Turbotodd

Ruminations on tech, the digital media, and some golf thrown in for good measure.

Archive for the ‘information technology’ Category

IT Spending: Steady in the Clouds

leave a comment »

Let’s get the most important stuff out of the way first. 

Tiger tees off in the first round of this year’s Masters at 10:42, grouped with Australia’s Marc Leishman and England’s Tommy Fleetwood.

You can feel the Augusta Tiger buzz all over the world (okay, the golf world, anyway).

But enough golf, let’s talk IT spending.

Today’s Wall Street Journal “Morning Download” email had this headline: “IT Spending Outlook is Steady Despite Volatile Days in Tech.”

Volatile? Amazon has lost more than $50 billion of market value in the last week, Facebook somewhere north of that.

But despite that, the talk of trade tariffs and regulation, the Journal reports that “the outlook for spending on information technology appears steady.”

The estimate was based on a survey of 75 U.S. and 25 European CIOs at companies in a range of industries conducted by Morgan Stanley (and most of the firms with more than $1 billion in annual revenue.)

What’s driving the increase? First, the cloud.

The report “found that IT budgets at these firms are set to increase 5.4%, slightly up from 5.2% last year, and that “budget gains are being driven by ongoing growth in cloud computing.” It suggested that 25% of total application workloads will be running in the cloud by the end of the year (up from 20% today).

Cloud was one priority spending area, and security software was cited as another.

Fifty-nine percent indicated they “do not expect changes in tax rates, appreciated depreciation, and cash repatriation” to impact their 2018 IT spending plans, and 29% indicated the tax changes would likely put upward pressure on spending.

A Gartner forecast from earlier this year had projected estimates of IT spend to reach $3.7 trillion in 2018, a YOY increase of 4.5%.

Written by turbotodd

April 5, 2018 at 10:06 am

Millennial IT Buyers

leave a comment »

Snapshots from today’s Wall Street Journal article about milllennial IT buyer preferences and characteristics:

  • At the end of 2016, the number of millennials in the U.S. workforce overtook Generation X workers, by a margin of 58.1 million to 52.9 million
  • At the executive level, CIOs make up the youngest group in the C-suite with an average age of 51
  • Younger IT buyers are more likely to shop for new products or services online, via search engines and social media sites, compared to their older counterparts (who prefer to respond directly to tech marketers, especially when contacted by phone or email.
  • “Millennials are more comfortable with a broader variety of sources, while older buyers are more selective, but are more comfortable picking up a phone.”
  • Younger buyers say they responded to sales pitches that included detailed pricing information, recognizable brands and a personalized message.

You can read the full story here.

Written by turbotodd

January 17, 2018 at 8:58 am

Cloudy With A Chance Of Taxes

leave a comment »

The Wall Street Journal’s “CIO Journal” reported on a recent CompTIA survey about the growing concerns over tax, trade and other federal policies by U.S. IT firms.

On its 100 point IT Industry Business Confidence Index, CompTia’s score came in at 64.2, down from the first quarter but up from the same time period a year ago.

CompTIA’s press release on the new index numbers was more bull than bear:

“For the 14th consecutive quarter the aggregate rating came in above the 60-point threshold,” said Tim Herbert, senior vice president, research and market intelligence, for CompTIA. “The confidence level of industry executives reflects the continued strength of the IT sector, as well as a steadily improving economy.”
– via www.comptia.org

Herbert also noted that “A strong majority of executives — 83 percent — said their companies are on target or ahead of revenue goals for the year.”

Most of the headwinds seemed to center around uncertainty about tax and trade policy in the U.S.

Written by turbotodd

June 1, 2017 at 9:43 am

Six Keys To Effective Reputational And IT Risk Management

leave a comment »

In September of last year, I blogged about the IBM 2012 Global Reputational Risk and IT Study, which I explained was an “investigation of how organizations around the world are managing their reputations in today’s digital era, where IT is an integral part of their operations and where IT failures can result in reputational damage.”

I also wrote “corporate reputations are especially difficult to manage in an era when anyone with a smartphone and Internet connection can file their complaint with a single touch.”

That continues to be the case, but what’s new is that IBM has recently issued another report on further implications of this study and its findings, and more importantly, what organizations can do to get on offense when it comes to better managing their corporate reputation.

The Connection Between Reputational Risk And IT

When the corporate world first began paying attention to the concept of reputational risk in 2005, organizations’ focus tended to be on business issues like compliance and financial misdoings.

