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| Justifying IT spending still a challenge, says IT execs Dec. 22, 2003 By Erwin Lemuel G. Oliva http://www.inq7.net/inf/2003/dec/23/inf_1-1.htm NEXT year, most Philippine information technology managers ranked "justifying technology spending" as their foremost concern, a local survey showed. While they readily acknowledged that IT security was also important, the respondents believed that it would be a challenge in 2004 to push information technology projects that would involve some investment from their organizations. They particularly underscored software development as a "major challenge." The survey was conducted from March to December 2003 by the newly organized group called Society of IT Management Professionals (SITMP). The SITMP is composed mostly of IT professionals managing the IT requirements of organizations The survey involved more than 30 IT managers representing local organizations in the Philippines, according to Robert Gantuangco, president of SITMP and chief technology officer of INQ7.net "IT security is everyone's concern (79.5%) but the top challenges were software development and justifying IT investment," he stressed. Other concerns cited were business re-engineering, change management, e-business, wireless, the lack of funds, project management and implementation, and their data centers. Similarly, technology analyst Gartner said that cutting the IT budget is the wrong tactic for 2004. Based on its "Must Do" for chief information officers and IT directors next year, the analyst indicated that most enterprises expect modest spending on IT next year due to the previous conditions. Gartner advised that IT managers should focus on three strategies next year. First, they should maintain their cost discipline, rationalize, and consolidate further. This means that they should start upgrading hardware bought before 2000 and ageing software, and yet continue consolidating IT infrastructure and applications, then plan for new competences and give most valuable staff an unexpected pay raise. Next, IT managers should assess imminent trend shifts in business and technology, and should prepare to respond. They should make clear technology choices and set policy for the future, stay in direct touch with key technology developments, and anticipate external drivers of uncertainty and complexity. Finally, they should and must invest in mid-term opportunities, but pull back from short-term expedients. This means that they should move towards "real time" infrastructure, create a business process skills competency center, build partnership management competences and processes, and plan to overspend on budget. "IT still has the ability to help drive strategic business growth. IT departments in 2004 should be straining at the financial leash, make sure they don't under-spend their budget and lobby for more resources to make bigger contributions to the business," Gartner said. |
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| 2004 Society of IT Management Professionals (SITMP) |
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| Society of IT Management Professionals |