July 18, 2018  
  Home About Us Contact Us
 Read terms of use Login Problems?
Help for Search
Subscribe to the Computer Economics Report. Free sample issue.
Research Sections
Major Studies
IT Management Advisories
Valuation Data
...and More
Register for free research notification
 
IT Spending and Staffing Benchmarks 2018/2019: IT Budget and Cost Metrics by Industry and Organization Size

Benchmarking information technology spending or IT employee staffing levels can be a difficult exercise for any business. Our IT Spending and Staffing Benchmarks study makes the job easier by providing an IT spending framework with hundreds of ratios, statistics, and other IT cost metrics for strategic IT budget analytics. IT spending as a percent of revenue and dozens of other IT budget ratios are provided.

In this annual report, now in its 29th year, we provide IT budgetary benchmarks and IT staffing metrics by industry sector and organizational size for private and public companies and for governmental organizations, based on our annual in-depth survey of over 200 IT executives.

Download Executive Summary

Scroll down to download/purchase the full study or individual chapters.

Intended Audience

For CIOs and consulting firms, this 30-chapter study provides current metrics and unbiased data for you to benchmark an organization's total IT spending and staffing levels. This study will allow you to achieve the following outcomes:

  • Benchmark your IT operational spending levels by comparing them with those of organizations of similar size and industry sector. Over 20 specific IT cost management ratios and other IT support metrics are provided, such as IT budget as a percent of revenue and IT budget per employee/user, allowing IT executives to highlight opportunities to reduce IT costs, optimize IT expenses, and improve the efficiency, effectiveness, and governance of the IT organization.
     
  • Measure your IT capital budget spend levels. Nearly 20 specific IT capital budget metrics are provided to help stakeholders monitor IT investment levels relative to competitors.
     
  • Manage your IT staffing levels. Over 30 IT headcount ratios are provided for benchmarking IT staff counts, measuring IT worker productivity, and achieving efficiency within the IT department.
     
  • Evaluate your IT key performance indicators. Compare your IT intensity and infrastructure metrics with your peers, using measures such as new initiative spending, custom/commercial software mix, virtualization ratios, users per server and per printer, data center OS mix, PC refresh rates, and other KPIs – all important factors in budgeting for IT.

For  vendors of IT products and services, this study provides valuable insights into the current IT budgeting priorities of corporate buyers and changes in levels of IT operational and capital spending. This study provides objective data based on our in-depth survey of IT decision makers. As such, it can be a valuable source of IT spending statistics to validate assumptions underlying your business strategy, competitive analysis, pricing strategies, and sales processes.

Purchase/Download: By Industry and Organization Size

Clients: Log in and download, at no charge, from any link.
Not a client? Click any link to purchase now.

Summary Chapters

Chapter 1: Executive Summary  Free Download →
Chapter 2: Composite Benchmarks  $1,295
Chapter 3A: Benchmarks by Organization Size: Small Organizations  $1,295
Chapter 3B: Benchmarks by Organization Size: Midsize Organizations $1,295
Chapter 3C: Benchmarks by Organization Size: Large Organizations $1,295

Industry Sector Chapters

Chapter 4: Process Manufacturing Sector Benchmarks $1,295
Chapter 5: Discrete Manufacturing Sector Benchmarks $1,295
Chapter 6: Banking and Finance Sector Benchmarks $1,295
Chapter 7: Insurance Sector Benchmarks $1,295
Chapter 8: Retail Sector Benchmarks $1,295
Chapter 9: Wholesale Distribution Sector Benchmarks $1,295
Chapter 10: Energy and Utilities Sector Benchmarks $1,295
Chapter 11: Healthcare Services Sector Benchmarks $1,295
Chapter 12: Professional and Technical Services Sector Benchmarks  $1,295
Chapter 13: Transportation and Logistics Sector Benchmarks $1,295
Chapter 14: Construction and Trade Services Sector Benchmarks $1,295
Chapter 15: IT Services and Solutions Sector Benchmarks $1,295
Chapter 16: Government Sector Benchmarks $1,295
Chapter 17: Nonprofits and Charitable Organizations Sector Benchmarks $1,295
Chapter 18: Education Sector Benchmarks $1,295
Chapter 19: Commercial Real Estate Sector Benchmarks $1,295

