'Half of IT departments don't deliver value'

Fifty-seven per cent of IT executives do not believe that their IT systems, processes, and services deliver the value expected by the business, a study from IT service management firm Axios Systems suggests.

The study also found that 64 per cent of respondents are unable to provide the business and IT executives with quantifiable metrics demonstrating the value of IT services and assets in real-time, despite huge investments in IT; it appears organisations still lack the systems, processes and best practice approaches for IT management that would help overcome these challenges.

As budgets come under closer scrutiny, 39 per cent of IT professionals claim that business decision makers ‘still do not understand the value IT brings to the business’.

The study was conducted in June and July 2009, and is based on over 1500 IT professionals from North America, Europe and Asia.

Elsewhere the research found that 63 per cent of respondents are focused on cost reduction as the principal driver for IT projects over the next 12 months, followed by Change Management and compliance. When these business drivers are considered, the need for a ‘new, more pragmatic and value-orientated approach to IT’ becomes ‘increasingly important’.

The focus on cost reduction and Change Management is being echoed in the specific technologies under consideration for the next 12 months. Major projects cited by respondents included CMDB (Configuration Management Database) (22 per cent), Change Management (19 per cent), and Service Catalogue (18 per cent) deployments.

In addition, 16 per cent of respondents have service desk upgrades or replacements planned. When these projects are taken together it emphasises the focus IT is taking in trying to understand the value of their IT assets, as well as finding ways to reduce costs and support business transformation initiatives.

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