This week I attended a fantastic briefing given by #Gartner senior analyst Hung LeHong. In December 2011 Gartner produced a report on the future of IT, the predictions can be seen here (http://www.gartner.com/it/page.jsp?id=1862714). Everyone that reads that piece will have its own favorite prophesy, mine is this one: By 2015, 35 percent of enterprise IT expenditures for most organizations will be managed outside the IT department’s budget. Why would they predict such a thing? Could it be that other departments are demanding technological functionality that the IT departments are incapable or too slow to respond to? The 80 – 20 rule that has been presented before goes like this. 80% of the time spent by IT departments are strictly for keeping the lights on, (keep the systems running, update patches, backups, etc.). Those activities are important but, to the corporate CFO, that is a cost and not an investment. The other 20% of the time is spent on important new initiatives that will yield business innovation. These innovations will enable new smart business process that perhaps will obsolete others altogether. The digital natives (those born post PC invention) are entering the workforce and replacing the baby boomers (between 1946 and 1964) that have started to turn 65 in 2011. This new generation has grown in a technological period that has seen great advances and of course the birth of the iPOD. Imagine being in your early 20s and being offered a green screen to work with. Hardly state of the art! If the responsibility of the implementation a new CRM or sales application or client support system falls to the shoulder of the traditional IT departments, they will now be held accountable to business offerings that are available on the market. Something like 7 to 10$ per user for email, 30-50$ for CRM. Instead of calculating your true cost in terms of how many servers, how much storage, electricity, software, etc… the Modern IT department should also calculate that cost in terms of how much it costs per user. Most astute CFOs these days know what that cost is, and you should also. If not, Gartner’s prediction could actually become reality or perhaps actually happen even faster than in 2015!
Same “TheBenz” Benzekry