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Technology: Business Execs End Run Traditional IT

By Dick Weisinger

Business execs increasingly are dissatisfied and frustrated with their internal IT staff and they’re building new technical teams outside of IT on the business side to take on new projects directly relevant to their business.  According to Forrester, there is a huge gap between the value that IT executives say that they bring the business versus the perception of IT from the business executive side.  IT’s self perception is much higher than how they are viewed from outside of IT.  When asked whether IT plays an important role to the business, the gap between IT and business executive responses was more than 25 percent.

Business executives think that their IT staff lacks innovation.  In particular, R&D and marketing groups give their IT support low marks.  And a telling sign is that the number of business units that now control their own IT staff has doubled.  And 37 percent of business units say that they plan to directly hire additional direct technical team members over the next year.

The Forrester report concluded that  “The research highlights a gap between what IT regards as value for business and what the business actually requires…  The CIO will potentially be relegated to managing the interfaces to the legacy systems of record and managing the underlying infrastructure.”

“Without the business signing up for aggressive app rationalisation, IT can never do enough server virtualisation to significantly impact the budget. IT is just re-arranging the deck chairs on the Titanic if it does not engage the business on eliminating applications.”

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