Subsector Chapters

Chapter 20: High-Tech Subsector Benchmarks $1,295
Chapter 21: Food and Beverage Subsector Benchmarks $1,295
Chapter 22: Industrial and Automotive Subsector Benchmarks $1,295
Chapter 23: Commercial Banking Subsector Benchmarks $1,295
Chapter 24: Brick-and-Mortar Retail Subsector Benchmarks $1,295
Chapter 25: Utilities Subsector Benchmarks $1,295
Chapter 26: Hospital Subsector Benchmarks $1,295
Chapter 27: City and County Government Subsector Benchmarks $1,295
Chapter 28: Government Agency Subsector Benchmarks $1,295
Chapter 29: Logistics Subsector Benchmarks $1,295
Chapter 30: Higher Education Subsector Benchmarks $1,295

Special Bundle Combinations

Chapters 1, 2, 3A, 3B, and 3C  $3,995 -- you save 25%
Chapters 1 and 2 plus choice of one other chapter:  $2,295 -- you save 10%.  Contact us to order
Chapters 1 and 2 plus choice of two other chapters:  $3,495 -- you save 10%. Contact us to order
The Full Study (all 30 chapters)  $29,995 -- you save 26%. However a better option is to contact us for information about a website subscription, which offers much greater discounts.

If you would like to purchase some other combination of chapters, not listed above, please contact us for special pricing.

IT Spending and Staffing Benchmarks: Chapter Descriptions


Chapter 1: Executive Summary

Free Download

This chapter provides an overview of the key findings from the full study and describes the contents of the subsequent chapters. It also includes information on the study participants and the survey methodology.

  • Net Percentage of Organizations Increasing IT Operational Spending
  • IT Operational Budget Change from Prior Year; 2014-2018
  • IT Operational Spending Growth, by Organization Size
  • Net Percentage of Organizations Expecting to Spend More Than Budgeted for IT Operations: 2014-2018
  • Adequacy of the Current IT Operational Budget to Support the Business
  • Total IT Spending as Percentage of Revenue at the Median: 2014-2018
  • IT Operational Spending per User: 2014-2018
  • Change in IT Operational Budgets from Prior Year, by Industry Sector
  • Percentage of Organizations Changing IT Capital Spending
  • Capital Budget as a Percentage of IT Spending: 2014-2018
  • Spending Priorities by Major IT Initiative
  • Net Percentage of Organizations Increasing Spending for Business Applications, Networking, IT Personnel, End-user Technology, and Data Center
  • Percentage of Organizations Changing IT Staff Headcount

Chapter 2: Composite Benchmarks [Buy Now]

This chapter provides composite metrics for all of the organizations surveyed, across all industry sectors and organization sizes. The metrics provided in this chapter are listed in the Metrics Descriptions section below.

Chapter 3A, 3B, 3C: Benchmarks by Organization Size

In these three chapters, we analyze each of our IT spending and staffing metrics by organization size. This chapter classifies organization size differently than most classification schemes. We use the size of the IT operational budget, as revenue is not always a good indicator of the size of the IT operation. This enables IT organizations to compare themselves against similar-size IT organizations. We define the size categories as follows:

To avoid the problem of having very small organizations in our sample, we have excluded respondents with less than $50 million in annual revenue.  

Chapter 4: Process Manufacturing Sector Benchmarks [Buy Now]

Chapter 4 provides benchmarks for process manufacturers. Process manufacturers are defined as those where the production process adds value by mixing, separating, forming, or chemical reaction. The sector includes manufacturers of chemicals, petrochemicals, semiconductors, pharmaceuticals, food and beverage, building materials, packaging materials, steel, glass, paper products, and other process-manufactured goods. The 38 respondents in the sample range in size from a minimum of $80 million to a maximum $32.7 billion in annual revenue.

Chapter 5: Discrete Manufacturing Sector Benchmarks [Buy Now]

Chapter 5 provides benchmarks for discrete manufacturing organizations. Discrete manufacturers are defined as those where the production process adds value by fabricating or assembling individual (discrete) unit production. The category includes manufacturers of consumer products, industrial equipment, telecommunications equipment, aerospace products, furniture, auto parts, building products, electrical parts, medical devices, and electronic devices, among other products. The 38 respondents in this sample range in size from about $24.6 million to $80 billion in annual revenue.

