These days, you can’t run a competitive, active business without leveraging technology in some manner. Technology and business have become pretty much full partners.

It’s no wonder, then, that IT spending has grown so much in recent years. But is it wise spending? In the end, there’s no reason why IT dollars could be spent more efficiently.

Here are three ways you can approach your IT budget and get the most for your money.

Hardware upgrades

Getting your hands on the best equipment for your business is a significant part of reducing waste in your IT budget.

How many of us have had to sit in front of a computer that operates at a crawl? There are a lot of reasons why computers run slow. Remember, though, we demand more from our machines these days to handle graphics, manage the web, and work online.

Old computers, running old system software, are not the best tool to keep up with today’s needs. Instead of rendering a graphic in less than a second, they might be taking your outdated computer hardware several minutes. Old, unsupported system software may not be work with current cloud-reliant software. Or there may be compatibility issues with peripheral devices such as scanners or cameras.

How much productivity are you losing due to computer slowdowns, crashes, and other failures?

Bringing in new hardware can cut the time it takes to perform tasks dramatically, thus saving you time and money. While the initial payout for up-to-date hardware or software may be a little high, the more efficient workflow should provide a quick return on that investment.

Review vendor contracts

Simply because a vendor’s service option looked like a good idea a few years ago doesn’t mean it’s still the best service option for you now. Are you still satisfied with the quality of service? Does the service cover your current needs? How do they cost-compare with similar services available elsewhere?

Every couple of years, review your vendor agreements and see if you can’t negotiate a better deal or combine with additional services for a lower rate. Examine what your alternatives are with another, less expensive service provider.

Migrate to the cloud

With internet connectivity continually getting faster and more reliable, moving your work to virtual spaces has become a more viable option for many businesses. Moving many business operations online means not having to cover the costs to buy, lease or maintain additional equipment, servers, software licenses, and more. Word and data processing, programming, design, and accounting can all be performed using online software run from the cloud.

In addition, virtual spaces make it easier for employees to collaborate on projects and work from any location with a secure internet connection. Data loss becomes less of a problem and, with proper password protocols, entirely safe. You’ll save a lot of time and payroll by making it easier for your employees to work online.

Are you worried about catastrophic server failures, damage from fire or flood, or issues related to power surges or losses? Having a large part of your business operate on the cloud means less disruption of your business should local problems occur.

Finally, moving the bulk of your infrastructure online saves you space and energy costs.

Auditing your IT

Take some time to assess your IT and see where these suggestions for making the most of your IT budget apply to you and your business. Optimizing your tech and how you use it will not only save you money but boost productivity and profit.

It can’t get much better than that.