IT Disappoints, But CEOs Still Believe

Jan. 13, 2005
Most CEOs believe information technology will pay off, but they are disappointed in the return on their IT investments so far. That was one of the salient findings of a new survey of 650 CEOs and other senior executives from a variety of industries in ...

Most CEOs believe information technology will pay off, but they are disappointed in the return on their IT investments so far. That was one of the salient findings of a new survey of 650 CEOs and other senior executives from a variety of industries in nine countries. Conducted by the Dept. of Information Systems at the London School of Economics, the study was commissioned by Compass Analysis, a management consulting firm in Reston, Va. "The bottom line is that CEOs expect more from IT than they're getting," says David Burkett, president of Compass America. "Whether their expectations are realistic or not is beside the point. IT management needs to do a better job at delivering and demonstrating value from IT." Less than 38% of the CEOs responding said they expected IT to make a significant contribution to business results. An equal number said they expected an average contribution from IT, and 25% expect a low contribution. Looking ahead, though, half of CEOs responding said they expect IT to make a high contribution. In terms of achieving competitive advantage, only 37% of CEOs rated IT as making a significant impact; and only 19% were satisfied with the results. Surprisingly, 54% expect IT to have a significant impact on competitive advantage in the future.

Popular Sponsored Recommendations

Empowering the Modern Workforce: The Power of Connected Worker Technologies

March 1, 2024
Explore real-world strategies to boost worker safety, collaboration, training, and productivity in manufacturing. Emphasizing Industry 4.0, we'll discuss digitalization and automation...

3 Best Practices to Create a Product-Centric Competitive Advantage with PRO.FILE PLM

Jan. 25, 2024
Gain insight on best practices and strategies you need to accelerate engineering change management and reduce time to market. Register now for your opportunity to accelerate your...

Transformative Capabilities for XaaS Models in Manufacturing

Feb. 14, 2024
The manufacturing sector is undergoing a pivotal shift toward "servitization," or enhancing product offerings with services and embracing a subscription model. This transition...

Shifting Your Business from Products to Service-Based Business Models: Generating Predictable Revenues

Oct. 27, 2023
Executive summary on a recent IndustryWeek-hosted webinar sponsored by SAP

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!