Chapter 6: Banking and Finance Sector Benchmarks [Buy Now]

Chapter 6 provides benchmarks for banking and finance companies. The firms in this sector include commercial banks, investment banks, credit unions, real estate investment firms, mortgage lenders, consumer finance lenders, and other types of lenders. The 23 respondents in this sector range in size from $22 million to a maximum of $90 billion in annual sales.

Chapter 7: Insurance Sector Benchmarks [Buy Now]

Chapter 7 provides benchmarks for insurance companies. The firms in this sector include companies that sell medical and dental insurance, life insurance, property and casualty insurance, auto insurance, disability insurance, and other types of insurance. The 21 respondents in this sector range in size from $48 million to $35 billion in annual revenue.

Chapter 8: Retail Sector Benchmarks [Buy Now]

Chapter 8 provides benchmarks for retailers. This sector includes retailers of clothing, jewelry, hardware, furniture, sports equipment, electronics, groceries, office supplies, and general merchandise. They include department stores, convenience stores, sporting goods stores, specialty retailers, and big-box retailers. We also include hospitality and consumer services in this sector. The 25 respondents in the sample range in size from $80.5 million to $19 billion in annual revenue.

Chapter 9: Wholesale Distribution Sector Benchmarks [Buy Now]

Chapter 9 provides benchmarks for wholesale distributors. The category includes wholesale distributors of building products, home furnishings, home improvement products, auto parts, industrial components, electronics, food and beverage, and other products. The 20 respondents in the sample range in size from $79 million to $4 billion in revenue.

Chapter 10: Energy and Utilities Sector Benchmarks [Buy Now]

Chapter 10 provides benchmarks for public utilities, oil and gas producers, service companies, and midstream distributors across all organization sizes. The 23 respondents in this sector include public utilities; water, gas, and electric utilities; integrated energy companies; upstream exploration and production companies; natural gas companies; onshore and offshore field services companies; pipeline operators; and other energy and utilities companies. The companies in our sample range in size from $87.9 million to more than $26.8 billion in annual revenue.

Chapter 11: Healthcare Services Sector Benchmarks [Buy Now]

Chapter 11 provides benchmarks for healthcare services companies. The 41 respondents in this sector include community hospital groups, multiregional hospital systems, healthcare systems, dental service organizations, university hospitals, long-term care facilities, and other healthcare organizations. These organizations range in size from $45 million to $16 billion in annual revenue.

Chapter 12: Professional and Technical Services Sector Benchmarks [Buy Now]

Chapter 12 provides benchmarks for professional and technical services organizations. The 33 respondents in the sample range in size from $50.5 million to $10 billion in annual revenue. The sector includes firms that provide professional and technical services, including engineering, legal, accounting, financial advice, consulting, marketing, research, and other services.

Chapter 13: Transportation and Logistics Sector Benchmarks [Buy Now]

Chapter 13 provides benchmarks for the transportation and logistics sector. The 27 respondents in this sample range in size from $52 million to nearly $40.7 billion. The category includes organizations that operate buses, trucks, railways, airlines, barges, and ships. The sector includes logistics companies that transport goods and transportation companies and agencies that move people.

Chapter 14: Construction and Trade Services Sector Benchmarks [Buy Now]

Chapter 14 provides benchmarks for construction and trade services companies. The 26 respondents in the sample range in size from $40 million to $9.9 billion in annual revenue. The category includes engineering and construction companies; commercial, residential, and industrial construction contractors; oil service firms; firms that provide mining services; environmental services firms; and other construction and trade services firms.

Chapter 15: IT Services and Solutions Sector Benchmarks  [Buy Now]

Chapter 15 provides IT spending and staffing statistics for the IT services and solutions sector. The category includes software companies, software-as-a-service providers, systems integrators, IT solution providers, business process outsourcing firms, and other providers of technology services and solutions. There are 24 organizations in the sample, ranging in size from $42 million to $126 billion in annual revenue.

Chapter 16: Government Sector Benchmarks [Buy Now]

Chapter 16 provides benchmarks for government organizations. The 36 respondents in the sample range in size from about $52.6 million to $72 billion in annual revenue. The category includes city and county governments, federal and state agencies, law enforcement agencies, organizations that provide IT services to government agencies, and other government organizations. Government organizations can have major investments in citizen-facing systems and websites, and they often are heavy users of geographic information systems. In many cases, there is a historical reliance on custom software and legacy systems.

