Reduced Tech Spending Isn't Necessarily a Bad Thing

Ann All

In a recent blog entry, Nicholas Carr uses the results of InformationWeek's recent survey of the InformationWeek 500, the companies it recognizes as among the most innovative users of IT, to support his continued contention that IT is becoming less strategic and is little more than a cost center for most companies.

 

We are a little puzzled by this, since the InformationWeek report details nicely how many of the companies are not only cutting costs, but improving flexibility and business responsiveness, by trimming their operational budgets. If that's not strategic, then what is? In fact, we titled our summary of the piece, "InformationWeek 500 Companies Use IT in Innovative Ways."

 

Dell, for instance, replaced a hodgepodge of legacy systems with a sleeker order management system that can process more customer orders, faster. Dell expects to save more than $18 million a year with the system, a fact that increases rather than decreases its strategic value in our eyes.



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