Enterprise Technology Projects Shift Away From IT: IDC
The IDC report also noted that as today’s business executives are more tech savvy, business executives are spearheading more IT projects.The majority (61 percent) of enterprise technology projects are now funded by the business rather than the IT department, and IT spending driven by the functional business areas will continue to outpace IT spending by the IT organization in the future, according to a survey of 1,200 business executives conducted by IT research firm IDC. In fact, today’s line-of-business employees are looking more and more like an extension of the IT department as, on average, 8 percent are technical personnel. The survey also found that IT continues to be a strong partner to its business colleagues. According to respondents, 85 percent said that compared to three years ago, IT is becoming a more valuable partner to their functional area. Overall, marketing took the top position with a five-year compound annual growth rate (CAGR) of more than 9 percent. "Technology has long been central to improving business processes, enabling greater speed, efficiency and reliability," Meredith Whalen said in remarks made at IDC's Global Regional Advisory Council event. "As businesses embrace the third platform, built on cloud services, big data analytics, mobile computing and social networking technologies, they are taking the critical first steps toward business-process transformation and, in some cases, business-model transformation. With such high stakes, the business is increasingly taking a front seat in technology initiatives."
The report also noted that as today’s business executives are more tech savvy, have easier access to technology through the cloud and are under pressure to implement new technology initiatives more quickly, it’s not surprising that line-of-business executives are spearheading more IT projects.