This is a complete guide to IT budgeting best practices. Find out the latest trends with our detailed blog post.
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IT Budgeting Statistics
Total IT spending among organizations this year is expected to increase by 3%, which is significantly more than last year’s 1.8% increase.
Top Industries for Tech Spending Increases
Thirty-eight percent of organizations launched a portfolio approach to IT budgeting last year. Further, 36% of global organizations are expected to allocate at least 2% of their total IT spending on mobile apps, up from just 14% of global organizations in 2012.
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IT Budgeting Trends
With CIOs ascending to the strategic leadership table, spending on innovation and business opportunities have grown to represent more than one-third of overall IT budgets, which is up from about one-quarter in 2009.
Programmers and developers will rank #1 in terms of personnel budget priorities, followed by project managers, help desk and tech support, software engineers, and architects.
Tech spending is primarily focused on the implementation of new IT apps and infrastructure, followed by business process improvement through the cloud, consolidation, and other tech innovations.
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IT Budgeting Best Practices
Think Like a VC
Given tech’s increasing prominence within organizations, CIOs need to view themselves as portfolio managers who evaluate individual and aggregate performance over time, especially with respect to resulting value, risk and reward.
Hedge Your Bets
Take an initially conservative approach on new tech investments which still allows for innovation, but introduces checkpoints to measure whether milestone objectives are being met along the way.
Benchmark Your Spending
Present comparative assessments of organizations of similar size and sectors to bring budget influencers up to speed on current industry standards.
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