Two Thirds of UK IT Budgets Will be Allocated to Innovating New Products and Services by 2017, Global Study Reveals


IT Leaders Need to Better Align Themselves with the Business, as Lines of Business Now Driving Almost Half of All IT Spend

Ditton Park, UK, 16 April 2014 – A new CA Technologies (NASDAQ: CA) study reveals that in three years’ time, almost two-thirds of the IT budget of UK organisations will be allocated to innovating new products and services. According to the study carried out by Vanson Bourne, “TechInsights Report: The Changing Role of IT and What to Do About It,” 51 per cent of respondents also believe IT leaders need to be better aligned with the business, in the face of disruptive technologies such as Cloud, Big Data and Mobility. This is the highest figure anywhere in Europe.

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.

Survey Methodology

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.

Press Contacts


Carolann Grandison

Octopus Communications
Phone: 01753 827252

ABOUT CA TECHNOLOGIES

CA Technologies (NASDAQ:CA) creates software that fuels transformation for companies and enables them to seize the opportunities of the application economy. Software is at the heart of every business in every industry. From planning, to development, to management and security, CA is working with companies worldwide to change the way we live, transact, and communicate – across mobile, private and public cloud, distributed and mainframe environments. Learn more at www.ca.com.

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