allocate funds for AI experiments without tracking the return on investment (ROI). It's important to connect successes to specific AI investments and identify areas where adjustments are needed in strategy or implementation.

Jenny Lin, Global Chief Architect at Broadridge Financial Solutions: Automation is key to controlling costs. By automating settings, creating guardrails, and ensuring data transparency, decision-makers can make informed choices. Implementing FinOps best practices with the right processes and people helps manage spending effectively.

Tracy Woo, Principal Analyst at Forrester: A straightforward way to manage cloud costs is to establish regular cloud cost reports for executives. This approach ensures that CIOs and CFOs stay involved in financial discussions, increasing visibility and accountability across the organization.