EMEA Companies’ Transformational IT Projects ‘Produce Meagre ROI’
Businesses across Europe, the Middle East and Africa (EMEA) are failing to realise full return on investment (ROI) from transformational IT projects – including the cloud, big data, mobility and social – championed and sanctioned at board-level, a report claims.
Produced by Riverbed Technology, the report, entitled ‘The Transformers’, is based on a survey of more than 1,000 IT decision makers at companies in multiple vertical sectors and across 10 regions in EMEA – UK, France, Germany, Spain, Italy, Switzerland, Benelux, Russia, Middle East, and South Africa.
The survey findings suggest that only one in four companies in EMEA meet the definition of a ‘Transformer’, defined as a company that describes its use of IT infrastructure to drive ‘innovation excellence’. Riverbed suggests that the success of Transformer companies is supported by a number of metrics. For example:
The survey also found that investment in new enterprise applications and technologies has dramatically increased across EMEA in the last two years. Eighty-two per cent of IT decision makers say the proportion of their overall spend dedicated to new business-critical applications has increased.
On average, 25% of IT budgets are now devoted to deploying new technologies or innovations, in particular cloud computing (59%), social media (45%) and mobile application development (44%).
“The speed of change in enterprise technologies over the last five years has been astonishing,” said Willem Hendrickx, senior vice president (SVP) sales EMEA at Riverbed. “Social media, big data, mobility, and cloud computing have disrupted existing business models.
“Business leaders see these new technologies as a significant opportunity to innovate, improve efficiency, and provide differentiated customer experiences in highly competitive marketplaces. The challenge, however, is to ensure that repeated adoption of the ‘next big thing’ delivers maximum benefit and optimal value to the business. That is the question this study set out to answer.”