IT success requires just the right spending mix

When it comes to budgeting, it pays to be strategic. We break down seven IT project domains to expose where you’ll overindulge and where you’ll come up short this year

Beneath IT’s moderate projected spending growth of 6.6 percent for 2007 lies a considerable amount of volatility. Ongoing cost-cutting measures and emerging tech trends have many organizations on the move, initiating significant enterprisewide changes. And as funding is diverted from one project to another this year, how IT allots what it is allowed will have a halo effect, compounding the success of or drastically hamstringing the enterprise’s overall undertaking. The stakes are just too high to invest too much in one aspect of a project to the detriment of doing what needs to be done in another.

That you will spend too much this year supporting the business and not enough driving it should come as no surprise. Yet those adept at getting the most from support-function dollars will likely free up the funds necessary to fuel new projects geared toward advancing the goals of the business — and thus increase the overall organizational value of IT.

We polled analysts, experts, and industry leaders to uncover where you’ll be spending too much and where you’ll be spending too little in seven project areas vital to the success of your organization this year: SOA, compliance, security, virtualization, collaboration, networking, and application development.

So, have a look, make adjustments, and sound off about where you think IT should place its bets in 2007 and what you anticipate this year’s disruptive budgeting forces will be.