Businesses See Silver Lining In IT Spending

This article discussed the growing importance of IT in all size companies. IT is becoming an important division in all organizations. Even in this economy, companies are spending money on IT in order to help them reduce operating costs and increase company efficiency. Although small businesses are more optimistic about the status of the economy than larger companies are, they are all spending on IT priorities based on the capabilities they’re looking to provide.

According to the author of this article, demand for IT solutions never go away. Businesses are prioritizing and planning to find ways to implement these services and pushing it off will hurt the company in the end. Currently, price points have decreased because of the high demand of the new IT services and the cost reducing benefit for the companies has made it affordable for businesses to purchase advanced IT systems. Upgrading storage infrastructure has been a huge investment to analyze customer orders and service them better. In fact, enterprise storage solutions are the number three priority for companies in the next 12 months, following backup and recovery and business intelligence. Last year, tech spending increased six percent and is continuing to increase this year.

The main message of this article did not surprise me. With the changing times and rapid advancements in technology, it only makes sense that the business world would have to keep up in order to continue to be successful. Furthermore, since IT upgrades are in high demand with lower prices and will increase efficiency and cut operating costs, it only makes sense the most companies would take advantage of this opportunity.

Also, in the article the author presents this statement, “Bob Dutkowsky, CEO of Clearwater, Fla.-based distributor Tech Data, believes businesses holding off on IT purchases because of economic concerns are creating a [negative] self-fulfilling prophecy.” I agree with Mr. Dutkowsky because these companies delaying the IT systems will be behind all the companies taking advantage of these deals. They will not be able to service their customers up to the level that the other companies will and ultimately this will hurt them in the end.

However, I was surprised that it reported that smaller companies were more optimistic than larger ones. I thought that the larger companies would be more secure and have a larger range of leeway if sales decreased due to the economy. In addition, I have heard of a lot of “Mom and Pop” companies closing down due to the economy, but only a few larger businesses.

Either way, whether the company is large, small, or midsize, the development of the IT industry goes hand-in-hand with the business world. In order for a business to have continued success, they need to be able to stay competitive for their customers’ business and for them to do that they need the most efficient IT system.

Campbell, Scott. Businesses See Silver Lining In IT Spending. Search Jobs, Resumes, Recruiting & Career Site - Beyond.com. Web. 19 Mar. 2010.

http://www.beyond.com/articles/businesses-see-silver-lining-in-it-spending-3728-article.html