Budget increases rise past levels originally anticipated; hit high for 2015.
Heading into 2015, 45 percent of IT leaders expected their IT budgets to increase. Through the first half of the year, the percentage of IT leaders who expect increases for the coming quarter is now at its highest level. At the end of March, 43 percent expected increases, while 50 percent expect increases as of the end of June.
Thirty-nine percent of IT leaders expected their IT budgets to stay the same as they entered 2015, but fewer say this is the case heading into the second half of the year. At the end of March, 43 percent indicated budgets would stay the same, while 35 percent report this as of the end of June.
At the beginning of 2015, 16 percent of IT leaders expected their IT budgets to decrease. This viewpoint remained relatively consistent through the first half of the year, with 14 percent and 15 percent of IT leaders reporting the same for the end of March and June, respectively.
Findings: The number of IT leaders who expect budget increases in the last quarter has grown past the number that originally anticipated increases and is now at a yearly high. Compared to the original forecast, an additional 5 percent expect increases, shifting away from expectations for budgets to stay the same (4 percent decrease) or decrease (1 percent decrease). Furthermore, the number of IT leaders who expected budgets to either increase or stay the same has been remarkably consistent at 84 percent heading into 2015, 86 percent at the end of March and 85 percent at the end of June.
A fundamental shift has been taking place in IT departments across the country over the past several years. Today's IT department plays a far more significant role in an organization's bottom line than ever before, and must align itself to provide the services that will support the business and end users alike. Even with these increased demands, though, IT departments have been challenged with smaller budgets and staffing shortages.
With the economy continuing to show signs of improvement, we may be seeing some light at the end of the tunnel. TEKsystems®, a leading provider of IT staffing solutions, IT talent management expertise and IT services, recently released the results of its quarterly IT "Reality Check," a survey that compares current market conditions on the state of spending, skill needs and impact areas originally reported in the company's Annual IT Forecast released in December 2014. The most recent survey represents the views of more than 240 IT leaders (CIOs, IT VPs, IT directors and IT hiring managers) as of June 2015.