IT directors dazzled by headlights of recession
1 min read
More than 75% of IT managers will have budgets cut or frozen over the next two years, according to a study by Enterprise Management Services (EMA).
The result will mean carnage, according to workload automation specialist UC4 – with IT staff being placed under increasing pressure to decide whether to cut back on costs or make investments capable of delivering more with less.
“Already this year, many organisations have shed thousands of IT jobs in a knee-jerk reaction to cut costs, completely overlooking the value of skilled IT staff to the business,” comments Alan Smith, UC4senior vice president.
“This ham-fisted approach stifles innovation, which could easily have been achieved by consolidating the workforce and automation. This method cuts costs and allows firms to retain talented staff,” he insists.
EMA analysis also revealed that only 26% of staff would see their budgets grow, whilst 40% expect to see cuts and 34% will have their budgets frozen. The report also found that automation is rarely measured and is often underestimated in terms of ROI. 77% of survey respondents stated that automation significantly improved data centre profitability and efficiency across the business.
“IT directors need to take a long hard look at the benefits of innovation through automation before they commit to layoffs. Bad decisions can leave companies without the technical talent and experience to weather the economic storm,” says Smith.
“In this economic climate, getting out the red pen and making sweeping ill-considered cuts can do serious damage to the business. Strategic investment in automation can break down complex workloads, reduce overnight batch processing flow, and increase productivity,” he adds.