Chapter 17: Nonprofits and Charitable Organizations Sector Benchmarks [Buy Now]

Chapter 17 provides benchmarks for nonprofits and charitable organizations. The sector includes local and national charity organizations, conservation groups, organizing bodies, and other nonprofit organizations. The 21 respondents in the sample range in size from about $31 million to $1.2 billion in annual revenue.

Chapter 18: Education Sector Benchmarks [Buy Now]

Chapter 18 provides benchmarks for the education sector. The sector includes public and private colleges and universities, business and medical schools, for-profit educational institutions, and school districts. The 21 respondents in the sample have annual revenues ranging in size from $50 million to $6.7 billion.

Chapter 19: Commercial Real Estate Sector Benchmarks [Buy Now]

Chapter 19 provides benchmarks for commercial real estate organizations. The 21 respondents in the sample range in size from $50.5 million to $3.2 billion in annual revenue. The sector includes retail, office, industrial, and other property management companies; commercial real estate developers; real estate investment firms; and real estate brokers, consultants, and advisors.

Chapter 20: High-Tech Subsector Benchmarks [Buy Now]

Chapter 20 provides benchmarks for high-tech companies. The category includes software developers, software-as-a-service providers, computer products manufacturers, semiconductor manufacturers, aerospace and defense manufacturers, pharmaceutical makers, and other high-tech companies. The 30 respondents in this sample range in size from $50.5 million to $80 billion in revenue.

Chapter 21: Food and Beverage Subsector Benchmarks [Buy Now]

Chapter 21 provides benchmarks for food and beverage manufacturers. The 15 respondents in the sample range in size from $150 million to $2.2 billion in annual revenue. Food and beverage companies produce beverages, snack foods, meat products, seafood products, dairy products, dietary supplements, and other consumable food products. Some are suppliers to other food manufacturers or to the food service industry, while many also distribute consumer products to retailers or direct to consumers.

Chapter 22: Industrial and Automotive Subsector Benchmarks [Buy Now]

Chapter 22 provides benchmarks for industrial and automotive manufacturers. The 18 respondents in this subsector make auto parts, aviation products, material handling equipment, engines, machinery, and similar capital goods. The manufacturers in the sample range in size from $45 million to $7.3 billion in annual revenue.

Chapter 23: Commercial Banking Subsector Benchmarks [Buy Now]

Chapter 23 provides benchmarks for commercial banks. This subsector includes credit unions and community, regional, and national banks. The 16 respondents in this sample have annual revenue ranging from $22 million to $90 billion.

Chapter 24: Brick-and-Mortar Retail Subsector Benchmarks [Buy Now]

Chapter 24 provides benchmarks for brick-and-mortar retailers. This subsector includes department stores, clothing stores, convenience stores, nonprofit retailers, furniture retailers, agricultural retailers, and other retailers. The 16 respondents in this sample have annual revenue ranging from $80 million to $19 billion.

Chapter 25: Utilities Subsector Benchmarks [Buy Now]

Chapter 25 provides benchmarks for utilities. The 17 respondents in this subsector range in size from about $87.9 million to $126 billion in annual revenue. This category includes gas and electric utilities, power transmission distributors, pipeline operators, water and power utilities, and telecommunications service providers.

Chapter 26: Hospital Subsector Benchmarks [Buy Now]

Chapter 26 provides benchmarks for hospitals. The 31 respondents in this subsector range in size from $52 million to $16 billion in annual revenue. This category includes community hospitals, university hospitals, nonprofit hospitals, health clinics, healthcare systems, and regional healthcare providers.

Chapter 27: City and County Government Subsector Benchmarks [Buy Now]

Chapter 27 provides benchmarks for city and county governments. This chapter is concerned with the IT workings of city or county governments and not individual agencies within larger governments (which can be found in Chapter 28). The 21 respondents in this subsector have annual operating budgets ranging from $58 million to $68 billion.