Today, the focus has shifted to include the reputational impact of IT risks. Virtually every company is now reliant on technology for its critical business processes and interactions. While it may take 10 minutes or 10 hours to recover from an IT failure, the reputational impact can be felt for months or even years.

IBM - Factors Affected By IT Risk

Reputational damage caused by IT failures such as data breaches, systems failures and data loss now has a price tag. According to analyses performed by the Ponemon Institute, the economic value of a company’s reputation declines an average of 21 percent as a result of an IT breach of customer data — or the equivalent of an average of US $332 million.

The question now is not whether IT risks affect your corporate reputation, but what you can do to effectively prevent and mitigate these risks.

IBM -- True Price Of Reputational Harm

Six Keys To Effective Reputational And IT Risk Management

An analysis of responses to the IBM study revealed distinct correlations between the initiatives that organizations are undertaking to protect their reputations from the ramifications of IT failures and the overall effectiveness of their reputational and IT risk management efforts.

Based on this analysis, and the pattern it revealed among organizations that are most confident in their ability to prevent and mitigate IT-related reputational risk, there are six key initiatives that IBM recommends as part of every company’s efforts:

  1. Put someone in charge. Ultimate responsibility for reputational risk, including IT-related items, should rest with one person.
  2. Make the compliance and reputation connection. Measuring reputational and IT risk management strategies against compliance requirements is essential.
  3. Reevaluate the impact of social media. In addition to recognizing its potential for negative reputational impact, social media should be leveraged for its positive attributes.
  4. Keep an eye on your supply chain. Organizations must require and verify adherence of third-party suppliers to corporate standards.
  5. Avoid complacency. Organizations should continually evaluate reputational and IT risk management against strategy to find and eliminate potential gaps.
  6. Fund remediation; invest in prevention. For optimal reputational risk mitigation, companies need to fund critical IT systems as part of their core business

IBM -- Importance Of Reputational Risk

How IBM Can Help

When planned and implemented effectively, your organization’s reputational and IT risk strategy can become a vital competitive advantage. When you protect against and mitigate reputational risks successfully, you can enhance brand value in the eyes of customers, partners and analysts. Further, your organization can better attract new customers, retain existing customers and generate greater revenue.

IBM can help you protect your reputation with a robust portfolio of IT security, business continuity and resiliency, and technical support solutions. You can start with an IT security risk assessment, or penetration testing performed by IBM experts.

For business continuity and resiliency, you can begin with a Continuous Operations Risk Evaluation (CORE) Workshop and move on to cloud-based resiliency services. Our technical support solutions range from basic software support to custom technical support.

What makes IBM solutions work is global reach with a local touch. This includes:

  • Over 160 business resiliency centers in 70 countries; more than 50 years of experience
  • More than 9,000 disaster recovery clients, with IBM providing 100 percent recovery for clients who have declared a disaster
  • A global network of 33 security operations, research and solution development centers; 133 monitored countries
  • 15,000 researchers, developers and subject matter experts working security initiatives worldwide.

To learn more about the IBM Global Reputational Risk and IT Study go here.

IBM ImpactTV 2012 Instant Replay: IBM’s Steve Mills On Big Data Analytics, PureSystems, And The Continued Importance Of Transaction Processing

leave a comment »

At last week’s IBM Impact 2012 event at the Venetian in Las Vegas, my collaborator and fellow blogger Scott Laningham and I spent much of our week interviewing thought leaders from IBM, our Business Partners, our clients, and even our keynoters, and to help spread the word, we’ll be incorporating some of those interviews in our respective blogs over the next days and weeks.

First up, the big man himself, IBM senior vice president and group executive, Software and Systems, Steve Mills.

If you’ve been in or around the software or IT industry for any length of time, it’s very likely you’ve heard from Steve.  And, as you well know, Steve always delivers — to customers, and to audiences.

This time around, Steve reminded us about the importance of transaction processing, explained the economic drivers that led to the development of IBM’s new PureSystems line of technology, and debriefed us on two recent IBM Software acquisitions in the big data analytics realm.

Live At Impact 2011: Crossing The Consumer IT Chasm

leave a comment »

Impact is having its intended Impact.  And then some.

I don’t know about the rest of you who may have attended, but that was some Impact networking party here at the Venetian last night.  And how about that band??

I just hope they burned the videotape…you know, the ones they were taking of me dancing.

But the dawn soon came, and now we’re back for more from Day 3 at Impact. Katie Linendoll kicked things off today with a Kinetic-like audience participation video game.

