Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

The Growing U.S. IT Productivity Gap


Published on

Productivity growth has slowed down despite our rising investment in IT.

Published in: Technology
  • Be the first to comment

  • Be the first to like this

The Growing U.S. IT Productivity Gap

  1. 1. 2006 Amazon web services launched 6 1990 2000 2010 .2% 1.2% 1 2.6% 1991 World wide web debuts 1997 Wifi 1998 Google THE GAP GROWING Productivity growth has slowed down despite our rising investment in IT What is it? 4 6 5 5 Complexity 55-72% of IT spend is operations & mainterance Acceleration of security attacks 40% increase in recent years Acceleration of data doubling its size every 2 years By 2020, the digital universe will be 44 zettabytes Old infrastructure mobile & cloud technology is bolted onto 30-year-old systems Causes How to close it Estimated $2.7 trillionAnnual cost IT spend at 11% 3 2007 iPhone debuts $1.4 million units 2015 IT spend at 5.5% 2 iPhone sales $231 million units Greater focus at the “Technology Frontier” Frontier firms apply innovative technologies to business solutions – so workers can becomemore productive The productivity growth of the frontier firms is now 3-4% more productive than non-frontier firms Connect people & processes with new technology Streamlined use of cloud/mobile technology, document management, data availability & asset management improves: Customer/client/stakeholder service Business critical KPIs Sector competitiveness Employee efficiency Security 2012 Wifi in 25% of global households 1 Source: Bureau of Labor Statistics 2 3 4 ment/how-to-balance-maintenance-and-it-innovation.html (2014) survey of IT managers by Forrester Research reported the “keep the lights on” component of the IT budge 5 6 Need reference data from Synergy Keynote U.S. IT PRODUCTIVITY ITSPEND PRODUCTIVITY