Chapter 28: Government Agency Subsector Benchmarks [Buy Now]

Chapter 28 provides benchmarks for federal, state, and regional government agencies. The category includes public health agencies, courts and law enforcement agencies, organizations that provide IT services to government agencies, social service agencies, state parks, lotteries, and other federal, state, and regional government units. The 16 respondents in the sample have operating budgets that range in size from $52.6 million to about $72 billion.

Chapter 29: Logistics Subsector Benchmarks [Buy Now]

Chapter 29 provides benchmarks for logistics providers. The 20 respondents in this sample range in size from $52 million to about $40.7 billion. The sector is comprised of logistics companies that transport goods, including refined petroleum distributors, national moving or courier companies, freight transportation companies, supply chain logistics providers, and other logistics companies.

Chapter 30: Higher Education Subsector Benchmarks [Buy Now]

Chapter 30 provides benchmarks for the higher-education sector. The sector includes public and private colleges and universities, business and medical schools, and for-profit institutions. The 16 respondents in the sample have annual revenues ranging in size from $50 million to $1.6 billion.

IT Spending and Staffing Metrics Descriptions


Metrics in Composite (Chapter 2) and Organization Size (Chapter 3A, 3B, 3C) Chapters

This section lists the metrics provided in Chapter 2 for the composite sample and in Chapters 3A, 3B, and 3C for small, midsize, and large organizations. These chapters include 51 figures, including 11 tables, presented in 13 sections.

Demographics

In Section 1, we describe the key characteristics of the sample to establish a basis for comparison with other IT organizations. These metrics are as follows:

  • Organization size demographics, including revenue, employees, and revenue per employee
  • IT spending demographics, including total IT spending, IT capital spending, and IT outsourcing budget
  • IT infrastructure demographics, including number of data centers, network sites, and business applications
  • Key metrics of IT intensity, including users as a percentage of employees, PCs per user, percentage of users with tablets, percentage of users with smartphones, users per network site, percentage of application functionality from custom systems, and first call resolution rates

Spending by Type

In Section 2, we provide IT spending benchmarks by type of spending. These metrics not only provide additional demographic information but also identify IT trends. They include:

  • Percentage of IT spending devoted to ongoing support
  • Outsourcing as percentage of IT budget
  • Percentage of IT spending outside IT budget
  • Cloud/subscription software as a percentage of application portfolio

Budgeting Priorities

In Section 3, we examine key budget priorities for IT organizations. These metrics include:

  • Spending priorities by budget area, showing the net percentage of organizations planning to increase spending on IT personnel, business applications, data center, networking, and end-user technology
  • Plans for IT outsourcing, showing the percentage of companies planning to increase, decrease, and maintain spending at about the same level
  • Spending priorities by IT initiative, showing the net percentage of organizations planning to increase spending on security/privacy, cloud applications, business intelligence and data warehousing solutions, cloud infrastructure, mobile devices, and disaster recovery/business continuity
  • The importance of lower costs vs. improving service levels in the coming year

Total IT Spending Metrics

Section 4 presents metrics on IT spending, which includes current-year IT operational and capital spending, but excludes depreciation. These metrics include:

  • Total IT spending as a percentage of revenue
  • Total IT spending per user
  • Total IT spending per PC
  • Budget categories as average percentage of total IT spending, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier expenses, PCs/end-user devices, printers/printing, and other expenses

IT Operational Spending Metrics

Section 5 presents metrics for IT operational spending. These metrics are as follows:

  • Percentage of organizations decreasing, maintaining, or increasing IT operational spending year over year
  • IT operational budget percentage change from previous year
  • Expectations for how actual IT operational spending will compare with budget
  • Adequacy of current IT operational budget to support the business
  • IT operational spending as a percentage of revenue
  • IT operational spending per user
  • IT operational spending per PC
  • Percentage of IT operational budget charged back to users
  • Budget categories as average percentage of IT operational spending, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier fees, PCs/end-user devices, printers/printing, and other expenses
  • Personnel as a percentage of IT operational spending at the 25th percentile, median, and 75th percentile
  • Depreciation as a percentage of IT operational budget

Capital Spending Metrics

Section 6 provides an analysis of IT capital budgets, including:

