CIOs from industries hardest hit by the global financial crisis in 2008/2009 showed signs of rebounding in the first half of 2010.
Consumer/retail, financial servicesand manufacturingCIOs responding to the survey indicated modest growth in IT budgets during the first half of the year.
Industries such as Utilities and Healthcare are going through deep structural change and continue to invest in IT regardless of economic outlook. Government and education industry CIOs reported budget declines in the face of tight economic conditions.
Budget plans varied by company size.
Smaller firms, those with IT budgets of less than $50 million USD, report continued strong budget increases with an average of 20 percent. However these gains were more than offset by the scale of IT budget decreases of larger companies. This continues a trend we have observed since 2008 as larger IT organizations started reducing their resource requirements through consolidation, waste elimination and other measures. CIOs of the largest firms indicate that further budget opportunities remain.
Editor's Note:Mr. McDonald will appear on CNBC's Squawk on the Street, Wednesday, September 8 at 9:50am/et.
Mark McDonald, Ph.D., is a group vice president and head of research in Gartner Executive Programs.
He is responsible for the research agenda focused exclusively on CIOs and the business of information technology.
Mr. McDonald is the lead author of research in the areas of CIO credibility, the business use of advanced technologies, enterprise architecture and business process transformation.
Gartner, Inc. is the world’s leading information technology research and advisory company.