Investing Smarter Is Imperative for Growing Businesses
Behind every successful operation is a team implementing processes across bundles of technology solutions and products. The same way bakers use flour, eggs, butter and sugar in almost any cake, organizations need to see certain technology as essential. Specifically by leveraging cloud solutions, big data, the Internet of Things (IoT) and devices, with a smart approach, organizations can propel revenue generation and innovation.
Businesses that incorporate the areas mentioned above into their strategies, from product development and marketing to consumer engagement, are better equipped to stay competitive and relevant. But, keeping up with the technology curve can be tricky — it requires both managing existing IT for day-to-day operations and adopting new solutions to support future-facing innovation.
When it comes to these strategies, the Insight’s 2017 Intelligent Technology Index highlights the areas IT professionals are focusing on for growth, where they’re currently investing IT spend and where they expect to see rapid changes.
Organizations plan to align 37% of their 2017 IT budgets to maintenance of existing equipment and 32% to adoption of new technologies.
Why budgets are shifting for the better
According to the 2017 Intelligent Technology Index, a full 50% of technology influencers expect their 2017 IT budget to increase, on average, 25% from 2016. This isn’t too surprising considering the rate at which technology is transforming the modern workplace.
As shown in Figure 1, IT worldwide spending amounted to $2 trillion in 2015 and is estimated to reach $2.33 trillion in 2020. This includes devices, data center systems, software and services necessary in today’s market. However, where we once saw an inflation in device procurement, we’re seeing greater needs surfacing around security and cloud solutions.
Cloud computing is still a hot topic for businesses. While some users have lingering skepticism around the cloud, 49% of IT pros have cited increased collaboration as a cloud benefit — in addition to security, agility and flexibility. Of course, security is not just a cloud concern, there is also a battle to defend on-premise resources against increasingly advanced cybercriminals. In fact, 68% of IT leaders report data privacy to be a top concern.
Worried about the state of your sensitive data? When putting together your plan for next year’s budget, consider bulking up on software that identifies and predicts attacks before they strike, protects and maintains endpoints, networks and devices, mitigates risks, and recovers lost data.
The 2017 Intelligent Technology Index surveyed IT leaders on how they’re allocating spend in order to accommodate advancing cloud and security needs. As shown in Figure 2, they reported needing to increase budgets for security by 56% and the cloud by 43% in order to support future objectives. These numbers may differ from your own predictions — you might need to invest more in marketing and sales as well, but you will probably still see a need to increase IT budgets for cloud and security solutions.
Don’t invest for the sake of investing
As we continue to look at areas in which growing businesses should improve for growth, it’s apparent that those that don’t invest in infrastructure optimization will be left in the dust. The urgency to continuously improve digital platforms such as mobility and the IoT is clear, but that doesn’t mean you should throw money at the latest developments simply because they are new.
According to The Conversation, “technology investment can’t generate any advantage unless there is an overall business strategy in place that integrates technology across the business in the delivery of value to customers.” The method in which you choose to divide your IT budget determines the success of your year.
Investing smarter means running an assessment to see which existing IT assets are providing value to your organization, and covering maintenance and updates on those — while retiring the rest. It also means exploring new areas that arise due to changing consumer demands, expectations and resources — and researching to find the right fit for your specific needs.
Keep it simple.
Smart technology solutions increase efficiency, enhance user experiences and improve productivity in the modern workplace. More importantly, the right technology helps businesses in almost every industry deliver faster, high-quality performance that leads to a greater bottom-line.
Not sure how to get started? Searching for the right products and solutions shouldn’t be hard — a simple, more intuitive IT procurement process will save you time and stress. Take a look around Insight’s e-commerce site to see if it’s a good fit for you.