  • Percentage of organizations decreasing, maintaining, and increasing IT capital spending
  • IT capital budget change from prior year
  • Expectations for how actual IT capital spending will compare with budget
  • IT capital budget as a percentage of IT budget
  • Budget categories as average percentage of IT capital spending, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier fees, PCs/end-user devices, printers/printing, and other expenses

IT Staffing Metrics

In Section 7, we provide key metrics and trend data on IT staffing, including:

  • Users per IT staff member
  • Percentage of organizations increasing, maintaining, and decreasing IT staff levels from previous year
  • IT staff headcount change from previous year
  • IT staff turnover
  • Annual training allocation per IT employee
  • Contingency workers as percentage of IT staff
  • IT staff functions as average percentage of IT staff, including IT managers, IT finance/vendor management/procurement, project management, clerical support, application developers, application maintenance/support, data management, quality assurance/testing, database administration, server support, network support, communications support, web/e-commerce, IT security, help desk, desktop support, documentation/training/process and standards, and other functions

Job Function Metrics

In Section 8, we provide key benchmarks for six job functions:

  • IT managers as a percentage of IT staff
  • OS instances per server support staff member
  • Network devices per network support staff member
  • Applications per application developer
  • Applications per application maintenance and support staff member
  • PCs per desktop support staff member
  • Users per help desk staff member
  • First-call resolution rate

Service Area Spending Metrics

Section 9 shows IT spending benchmarks by service area as a percentage of total IT spending. The service areas are IT management, business applications, data center, network, and end-user computing.

Business Application Metrics

Section 10 provides business application metrics, including:

  • Business application spending as percentage of IT spending
  • Business application spending per user

Data Center Metrics

Section 11 covers these data center spending and infrastructure metrics:

  • Processing workload by operating system, including IBM mainframe, Unix, Linux, IBM i (OS/400), Windows Server, and other
  • Consolidated data center spending per user
  • Consolidated data center spending per server
  • Data center hardware/software spending as a percentage of IT spending
  • Data center hardware/software spending per user
  • Energy/utilities as a percentage of IT spending
  • Energy/utilities spending per user
  • OS instances per physical server
  • Users per physical server

Network Metrics

Section 12 covers the following network metrics:

  • Consolidated network spending per user
  • Network infrastructure as a percentage of IT spending
  • Network infrastructure spending per user
  • IT security as a percentage of IT spending
  • IT security spending per user
  • Data/voice carrier fees as a percentage of IT spending
  • Data/voice carrier spending per user

End-user Computing Metrics

Section 13 covers the following network computing metrics:

  • Consolidated end-user technology spending per user
  • PCs/End-user devices as a percentage of IT spending
  • PCs/End-user device spending per user
  • PC refresh rate in years
  • Printer/Printing as a percentage of IT spending
  • Printer/Printing spending per user
  • Users per printer

As noted above, in each chapter, the section on total IT spending and the section on IT operational budgets include a detailed analysis of IT budget line items as a percentage of the total. Line items include IT personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, IT security, voice/data carrier expenses, PCs/end-user devices, printers/printing, and “other.” An example of the presentation of this data is shown in Figure 1-14. Please note that the percentages shown here do not represent the actual data in the report, but are only provided to illustrate the format of the data presented.


As noted earlier, the staffing section of each chapter concludes with a breakdown of IT staffing ratios for 18 individual job positions, with each position provided as an average percentage of the total IT headcount. IT workforce job positions include IT managers; IT finance/vendor managers; project managers; clerical/administration; application developers; application maintenance support; business analysts; data management; quality assurance and testing; database administration; server support; network support; communications; web and e-commerce; security, help desk; desktop support; and documentation, training, and IT process/standards personnel and other.

 
An example of the presentation of this data is shown in Figure 1-15. Please note once again that the percentages shown here do not represent the actual data in the report, but are only provided to illustrate the format of the data presented.

Metrics in Sector and Subsector Chapters

The sector chapters, Chapters 4-19, and the subsector chapters, Chapters 20-30, have 30 figures, including 11 tables.

