Over 60% of enterprise tech projects are now being financed by the business rather than the IT department, a new survey finds.
IDC’s ‘Implication of Shifting Technology Buying Centers on Your Business’, report revealed that investments into tech projects by the business would surpass similar spending by the IT department in the future.
The report also noted that marketing has the highest spend with a five year compound annual growth rate (CAGR) of over 9%.
IDC senior VP Meredith Whalen said that technology has long been central to improving business processes, enabling greater speed, efficiency, and reliability.
"As businesses embrace the third platform, built on cloud services, big data analytics, mobile computing, and social networking technologies, they are taking the critical first steps toward business process transformation and, in some cases, business model transformation," Whalen said.
"With such high stakes, the business is increasingly taking a front seat in technology initiatives."
Business executives are leading more IT projects as they become more tech savvy, have easier access to technology via the cloud, and are under pressure to more rapidly deploy new technology initiatives, the report said.
About 85% of respondents said IT has been a more valuable partner to their functional area compared to three years ago.
IDC programme manager Eileen Smith said that the link between technology and business results has never been greater and is shifting the buying centre away from IT and towards the business.
"Navigating these waters requires a change in your go to market approach focusing now on understanding the unique pain points and investment priorities across the various business functions," Smith said.
