How to continue tech investment despite a squeeze on funds

IT leaders may be under exceptional pressure but there are several ways to enable tech investments to continue even when budgets are tightened…

While many areas of business have been put on hold due to the COVID-19 pandemic, digital transformation shouldn't be one of them.

Gartner's Efficient Growth research found that companies that chose to simply weather changes in economic cycles were worse off than those that developed comprehensive action plans to navigate the 2008-9 recession. "The latter group were rewarded with sustained advantage over their competitors," says Brian Morgan, director - CFO advisory at accounting software firm Rimilia.  

"With these learnings in mind, those that continue their digital transformation journeys, build for the future and plan for recovery during the crisis will see a greater focus on raising profitability and attracting and retaining customers in the long-term."

May 2020 research from the London School of Economics showed that 15% of organisations were well advanced with and continuing digital transformation, and that "they will probably gain an irreversible advantage when any economic recovery arrives," says Leslie Willcocks, a professor from London School of Economics and Political Science, Department of Management.

Another 20% have slowed down their digital transformation due to the pandemic, but the worrying group, says Willcocks, are the 65% who are not investing in digital projects, or only in business continuity. "This may be out of hardship, and understandable, but building resilience and staying on course with digital transformation still needs to be actively sought, or survival will be less than worthwhile."

 

Current challenges for IT leaders

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