Recently in 80 - IT & Telecom Spend Category
Overall, telecommunications companies spend 11% of their turnover on IT & telecom. This is a factor of 6 greater than the all UK value. Large telecom firms commit 13% of their turnover whilst for those with 10-49 staff it is 4%.
Source: IT & Telecom Spend - 80 Industry Sectors (www.kewassociates.co.uk)
Legal services firms devote over 4% of their turnover on IT & telecom expenditure. This is more than twice the all UK average. The larger the legal firm the more it spends on IT & telecom with large concerns exceeding 5%.
Transport equipment manufacturers with 1000+ employees devote over half of their IT & telecom budget to computer services. IT & telecom staff is the next largest expenditure category followed by software.
For real estate companies, IT & telecom spend as a proportion of turnover increases with size. The differential is mostly small with ratios ranging from 3.3% for those firms with 10-49 staff to 3.8% for the largest concerns. The all UK organisations comparison shows a much greater jump for large enterprises.
Large advertising companies with 1000+ staff have an IT & telecom expenditure which is 2.4% of their turnover. This is similar to the equivalent all UK organisation outlay. For smaller sized enterprises the spend ratio is notably higher for advertising firms than the national average.
Paper manufacturers commit 1% of their turnover to IT & telecom. This is half the overall value for all UK concerns. For all organisation sizes the ratios are smaller for paper manufacturing companies. The greatest difference occurs with large enterprises.
Companies supporting head office activities spend around £600m on IT. Almost 40% of that expenditure is on computer services whilst just under a third is committed to software. IT & telecom staff represent 15% of total costs.
Large personal services firms spend 2.4% of their turnover on IT products, services and staff. This is similar to the all UK value. For smaller sized organisations the ratio is consistently higher for personal services companies.
Research & development companies spend on IT & telecom as a ratio of turnover is twice that for the UK as a whole. Large R&D organisations devote lower proportions of their turnover on IT & telecom compared with smaller sized concerns in the same sector. The opposite is the case at a national level.
Spend on IT & telecoms by basic metals manufacturers is dominated by computer services with over 60% of total expenditure. The second largest budget component is IT & telecom staff with nearly a fifth of the outlay. Only 10% is devoted to combination of hardware and software.
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