Very interesting results from the Diamond Digital IQ for 2010.
Key Findings from Diamond’s Third Annual Digital IQ Study:
* 60% of executives (business and IT) don’t know how much they spend on technology.
* Almost half of the respondents say that IT leaders don’t share the same understanding of the businesses strategic direction that the business executives have.
* Fewer than 25% of respondents say the CIO’s role in innovation is to drive new value through market-facing initiatives.
* 47% of executives (business and IT) are neutral or agree with the statement that the CIO does not have a positive working relationship with the business leaders.
* Firms that benefited most from growth maintained some level of strategic and innovative investment, and followed through on strategic ideas, implementing them effectively.
The first bullet point blew me away. I suppose it makes sense after thinking about it for a few minutes…nah, I still can’t believe it. How can a business be effective and compete in the market if the leaders don’t have a clue what they’re spending? Is it because they don’t want to know, can’t know or just haven’t taken the time to know? I’m not sure which option is worse, to be honest.
Now put this into perspective and understand why, if execs know about this deficiency, they’re so anxious to justify spend on programs with perceived nebulous definitions and ROI like Enterprise Architecture.
Read the complete report in all its gorgeous PDF-ness by clicking here