The report highlights what many in the industry have long suspected: technology spend outside of the IT department is growing rapidly among UK organisations. Almost half (45 percent) of IT spend is now happening outside of the IT department, and as software-driven business transformation becomes the norm and businesses use new applications to engage their employees and customers, this figure is expected to reach 47 percent in the next three years.
Furthermore, IT leaders in the UK are not doing enough to leverage technology to measure the impact of IT on the business and to help the lines of business understand IT’s value. Few frequently look at the impact of shifts in investments (17 percent), perform scenario planning and 'what-if' analysis (28 percent), or assess current investments and understand how resources are being deployed across projects (31 percent).
Commenting on the study findings, Martin Ashall, CTO, CA Technologies UKI says: “Software and technology are disrupting business models, creating new businesses from the ground up and even transforming entire industries. Customers are demanding new applications and a different experience, and employees require new tools to succeed and be productive. As a result, we are seeing a seismic shift in the way technology is seen, purchased, used and deployed across UK organisations. IT departments must evolve from single-source providers to business consultants, brokers and advisors, or risk becoming marginalised in the technology-driven economy.”
Among the other study findings:
- CIOs have made strategic progress since 2011:
- 89 percent of UK CIOs report to the CEO. This is the highest figure anywhere in Europe and 24 percent more than the European average. It is also a 49 percent increase on the worldwide average figure in 2011.
- IT needs to evolve into a strategic business partner
- 39 percent of UK respondents believe the primary role for IT is being a strategic business partner and giving technology advice to the business on how to achieve its goals. This is the highest figure in Europe.
Vanson Bourne conducted the CA Technologies-sponsored study of 1,300 senior IT leaders in financial services, healthcare, manufacturing, public sector and telecommunications in ten European countries (France, Germany, Israel, Italy, the Netherlands, the Nordics, Portugal, Spain, Switzerland and the UK) and 12 other countries around the world in May through July 2013. The study’s respondents assume IT executive, management, project lead or enterprise architect positions at enterprises with revenues of $100 million or more.