New 2013 IT budget benchmarks from CEB
, a member-based advisory company, indicate that CIOs expect total IT budgets to increase 1.8 percent, roughly 50
percent less than they did in 2012. Despite
economic woes, European organizations are expecting a 2 percent increase in IT
budgets. The primary driver of total budget growth comes from increases
in operational expenditures of 2.5 percent. Capital expenditure budget
growth has stalled.
Two-thirds of CIOs expect to see
increases in operating expenditures in 2013, while one-fifth plan to reduce
them. CIOs expect to allocate funding increases to projects that improve
employee productivity through better insights, collaboration and mobility, and
to increase IT's delivery flexibility and efficiency.
CEB's survey is based on more than
180 companies representing $52 billion in IT spending. Findings indicate that CIOs will
double down on investments in mobile applications and information management to
drive employee productivity in 2013.
-- Spending on mobile
applications will grow 50 percent in 2013. CIOs will concentrate both
on developing new mobile applications and making sure existing applications are
ready for the mobile environment. This does not include funds spent to
supply employees with mobile devices or marketing funds spend on
mobility.
-- CIOs will continue shifting
spending from process automation (30 percent) to information
management (32 percent) projects. Information management projects are
considered those that deal with business intelligence, collaboration or
customer interface.
Additionally, CIOs are expected to
increase spending to make IT delivery more flexible and efficient:
-- Spending on the cloud will increase to roughly 7 percent of total IT
budgets. Software-as-a-Service (SaaS) will receive the largest share of
spending, followed by Infrastructure-as-a-Service (IaaS).
-- Seventy-five percent of
organizations that offer some form of end-to-end IT services plan to devote as much
as 30 percent of their IT operating expenditure to this delivery model.
More information on IT budgets can be found at www.SupportIndustry.com
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