UK companies are more than twice as likely to measure IT
as a cost centre (86%) than French (37%) or German (32%) firms,
according to an independent survey of 300 European IT decision
makers, commissioned by CA.
Even though 31% of French and German firms measure IT investment
against business metrics, just 17% of UK firms follow suit. A
forward-thinking 28% of French firms measure IT as a profit centre,
compared to just 3% in the UK.
The good news for UK IT departments is that they are the most
positive about their contribution to the bottom line and their
relationship with the business. But although 60% of UK firms are
committed to improving this business alignment, the number one
driver is to improve operational efficiency rather than play a more
strategic role.
“The fact the driver is operational efficiency implies that in
actual fact they plan to continue in the ‘cost centre’ role,”
comments Colin Bannister, director of enterprise IT management
strategy for CA’s Western Region.
In contrast, French IT departments pinpoint customer service and
satisfaction as their key driver, while Germany is focused on new
products and services.
The differences between the UK and continental Europe suggest
that IT is seen as a business service in the UK rather than adding
business value.
“If they [UK firms] are telling us they work closely with the
business and they are positive about their contribution then they
are effectively telling us they believe their role is to contribute
efficiencies, whereas in France and Germany they obviously believe
their role is to deliver more strategic business value,” adds
Bannister.