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CIOs are facing the challenge of reducing actual IT spending as well as ensuring the realization of expected business value. While budgets are under pressure, IT is expected to enable new business and accelerate innovation by delivering increasing value. 73 CIOs and IT manager provided their perspective in the 2012 edition of the CIO survey "TCO & IT Economics".


The survey has been conducted in a collaborative effort between the German speaking SAP user group (DSAG), the CIO work group "TCO & IT Economics" and SAP. Key objective was to get the CIO perspective on TCO & IT Economics and analyze the potential and relevance of selected best practices to reduce TCO and increase IT enabled business value. The survey is structured into 3 sections: CIO Context, TCO, IT Value.


This blog is the first in a series to provide insights about IT Economics and discuss survey results. Part 1 is dedicated on CIO priorities for 2012 and 2013.



Question: Do you consider the following objectives during the next 12-18 months a priority in your company?

  • Reduction of IT cost (TCO)
  • Increase value of IT (IT enabled business value)
  • Ensure business continuity and compliance
  • Increase revenue growth with IT
  • Increase operational efficiency (productivity)
  • Establish IT as a business partner


Survey Result: Top 3 CIO priorities are: 1. Increase IT enabled business value, 2. Increase operational efficiency, 3. Ensure business continuity & compliance



My Conclusion: If IT Economics could be described as a coin with two sides: TCO & IT Value - I would say regarding the outlook for 2013: Both sides of the coin matter equally for CIOs in addition to ensure business continuity and compliance.


What is the perspective on IT Economics in your business? Take part in the survey and find out, free of charge. It is now available globally, here: IT Economics Survey @ SAP Value Management Center


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Your View matters: What is your perspective on this question? I would like to know what are your thoughts.



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