The National Computing Centre has warned that lack of investment in IT, lack of boardroom involvement and reliance on legacy systems are hampering business development.
NCC chief executive Michael Gough cited a survey for the organisation’s recent Benchmark of IT Strategy 2006 report, which found that 50% of IT decision makers felt the adoption of new technology was too slow and could have a serious impact on business competitiveness.
Gough said that the IT budgets of many organisations “have not changed in the last three years”, which meant less money was available in real terms to fund business change initiatives.
He added, “Although IS/IT is getting more visibility at board level, the number of CIO’s achieving main-board positions is not increasing. This is worrying as it is the IS function which is often looked to as the leader of change in many organisations.”
Gough warned, “Legacy systems are also now a major constraint on business change. NCC’s surveys over the past 18 months have shown that there are some green shoots of investment in new solutions but integration with legacy systems is slowing down the pace of change.”
IT departments must align their plans with the organisation’s business strategy, with change initiatives that improved the bottom line, he said.
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