IBM VP of WebSphere Product Management and Development Support, Beth Smith, then followed Katie with some opening remarks and a recapping of the past couple of days.

And then the chasm opened, and out walked Geoffrey Moore, business innovation thought leader and author, and also chairman of TCG advisers.

The title of his talk? “The Future of Enterprise IT, 2010-2020: From Systems of Record to Systems of Engagement.”

Sounds complicated, right? But it was quite simple. How can enterprises catch up with consumerized IT to develop “systems of engagement” for the enterprise.

His pitch posed a key question that should be considered by enterprises everywhere: How can it be I am so powerful as a consumer and so lame as an employee?”

There’s a big disconnect there.  Though systems of record (think traditional enterprise IT systems) are largely complete, we’re seeing a redefinition of IT for consumers. Moore explained we’re basically using it to digitize human culture.

Access, with low barriers to entry and exit; ubiquitous broadband; and mobile technologies combined to open the world to globalization and outsourcing.  This, in turn, opened the door to consumerized IT, but also put back office pressure on large organizations to move into a Darwinian cycle, where commoditization requires differentiation, which in turn requires specialization, which requires outsourcing…you can see the cycle.

It impacts both B2B and B2C, and has also started to upend business structures.  The old, hierarchically organized, integrated enterprise is quickly being challenged by business networks of specialized enterprises.

These new networks require more demand for communication, collaboration, coordination, and the challenge to IT is to enable us all to engage with peers globally to solve problems.  But the answers aren’t in systems of record: They’re often in peoples’ heads!

So, Moore believes, we need to invest in IT for the middle tiers of organizations — not front line workers engaged in transactional workflows, and not top execs engaged in strategic issues.

Rather, we need them for “in the moment” empowerment through systems of engagement, where those workers have broad and easy access to systems of records on demand.

Moore suggests we also need B2C systems of experience, where we have core online experiences that are compelling and utilitarian (amen!), but which will be increasingly driven to facilitate work in real time.

The answers are out there, in all those computers and databases, but they are tiny needles in massive haystacks.  There’s no time left for people, or disk drives, to be in the loop.

We must move into the era of Big Data, where those systems can help we humans find the answers or provide those value-added services that humans can provide, and fast (Think Watson, but in more of a call-center like environment, where Watson’s helping people find the answers for the human).

Systems of record create efficiency, claimed Moore, and it’s impossible to do global commerce without them.  But, his thesis suggests, they won’t be enough to meet the demands of a consumerized IT culture.

It will be the systems of engagement that create effectiveness, that will address the complexities of global business relationships, and to help create those compelling online experiences.

Every strategy, Moore concluded, is made or broken during a handful of moments of engagement?

Which ones would have the most impact for your organization, and more importantly, how quickly can you put them in place?

Office In The Sun

with one comment

Happy New Year!

That seems to be especially the case for Facebook, which according to Dealbook, has raised $500M in additional funding from Goldman Sachs and Russian investor Digital Sky Technologies, a sum which would now value Facebook at $50 billion.

Of course, if it’s true that Facebook is about to move into Sun Microsystems’ old 150,000 square foot office space in Palo Alto, Zuckerberg’s going to need as much new scratch as he can get to remodel the place and bring back that new IPO smell once so prevalent in Silicon Valley, but which has been eroded these past eight years with the taxing shadow of Sarbanes-Oxley.

What Zuckerberg won’t need is any overhauling of the privacy mantra still haunting the hallways of the old Sun.

Remember, it was former Sun CEO Scott McNealy who informed us “You have zero privacy. Get over it.”

It seems, perhaps, he was right.

And prescient, considering he said that way back in the Jurassic age of the Dot Com boom.  I wonder if his soothsaying also envisioned a 26 year-old kid taking over his campus someday??

Nahh, probably not.

While the Facebookers have been busy raising their valuation, Bloomberg is reporting that tech takeovers could pick up bigtime this year as firms like Intel, HP, and yes, even Big Blue, set off in a race to “harness surging demand for cloud computing and security services.”

That same said story has Gartner estimating global IT spend this year at around $3.4 trillion, a 3.5 increase from last year.

Me, I’m just hoping to catch a glimpse of some of the cool stuff being released at the Consumer Electronics Show this week.

Though my New Year’s resolution is still in the process of being resolved, one thing I did promise this year was not to go out and buy every new new thing the first week it’s available.

That, instead, I would demonstrate some resolve…and wait at least until the second week.

Written by turbotodd

January 3, 2011 at 6:24 pm

%d bloggers like this: