Interactive Breakout Session SIM Connect Live 13 Apr 2018
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1 Interactive Breakout Session SIM Connect Live 13 Apr 2018 Presenters Leon Kappelman Eph McLean Russell Torres Chris Maurer Mark Snyder Vess Johnson IT TRENDS RESEARCH TEAM Leon Kappelman, University of North Texas Ephraim McLean, Georgia State University Vess Johnson, University of Arkansas Little Rock Russell Torres, University of North Texas Mark Snyder, MBSC & SFT Funds Chris Maurer, University of Virginia Quynh Nguyen, University of North Texas Alsius David, University of North Texas Kevin Kim, University of North Texas 2017 Study Comprehensive Report ($995) Free to all SIM Members This research made possible through the generous support of: PLATINUM SPONSORS GOLD SPONSOR 1 st ever SIM IT Trends Study European Report now available at no cost to SIM members too.
2 SIM s IT Trends Study: The Research Project Collaboration of academics and practitioners since inception in 1980 Focus is IT management in organizations Research Population: SIM members + global non-member version Some of the Deliverables: Confidential Personal Benchmarks Report to every participant Comprehensive Report to every SIM member SIM Connect Live presentations Monthly articles in SIM s two e-newsletters SIM s specific objectives: Important to SIM s value proposition w/members. Create unique intellectual capital. Publicity and branding: SIM, the voice of IT leadership Attract new members. Academics objective: get great data and do valuable research.
3 Did you and everyone else in your chapter get your personal invitations? Which chapters will win bragging rights and $ in the Chapter 2017 SIM International Challenge & Leon Kappelman, Primary Investigator Contest? Can we beat last year s participation rate of 28.6% of all SIM members completing the questionnaire?
4 The 37 th Anniversary SIM IT Trends Study 1,178 SIM members completed questionnaire 28.64% of SIM members 469 CIO or highest-ranking IT executive 769 unique organizations Represented by their senior-most IT leader Average revenue $4.65 billion (median $400 million) Total revenue of 769 $3.58 trillion: 19.3% of US GDP Total of $217 billion IT spending IT spending averages 6.08% of revenue
5 Trends: 40 years
6 9.00% 8.00% 7.00% 6.00% 5.00% 4.00% 3.00% 2.00% 1.00% 0.00% IT % of National Economy 0.75% 8.55% IT spending grew by 1040% IT Spending & Personal Economy Internet $1,260 Mobile Phone $720 Cable TV $900 Landline Telephone $97 $240 Market Data / News $35 $600 Tablet $240 Total $132 $3,960 Personal technology expense grew by 2900% Provided by Howard Rubin
7 Business IT Alignment IT Strategic Planning 11
8 Trends: 7 to 15 years
9 7% 6% 5% 4% 10 year average 4.55% IT Spending as % of Revenue 4.9% 5.0% 5.1% 5.3% 5.0% 6.1% 3% 2% 1% 3.5% 3.8% 3.8% 3.9% 2017 SIM International & Leon Kappelman, Primary 3.6% Investigator Up 15% in 24 Months Up 74% in in 10 years ( ) 0%
10 Most Important IT Management Issues for IT Leaders Fell out of Top 10 Attract, Develop, and Retain IT Professionals
11 10% 9% 8% 7% 6% 7.1% 6.6% 9.0% 8.6% 8.0% 7.3% 5% 4% 5.2% 5.5% 5.5% 5.2% 3% 2% 10 Year Average 6.79% 1% 0% Turnover Rate
12 CIO Job Tenure (in years)
13 70% 60% 50% 40% 30% 20% 10% 0% 54.0% 61.2% 38.0% 4.0% IT, same organization Non IT, same organization 2017: 79% of CIOs from other organizations, up 36% in seven years 2017: 23.8% of CIOs from non IT prior job, up 192% in seven years IT, outside organization Non IT, outside organization IT, Outside Org: +13.3% IT, Same Org: 59.5% 17.8% 15.4% 5.6%
14 Trends: Past 4 years
15 Keeping the IT Lights On share of IT budget over 25% (to 40.5% of total IT spending) in 24 months ( ). On average, 34.6% of all IT services were cloudbased in 2017, 27.2% from Cloud share of IT budget up 44.1% in same period.
16 61.3% of organizations reported an in IT staffing levels in % of organizations increased IT salaries in Average IT salary increased 4.2% last year.
17 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% 59% 49% 40% 29% 19% 2% % of CIO s Interacting with C Suite at least Weekly CEO COO CFO CMO CLO BOD 82% 72% 67% 55% 39% 8% 48 Month Increase
18 Over the past 38 years: 1. IT intensity of organizations & everything else increased. 2. IT became more important to and more about the business. Over the past seven years: 3. Frequency of CIO interactions with C-Suite peers has increased greatly. Likely a sign of Many more CIOs from non-it backgrounds & other organizations. IT bench not business-oriented enough?
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