Thursday 28 Mar 2024
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KUALA LUMPUR (Nov 9): Chief information officers (CIOs) and information technology (IT) leaders must take action to accelerate time to value and drive top- and bottom-line financial impacts of digital investments, according to Gartner Inc.

In its annual global survey of CIOs and technology executives released on Tuesday (Nov 8), Gartner vice-president analyst Daniel Sanchez-Reina said the pressure on CIOs to deliver digital dividends is higher than ever.

“Chief executive officers and boards anticipated that investments in digital assets, channels and digital business capabilities would accelerate growth beyond what was previously possible.

“Now, business leadership expects to see these digital-driven improvements reflected in enterprise financials,” he said.

Gartner said that in 2023, CIOs in Europe, the Middle East and Africa (EMEA) expect their IT budgets to increase 4.4% on average, which is lower than the projected 6.5% global inflation rate.

It said this means that CIOs will have less funding available than last year.

The firm said a triple squeeze of economic pressure, scarce and expensive talent, and ongoing supply challenges is heightening the desire and urgency to realise time to value.

The 2023 Gartner CIO and Technology Executive Survey gathered data from 2,203 CIO respondents in 81 countries and all major industries, representing approximately US$15 trillion (RM70.99 trillion) in revenue/public-sector budgets, and US$322 billion in IT spending.

In EMEA, 780 CIOs participated in the survey from 51 countries and all major industries, representing nearly US$5.9 trillion in revenue and US$78 billion in IT spending.

Sanchez-Reina said that overall, CIOs must prioritise digital initiatives with market-facing, growth impact.

“For some CIOs, this means stepping out of their comfort zone of internal back-office automation to instead focus on customer or constituent-facing initiatives,” he said.

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