CIOs In The Financial Storm - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
IT Leadership // CIO Insights & Innovation
Commentary
9/29/2008
07:21 PM
Chris Murphy
Chris Murphy
Commentary
Connect Directly
Google+
LinkedIn
Twitter
RSS
E-Mail
50%
50%

CIOs In The Financial Storm

I've attended three CIO events in the past month and been greatly surprised at each of them to feel the same mood: calm.

I've attended three CIO events in the past month and been greatly surprised at each of them to feel the same mood: calm.It's very possible the mood would be different today, after the knee-buckling drop in stock prices when Congress voted against taking action to prop up the economy. And it's not that these CIOs are comfortable with the state of the economy. They're not.

But what has struck me at each event is how very few CIOs I talk with are taking significant steps to cut IT projects or spending because of slower sales or in anticipation of them. Outside of the financial services industry (and even within it, in some cases), there's a lot of wait-and-see going on, rather than draconian cuts. This includes a couple of CIOs who, earlier in the year, had thought cutbacks or at least significant project freezes a real possibility.

The events were the InformationWeek 500 Conference, where several hundred CIOs met to talk strategy at the St. Regis Resort in Monarch Beach, Calif.; the Oklahoma IT Symposium in Oklahoma City; and the Indiana IT Symposium in Indianapolis.

Two data points I've seen point to remarkably similar conclusions on IT budget cuts: InformationWeek's State of the Economy survey in July found 40% of companies decreased IT spending relative to their original 2008 budgets, and Forrester Research's survey released early this month found 43% of companies have cut their overall IT budgets in 2008. Forrester recently cut its IT spending growth target for next year, to 6.1% from 9.4%.

Forrester CEO George Colony blogs about similar anecdotal evidence of executives so far planning not to cut their IT budgets and offers CIO best practices for dealing with a recession.

So are these CIOS -- and people like George Colony and me who are listening to them -- properly calm, or desperately out of touch? Reach out here, or contact me directly -- I'd love to hear what you're experiencing.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
Slideshows
What Digital Transformation Is (And Isn't)
Cynthia Harvey, Freelance Journalist, InformationWeek,  12/4/2019
Commentary
Watch Out for New Barriers to Faster Software Development
Lisa Morgan, Freelance Writer,  12/3/2019
Commentary
If DevOps Is So Awesome, Why Is Your Initiative Failing?
Guest Commentary, Guest Commentary,  12/2/2019
White Papers
Register for InformationWeek Newsletters
Video
Current Issue
Getting Started With Emerging Technologies
Looking to help your enterprise IT team ease the stress of putting new/emerging technologies such as AI, machine learning and IoT to work for their organizations? There are a few ways to get off on the right foot. In this report we share some expert advice on how to approach some of these seemingly daunting tech challenges.
Slideshows
Flash Poll