Computer Economics -- for IT metrics, ratios, benchmarks, and research advisories for IT management
Free Research Bytes
Human Factors Behind Much IT Project Failure
Artificial Intelligence Use Grows as Companies Leverage Embedded AI Capabilities
Application Development Outsourcing Future is Murky
IT Help Desk Outsourcing Trend is All Downhill
Network Support Staff Meeting New Demands Without Adding People
IT Spending as a Percentage of Revenue by Industry, Company Size, and Region
IT Spending Ratios by Industry and Organization Size
Featured Research
Organizational Change Management Adoption and Best Practices
March, 2019
New system projects often fail, not because of problems with the technology but because the new systems are not fully embraced by the workforce. Fortunately, there are formal methodologies that business and IT leaders can apply to establish and carry out an organizational change management program. In this report, we look at adoption trends and maturity of organizational change management by organization size and sector. We conclude with practical recommendations for companies to start or improve their change management practices. (16 pp., 6 fig.)[Research Byte]
Artificial Intelligence Adoption Trends and Customer Experience
March, 2019
Artificial intelligence (AI) is not a single technology but several closely grouped technologies that allow for a machine to absorb and analyze data in order to make a recommendation or take an action. AI is not yet a mature technology, but it is growing. Although only 13% of companies that completed our Technology Trends 2019 survey have adopted any type of AI solution, 24% indicate that they are investing in new AI capabilities. This report provides an overview of AI adoption and investment trends, providing data on how many organizations have solutions in place, how many are in the process of implementing it, and how many are expanding implementations. We also look at the return on investment experience, total cost of ownership experience, and which type of solutions are the most popular. We conclude with steps to consider when planning for an AI implementation. (21 pp., 11 fig.)[Research Byte]
Understanding Fair Market and Residual Values in Negotiating Leasing Options
March, 2019
The terms “fair market value” and “residual value” have different meanings, and it is important to know the difference when buying or leasing PCs, laptops, and other equipment. In addition, those who hold the leases (lessees) and leasing companies (lessors) use different methodologies to create their own definitions. This article outlines the perspectives of lessees and lessors, and how the former benefits from negotiating lease contracts in a considered way.Application Development Outsourcing Trends and Customer Experience
March, 2019
The outsourcing of the application development function showed a slight increase in our annual IT Outsourcing Statistics study, but overall, the frequency of outsourcing this function has been on the decline since 2012. The use of application development service providers is at a crossroads, and the slow decline may continue. This report examines adoption trends and customer experience with application development outsourcing. We report on the percentage of organizations outsourcing it (frequency), the average amount of work outsourced (level), and the change in the amount of work being outsourced (trend). We also present data on cost and service experience and on how these trends differ by organization size and sector. We conclude with guidelines to consider when outsourcing application development. (18 pp., 8 fig.)[Research Byte]
IT Help Desk Outsourcing Trends and Customer Experience
March, 2019
IT help desk outsourcing helped establish the contemporary IT outsourcing industry. Nevertheless, the number of organizations that outsource the IT help desk dropped this year and has failed to bounce back in this time of relatively strong economic conditions. This report examines adoption trends and customer experience with help desk outsourcing. We report on the percentage of organizations outsourcing help desk (frequency), the average amount of work outsourced (level), and the change in the amount of work being outsourced (trend). We also present data on cost and service experience and on how these trends differ by organization size and sector. We conclude with some key questions to consider. (17 pp., 8 fig.)
[Research Byte]
Network Support Staffing Ratios
March, 2019
The importance of computer networks cannot be overstated in this digital age. Yet remarkably, network support staff levels dropped in recent years and show no signs of rebounding. This report will help IT managers determine whether their organization is keeping pace with improvements in network management by comparing their network support staffing ratios against industry benchmarks. We provide four benchmarks: network support staff as a percentage of the IT staff, network support staff as a percentage of the Network and Communications Group, network devices per network support staff member, and users per network support staff member. We provide benchmarks by organization size and sector. We conclude with recommendations for reducing or at least maintaining the cost of network support staff. (21 pp., 9 fig.)[Research Byte]
Website/E-Commerce Outsourcing Trends and Customer Experience
February, 2019
Website and e-commerce outsourcing is one of the most ubiquitous types of managed services. To help IT executives better assess their options, this report analyzes the percentage of organizations outsourcing website and e-commerce operations (frequency), the average amount of work outsourced (level), and the change to the amount of work being outsourced (net growth trend). We also present data on cost and service experience and how these trends differ by organization size and sector. We conclude with recommendations on how to engage with a web, e-commerce, or EDI service provider. (17 pp., 8 fig.)[Research Byte]
Technology Trends 2019
February, 2019
