Budget season is upon us. As businesses prepare their annual budgets they must respond to new business conditions in a highly competitive world. Technology spending, and the IT budget will influence the budget planning process as companies implement new processes and technology to support company growth and revenue opportunities.
In 2017 and 2018 Tech Pro Research surveyed technology professionals to see how the 2019 budget differs from last year, where money will be spent, and how much tech professionals feel the IT budget is valued by executive leadership.
Survey respondents from both 2017 and 2018 answered the following questions:
- What percentage of the overall corporate budget is allocated for IT?
- What percent of corporate technology spending comes from outside the IT budget?
- How can IT vendors better assist you with your budgetary process?
- How much do you anticipate your organization’s budget for the next fiscal or calendar year will be?
- How does your organization’s budget for the upcoming year compare with the budget from the past year?
- Compared to other business units within your organization, how would you rate executive management’s opinion of the importance of the IT budget?
- What are the top priorities in your organization’s budget for the next fiscal or calendar year?
Over half of the survey respondents said that their organization would dedicate more funding to IT. Security continues as a major corporate focus, according to 63% of survey respondents. Other areas of 2019 IT budget prioritization include cloud services, with 48% ranking it as a priority; and internal employee training, with 44% ranking it as a priority.
Excitement about how new technologies can transform the enterprise and improve results motivates IT and end users organizations outside IT to spend more on IT.
While this may seem like a win for IT vendors, businesses will expect more rapid return on investments or recoups on cost of ownership than in the past. Further, businesses will expect technology vendors to conduct successful proofs of concept before they buy.
To find out more about tech budgeting and spending for the upcoming year, download the full report.
Every month, Tech Pro Research releases an original research report on a different topic related to business technology. Here are some past reports:
- IT budget research 2018: Funding and spending priorities
- Digital transformation research report 2018: Strategy, returns on investment, and challenges
- Enterprise IoT research: Uses, strategy, and security
- Cybersecurity strategy research: Common tactics, issues with implementation, and effectiveness