Corporate technology management shifting away from IT departments

The decentralisation of IT has its good sides, as well as its bad ones.

A majority of business leaders in the UK believe management of technology is slowly moving away from IT and into other departments within a company. This is according to cloud infrastructure and business mobility firm VMware, whose latest report is based on a poll of 200 IT decision makers and heads of lines of business.  

Businesses are benefitting from this IT decentralisation. They are capable of launching new products and services faster (56 per cent), free to innovate better (63 per cent), and are faster to respond to changing conditions in the market (59 per cent). The decentralisation has another positive effect: employees are more satisfied (53 per cent), and companies find it easier to attract better talent (37 per cent). But there are also downsides to what’s happening. Sometimes, there would be duplications on IT service spending (63 per cent), and companies seem to be lacking clear ownership and responsibility for IT (62 per cent). Also, every now and then, unsecure solutions get purchased (59 per cent).   

“It’s ‘transform or die’ for many businesses, with a tumultuous economic environment and radically evolved competitive landscape upturning the way they operate,” says Joe Baguley, vice president & chief technology officer, EMEA, VMware.  

“Managing this change is the great organisational challenge companies face. The rise of the cloud has democratised IT, with its ease of access and attractive costing models, so it’s no surprise that lines of business have jumped on this opportunity. Too often, however, we’re seeing this trend left unchecked and without adequate IT governance, meaning that organisations across EMEA are driving up costs, compromising security and muddying the waters as to who does what, as they look to evolve.” 

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