2014 it budget outlook research findings © 2014 property of ubm tech; all rights reserved

2014 IT Budget OutlookResearch Findings

© 2014 Property of UBM Tech; All Rights Reserved

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All 289 respondents to our 2014 IT Budget Survey are involved in approving, defining, managing, or providing input into their organizations’ IT budgets. While the percentage reporting business units with tech budgets outside IT’s purview is down seven points from last year, and overall tech spending edged up slightly, challenges remain.

>> 54% say contractors comprise less than 10% of their IT staffs; 30% have no non-W2 workers.>> 39% outsource less than 20% of such ops as application development or help desk, the same as last year. The use of outsourced operations is holding steady.>> 32% say 10% or more of the total organizational operating budget is spent on IT, up from 30% last year. Top business unit expenditures: commodity gear like printers, at 44%, and cloud, at 39% — that’s up from 28% last year.>> 28% will see IT budget increases of 5% or more for 2014; 33% will stay flat.>> 25% say IT gets involved in outside technology spending only when invited to do so by business units.>> 58% will charge back to business units 40% or more of the IT budget; 20% have chargeback rates of 80% or more. And 32% say immediate chargebacks make business units somewhat or far more likely to use IT services.

In this report, we discuss how to cope with changes in the budgeting landscape and partner more effectively with business units.

Respondent breakdown: All respondents are from organizations with 50 or more employees; 30% have 5,000 or more employees; 22% are over 10,000. Financial services, healthcare, and government are well-represented, and 58% are IT director/manager or IT executive management (C-level/VP) level.

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Executive Summary

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Service-based Budgeting Up Slightly


CIOs Regaining Control?


Who Decides When Oversight’s Warranted?


Centralization Down


Printers, PCs, USBs, Oh My


Budget the New 80/20?


Outsourcing Holds Steady


Few Contractors: The Snowden Effect?


Quarterly Budgeting Gains Ground


Lack of Nimbleness


As Slush Funds Shrink, CIOs With Tin Cups?


Lack of Metrics


No Clear Trend on Percentage Allocated


Optimistic Outlook


Where Governance Exists, It’s Influential


Long-Range Planning Up


Charging Back Seems Stalled


Few Break 80% Barrier


LOB Leaders Like Transparency


“Showbacks” a Middle Ground


Excel Still Rules


IT as a Service Not a Budget Factor


Businesses Open To Funding


Job Function: Breaking Down the Outlook


Satisfaction With Process By Role


Satisfaction With Service By Role


Job Title


Industry


Revenue


Company Size


Research SynopsisSurvey Name InformationWeek 2014 IT Budget Survey

Survey Date October 2013

Region North America

Number of Respondents 289 at organizations with 50 or more employees

Purpose To determine practices, perceptions, and procedures surrounding IT budgeting in enterprise environments

Methodology InformationWeek surveyed business technology decision-makers at North American organizations with 50 or more employees. The survey was conducted online, and respondents were recruited via an email invitation containing an embedded link to the survey. The email invitation was sent to qualified InformationWeek subscribers.

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2014 it budget outlook research findings © 2014 property of ubm tech; all rights reserved

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