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FindArticles > News > Technology

AI cost cutting gains ground in back-office IT operations

Gregory Zuckerman
Last updated: October 30, 2025 1:53 pm
By Gregory Zuckerman
Technology
6 Min Read
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Gartner finds AI is saving the most money in areas of the business many customers never see. A recent Gartner survey of infrastructure and operations leaders shows that 54% are already using AI to cut spending — and the most reliable savings are turning up in the boring, back-office use cases rather than the bright, flashy, customer-facing applications one might expect from AI.

Practical approaches target I&O inefficiency and sprawl

Practical AI lands where budgets live. Gartner’s insights focus on the enterprise plumbing: infrastructure and operations. These groups are aiming AI at gnarly, expensive inefficiency that refuses to vanish: routine incident remediation, cloud resource sprawl, capacity planning, configuration drift. The return on investment is more solid, less speculative as a consequence.

Table of Contents
  • Practical approaches target I&O inefficiency and sprawl
  • Evidence shows back-office AI outperforms flashy uses
  • Where the savings are: cloud, AIOps, and automation
  • Governance and security gaps can erase financial gains
  • Start small: pilots tied to ROI, cost, and observability
  • Infrastructure-first strategies deliver dependable AI savings
A 16:9 aspect ratio image showing a chart titled Estimated productivity gains from generative AI with five categories: Launch of new products/features, Customer service/contact center, Sales and marketing, Product development, and Back office/other productivity. Each category lists two statistics related to productivity improvements from AI.

There are budget constraints underlying this prudence, too. Gartner finds that half of the survey respondents list math problems as the most significant impediment to adopting AI, while another 48% claim integration difficulties between systems. The practical conundrum of needing AI to conserve income while lacking access and clean roads to implement it has directed leaders toward non-controversial automations that fit into current procedures and show rapid results.

Gartner recommends starting with small but high-value testing that links up with current tools and workflows. One possibility the company explains is, in one situation, to utilize generative AI to assess cloud invoices, resource utilization, and architectural decisions to see where the organization throws money around — a process that previously took days of investigation from FinOps and site reliability employees.

Evidence shows back-office AI outperforms flashy uses

The survey is highly representative of a broader trend. According to MIT’s research, approximately 95% of companies that are currently experimenting with AI report little to no financial success, whereas the remaining 5% tend to focus on back-office automation, namely, IT service management, procurement, and compliance monitoring — that is, on the areas with more structured data, more repeatable processes, and less complicated, more easily quantifiable outcomes. As Forrester has previously coined, this trend is “functional” AI.

In other words, it is less about moonshots and is more about boring but dependable wins: ticket prioritization, capacity hotspot prediction, optimizing backup schedules, or auto-rightsizing compute. None of this is glamorous — but it does move the metric fundamentally.

Where the savings are: cloud, AIOps, and automation

But where are the savings, really? They almost always fall within three categories:

A professional infographic titled Estimated productivity gains from generative AI showing five categories: Launch of new products/features, Customer service/contact center, Sales and marketing, Product development, and Back office/other productivity. Each category lists two statistics related to productivity improvements from AI, such as 40% reduction in writing time for job postings and 70%-90% reduction in employee time spent on content creation. The source is Bain & Company.
  • Cloud cost governance. Models parse billing data, map spend against business units, and suggest rightsizing or reservation strategies, detect idle assets, negotiate on performance vs. cost, or enforce policies before savings has time to erode.
  • AIOps and observability. Here, AI deduplicates, clusters events, correlates across logs and metrics, groups alerts, and suggests fixes — with the added benefits of automatic rollback suggestions, noise suppression, and early anomaly detection on networks and storage.
  • Automation of I&O grunt work. Patch orchestration, configuration compliance, endpoint hygiene, backup verification — with AI agents and copilots to put guardrails around drudgery, they free engineers to focus on architecture and resilience.

These use cases work because the data is accessible, the benefits are quantifiable, and the success metrics are clear; lower cloud bills, fewer tickets, faster mean time to resolve, tighter compliance windows. Baseline costs today; prove change in weeks, not quarters.

Governance and security gaps can erase financial gains

Budget and integration are not the only constraints. A recent SAS and IDC survey showed that around 65% of organizations are using AI for consumer engagements, but only 40% of them have a robust safety policy or a clear set of guardrails. Projects die for lack of governance; or get throttled due to safety concerns. Security lapses are a pitfall for the value you want to create.

According to the National Cybersecurity Alliance, 43% of workers have recently shared unprotected, AI-sensitive data, which is an enabler/culture vs. controller problem. That level of security slip is enough to write off any cost savings with a single compliance incident.

Start small: pilots tied to ROI, cost, and observability

The fix is methodical: narrow pilots with explicit risk boundaries, every AI action logged, output tied to a quantifiable financial target. Gartner recommends iterative rollouts and flexible upgrades. That translates to choose a model which is fit for the purpose, connect it to cost and observability data, instrument feedback loops so that recommendations become better and the savings compound.

Start where proof is fastest: cloud cost analysis, ticket triage, auto-remediation for frequent incidents. Add a target — “reduce 20% in these 3 categories” — time-box pilots to prove a payback. Bring finance and security leaders in early to validate ROI and guardrails.

Infrastructure-first strategies deliver dependable AI savings

The lesson now emerging seems obvious: the most reliable AI savings come from a deliberate infrastructure-first approach. And here’s the surprise considering that the media continue to write the headline stories about stuck projects: as the I&O teams who automate the fundamentals rebalance budgets behind the scenes — and lay the groundwork for grander AI aspirations when the amusement wears off and the checks catch up.

Gregory Zuckerman
ByGregory Zuckerman
Gregory Zuckerman is a veteran investigative journalist and financial writer with decades of experience covering global markets, investment strategies, and the business personalities shaping them. His writing blends deep reporting with narrative storytelling to uncover the hidden forces behind financial trends and innovations. Over the years, Gregory’s work has earned industry recognition for bringing clarity to complex financial topics, and he continues to focus on long-form journalism that explores hedge funds, private equity, and high-stakes investing.
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