TEKsystems’ 2015 IT Forecast: Fewer Budget Increases, But More Optimism in Ability to Support Business Objectives

Annual IT Forecast 2015 (Graphic: Business Wire)

HANOVER, Md.--()--TEKsystems®, a leading provider of IT staffing solutions, IT talent management expertise and IT services, today released its annual research which highlighted that while only 45 percent of IT leaders (CIOs, IT VPs, IT directors, IT hiring managers) expect their budgets to increase in 2015, 71 percent are confident in their ability to satisfy business demands. Tweet This.

TEKsystems surveyed more than 500 IT leaders on the current state of IT spending, skills needs and workforce issues as well as expectations for 2015. The full results of TEKsystems’ 2015 IT Forecast are available in TEKsystems’ online research library.

Key highlights from the survey include:

Expectations for Budget Increases Drop; Confidence in Ability to Meet Business Demands Continues to Rise

                   
Budget shifts
(Percent of IT Leaders Responses)
    2013     2014     2015
Expect budget to increase     48%     62%     45%
Expect budget to stay the same     36%     26%     39%
Expect budget to decrease     16%     12%     16%
                   
Confidence in ability to satisfy demands
(Percent of IT Leaders Responses)
    2013     2014     2015
Confident     54%     66%    

71%

Neutral     30%     28%     20%
Unconfident     16%     6%     9%
           
  • TEKsystems’ Take: From 2014 to 2015, there has been a significant decline in the number of IT leaders who expect budget increases, returning to levels similar to the 2013 forecast. Eighty-four percent expect budgets to increase or stay the same, and seven out of 10 IT leaders express confidence in their ability to satisfy business demands, indicating that as long as budgets do not decline, the vast majority don’t anticipate a negative effect on IT responsibilities.

IT Priorities Consistent Year over Year

             

Biggest impact trends/technologies
(Ranking of IT Leaders Responses)

    2014     2015
Security     2     1
Business Intelligence / Big Data     1     2
Mobility     3     3
Enterprise Resource Planning     7     4
Cloud Computing     4     5
             

Spend area
(Percent of IT Leaders Expecting Increases)

    2014     2015
Security     +59%     +65%
Mobility     +62%     +54%
Cloud     +59%     +53%
Business Intelligence / Big Data     +51%     +49%
Storage     +57%     +46%
       
  • TEKsystems’ Take: The consistency in impact areas from 2014 to 2015 explains why IT leaders’ confidence continues to grow, even as fewer IT leaders are expecting budget increases. The largest percentage of IT leaders anticipate budget increases for “core four” areas (security, BI / Big Data, mobility and cloud) in 2015, indicating a strong organizational alignment between the priority and scope of IT initiatives. Tweet This.

Programmers and Developers Remain Hardest to Fill

                   
Rank     2013     2014     2015
1     Programmers and Developers     Programmers and Developers     Programmers and Developers
2     Architects     Architects     Software Engineers
3     Business Intelligence     Software Engineers     Architects
4     Big Data Analytics     Business Analysts     Project Managers
5     Software Engineers     Project Managers     Security
           

Positions that have been in the top five for three years running are in bold.

  • TEKsystems’ Take: The consistency in reporting key operational skill sets as the hardest to fill may reflect the importance of having these skill sets in-house. While BI and Big Data, cloud and mobile are not among the top five most difficult to fill skills, these are high impact roles that IT leaders expect to increase spending on in 2015. This anticipation could point to an increase in using outsourcing or staff augmentation for these particular roles, providing organizations with greater agility and flexibility, while also fulfilling short-term talent needs.

Hiring Will Continue to Rise, But at Slower Growth Rates

                   
      Increase     Stay the Same     Decrease
2014 Full-time IT Staff     47%     44%     9%
2015 Full-time IT Staff     40%     50%     10%
                   
2014 Contingent IT Staff     46%     43%     11%
2015 Contingent IT Staff     36%     54%     10%
           
  • TEKsystems’ Take: While the percentage of IT leaders who expect hiring increases has declined, they are still optimistic—90 percent expect both full-time and contingent headcount to either increase or stay the same. While salary increases will be less frequent, any increases will reward those with skills aligned with organizational focus areas. Tweet This.

“It’s easy to jump to the conclusion that the reduction in expected budget increases signifies a need to cut back and eliminate important projects, but in reality, IT leaders are simply looking to be more realistic about what they can do with their resources and plan accordingly,” said TEKsystems Research Manager Jason Hayman. “Rather than viewing the decrease in the rate of growth of spending as a reason to eliminate projects, IT leaders can instead use that information to implement sound talent management strategies in areas that are truly benefiting the business, and they can allocate resources to solidify those objectives.”

TEKsystems’ Jason Hayman is available for additional commentary. For more information about the survey or to schedule an interview, please contact Rick McLaughlin at TEKsystems@daviesmurphy.com.

About TEKsystems®

People are at the heart of every successful business initiative. At TEKsystems, we understand people. Every year we deploy over 80,000 IT professionals at 6,000 client sites across North America, Europe and Asia. Our deep insights into IT human capital management enable us to help our clients achieve their business goals—while optimizing their IT workforce strategies. We provide IT staffing solutions, IT talent management expertise and IT services to help our clients plan, build and run their critical business initiatives. Through our range of quality-focused delivery models, we meet our clients where they are, and take them where they want to go, the way they want to get there.

TEKsystems. Our people make IT possible.

Contacts

TEKsystems
Brendan Foerster, 410-540-7063
bfoerste@TEKsystems.com

Release Summary

TEKsystems' annual IT Forecast research highlights that while only 45 percent of IT leaders expect budget increases in 2015, 71 percent are confident in their ability to satisfy business demands.

Contacts

TEKsystems
Brendan Foerster, 410-540-7063
bfoerste@TEKsystems.com