This major study provides insight into the customer experience and adoption rates for 15 technologies that are top-of-mind for IT leaders. The study also delves into satisfaction of the customer experience and the specific types of solutions under consideration. With this information business leaders are in a better position to assess the potential risks and rewards of each of these technologies. They also can gain insight into just how aggressively competitors and peers are making these investments. Forward looking, we also explore 18 future and early adopter technologies along with level of awareness and adoption (141 pp., 113 figs.)[Full Description and Sample Pages]
[Research Byte]
Server Support Staffing Ratios
February, 2019
In state-of-the-art data centers—whether operated on-premises or by managed services providers—demand for server support administrators has been steadily declining over the past decade. How many server support staff members does an organization need today? To answer that question, we provide four key benchmarks: server support staff as a percentage of the IT staff, users per server support staff member, physical servers per server support staff member, and OS instances per server support staff member. We provide these metrics for small, midsize, and large organizations. We also assess how industry sector can influence server support staffing metrics. We conclude with recommendations for improving server support productivity. (23 pp, 10 fig.)[Research Byte]
Communications System Support Staffing Ratios
January, 2019
Corporate communications systems—which include email, messaging, videoconferencing, unified communications, and other communications systems—have become more sophisticated. The communications system support headcount as a percentage of the IT staff increased in 2018, for a variety of reasons. IT organizations, therefore, can benefit from a periodic assessment of their communications system support staffing levels. This study uses three metrics to make that assessment: support staff as a percentage of the IT staff, percentage of support staff in relation to organization size, and support staff spending per user. We provide benchmarks for the composite sample, by organization size, and by sector. We conclude with recommendations for optimizing the productivity of communications system support personnel. (20 pp., 7 fig.)[Research Byte]
Worldwide IT Spending and Staffing Outlook for 2019
January, 2019
IT leaders all over the world have a positive outlook for the global economy, but despite that confidence, IT budgets are growing only modestly. Our Worldwide IT Spending and Staffing Outlook for 2019 provides data on the global and U.S./Canadian trends for IT spending and staffing in the coming year. This year, our report assesses IT operational and capital spending plans for 2019, organizational priorities for IT spending and investment, and plans for hiring, outsourcing, and pay raises for IT organizations worldwide and in the U.S. and Canada. (35 pp., 24 figs.)[Research Byte]
Vendor Discount Report (Jan. 2019)
January, 2019
Market intelligence on current discounting practices for business equipment can be difficult to obtain. As a result, buyers do not know whether a better deal can be negotiated. This updated report, based on our knowledge of recent deals, provides buyers with guidance concerning current discount structures on a variety of equipment. Categories include IT equipment (desktops, laptops, network equipment, printers, servers, and storage), office equipment (copiers, mail equipment), forklifts, medical equipment, test equipment, and miscellaneous equipment. Major vendors include IBM, HP, Dell, HP, Apple, and others. Includes a downloadable PDF workbook of more than 300 deals used in the report to calculate average discounts and soft cost statistics (13 pp., 17 figs.).IT Salary Report 2019
December, 2018
The Computer Economics IT Salary Report 2019 provides total compensation for 75 IT job functions for more than 400 U.S. metro areas and 20 industry sectors. The executive summary also provides our forecast for pay raises and hiring in 2019 and includes job descriptions for each job function. The salary tables are provided as a downloadable Microsoft Excel workbook, with total salaries reported at the 10th, 25th, 50th (median), 75th, and 90th percentiles. (35 pp., 8 figs., plus salary tables)[Research Byte]
[Full Description and Free Executive Summary]
IT Management Best Practices 2018/2019
September, 2018
The best-run IT organizations not only focus their process improvement efforts on those of other departments, they also seek to optimize their own IT management processes internally. In this study, we examine the growth and maturity of 35 IT management practices which we have grouped into six major categories: IT governance practices, IT financial management practices, IT operational management practices, IT security and risk management practices, application development practices, and innovation best practices. (207 pp., 184 figs.)[Full Report Description and Sample Pages]
[Research Byte]
IT Outsourcing Statistics 2018/2019
August, 2018.gif)
This major study profiles outsourcing activity for 10 IT functions: application development, application maintenance, data center operations, database administration, desktop support, disaster recovery services, help desk services, IT security, network operations, and web/e-commerce systems. For each IT function, we measure the frequency and level of outsourcing. We also look at the current plans of IT organizations to increase or decrease the amount of work they outsource. We examine the customer experience to assess whether organizations are successfully lowering costs or improving service through outsourcing. Finally, we show the outsourcing frequency by sector for each function. (105 pp., 89 fig.)Full Report Description
[Research Byte]
IT Spending and Staffing Benchmarks 2018/2019: IT Budget and Cost Metrics by Industry and Organization Size
June, 2018
Our 2018/2019 IT Spending and Staffing Benchmarks study provides a comprehensive view of the current state of IT budgeting and staffing levels for business and governmental organizations in the U.S. and Canada, based on our 29th annual survey. Detailed metrics are provided by organization size and by industry sector. This article allows purchase of all 30 chapters at a significant discount off the individual chapter price. Individual chapters are also available for purchase – click the Full Study Description below for details. (1,749 pp., 1,052 figs.)[Full Study Description and Individual Chapter Pricing]