In Section 1, we describe the key characteristics of the respondents in this sector to establish a basis for comparison with other IT operations. These metrics are as follows:

  • Organization size demographics, including revenue, employees, and revenue per employee
  • IT spending demographics, including IT spending, IT capital spending, and IT outsourcing budget
  • IT infrastructure demographics, including number of data centers, network sites, and business applications
  • Key metrics of IT intensity, including users as a percentage of employees, PCs per user, percentage of users with tablets, percentage of users with smartphones, users per network site, percentage of application functionality from custom systems, and first call resolution rate

In Section 2, we describe IT spending benchmarks by type of spending. These metrics not only provide additional demographic information, but also identify IT trends. They include:

  • Percentage of IT spending devoted to ongoing support
  • Outsourcing as a percentage of IT budget
  • Percentage of IT spending outside IT budget

Section 3 presents metrics on IT spending, which includes current-year IT operational and capital spending but excludes depreciation. These metrics include:

  • Total IT spending as a percentage of revenue
  • Total IT spending per user
  • Total IT spending per PC
  • Total IT spending by category as an average percentage of total IT spending, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier expense, PCs/end-user devices, printers/printing, and other expenses

Section 4 presents metrics for IT operational spending, which includes depreciation. These metrics are as follows:

  • IT operational spending as a percentage of revenue
  • IT operational spending per user
  • IT operational spending per PC
  • Percentage of IT operational budget charged back to users
  • IT operational spending by category as an average percentage of IT operational spending, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier expense, PCs/end-user devices, printers/printing, and other expenses (see example in Figure 1-14)
  • Personnel as a percentage of IT operational spending at the 25th percentile, median, and 75th percentile
  • Depreciation as a percentage of IT operational budget

Section 5 provides an analysis of IT capital budgets, including:

  • IT capital budget as a percentage of IT budget
  • IT capital budget by category as an average percentage of IT capital budget, including spending on personnel, business applications, data center hardware/software, energy/utilities, IT facilities/floor space, network infrastructure, security, voice/data carrier expense, PCs/end-user devices, printers/printing, and other expenses

In Section 6, we provide key metrics and trend data on IT staffing, including:

  • Users per IT staff member
  • IT staff turnover
  • Annual training allocation per IT employee
  • Contingency workers as a percentage of IT staff
  • IT staff functions as an average percentage of IT staff, including IT managers; IT finance/vendor managers; project managers; clerical/administration; application developers; application maintenance support; business analysts; data management; quality assurance and testing; database administration; server support; network support; communications; web and e-commerce; security, help desk; desktop support; and documentation, training and IT process/standards personnel and other (see example in Figure 1-14).

Section 7 shows IT spending by service area as a percentage of total IT spending. The service areas are IT management, business applications, data center, network, and end-user computing.

Section 8 provides business application metrics, including:

  • Business application spending as percentage of IT spending
  • Business application spending per user

Section 9 covers these data center metrics:

  • Processing workload by operating system, including IBM mainframe, Unix, Linux, IBM i (OS400), Windows Server, and other
  • Consolidated data center spending per user
  • Data center hardware/software spending as percentage of IT spending
  • Data center hardware/software spending per user

Section 10 covers the following networking metrics:

  • Consolidated network spending per user
  • Network infrastructure as percentage of IT spending
  • Network infrastructure spending per user

Section 11 covers the following end-user computing metrics:

  • Consolidated end-user technology spending per user
  • PCs/end-user devices as percentage of IT spending
  • PCs/end-user device spending per user

IT Spending and Staffing Benchmarking Consulting

Looking for expert assistance in evaluating your IT spending and staffing levels or budgeting for IT? Our custom benchmarking consulting service provides an in-depth assessment of your organization's IT spend ratios, comparing your metrics against our database of peer organizations. Contact us for pricing and a free sample of the benchmarking deliverable.

Request pricing and sample deliverable


Our IT Spending and Staffing Benchmarks study includes data relevant to corporate information technology spending metrics, strategic IT spending benchmarks, IT budget benchmarks, such as IT budget per employee, information systems budgets, IT department budgets, analysis of the challenges in IT spending in the enterprise, IT services spending, IT financial management, company IT spending by industry, US IT spending, Canada IT spending, IT budget ratios, IT expenditures, IT performance metrics, IT cost management statistics, information on the cost of information technology, and other IT key performance indicators, for the CEO, CIO, CFO, and senior IT managers.

 

 

 

Help Desk    Alliances     Privacy Policy  

 

© Computer Economics • 2082 Business Center Dr. Ste 240, Irvine, CA 92612 • tel: (949) 831-8700