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IT is key to increasing profit, C-Suite agrees

European businesses want to align themselves better with their IT departments, as they believe that way they could improve their bottom line. However, the idea is hindered by a serious lack of useful data and the tools to get them.

Those are the results of a new in-depth report, conducted by profit optimisation experts, Vendavo, and academic Patrick Reinmoeller, Professor of Strategic Management at Cranfield School of Management.

The report is based on a poll of 200 C-Level executives from across Europe.

Out of that 200, 52 per cent of CMOs and CFOs think allying better with CTOs and CIOs could improve future corporate profits. Almost half (41 per cent) have already started aligning themselves, it was said.

At the same time, the success is conditioned by available insights. Effective management of margins is linked to company performance above market expectations, but without proper tools giving key insights, that cannot be achieved. More than half (55 per cent) using real-time data, perform ahead of market expectations.

“Pressure on margins has never been greater, while global competition has never been tougher. Businesses have to build new capabilities to understand the market and their customers, pick up the weak signals, make the right calls and swiftly align resources to seize emerging opportunities or avert threats,” said Patrick Reinmoeller, Professor of Strategic Management at Cranfield School of Management.

“The best performing CFOs and CMOs are already using IT to influence how strategies are developed. Providing intuitive tools that offer those making the critical judgments with better insights based on better data is going to be core to raising the level of how organisational knowledge is created and deployed.”

Image source: Shutterstock/Melpomene

Sead Fadilpašić

Sead is a freelance journalist with more than 15 years of experience in writing various types of content, from blogs, whitepapers, and reviews to ebooks, and many more, across sites including Al Jazeera Balkans, TechRadar Pro, IT Pro Portal, and CryptoNews.