IT pros are really bad at accurately budgeting and forecasting IT service demand costs. This is according to a new report by cloud-based Technology Business Management (TBM) software firm Apptio. According to Apptio’s new report, which is based on a poll of 120 senior IT professionals, less than a quarter (22 per cent) are able to ‘accurately budget and forecast IT service demand costs’.
More than a third (36 per cent) are confident they properly aligned budgets and business priorities. On the other hand, more than two thirds (68 per cent) think increasing value for business is their top priority for next year.
“One of the primary challenges we face in IT financial planning is creating a single view of our investments across resources, services and innovation,” said Stephanie Rendon, Director of Finance, Information Management at CHRISTUS Health.
“Today, for instance, we can’t provide a combined view of operational and investment costs for both projects and services.”
To address the issues, the company released two new products – applications Apptio Project Financial Planning and Apptio Services Demand Planning. The company says these apps will help IT professionals align IT project investments with business demand.
“Budgeting and planning can be viewed as just a tactical, time consuming exercise,” said Ted Kummert, EVP of Engineering at Apptio. “These new applications raise planning to a strategic level where IT leaders can actively manage their portfolio of investments, making decisions about the mix of run vs. grow and engaging with leaders across the business to align investments with business needs.”