Meanwhile, IT teams are more likely to believe they are under-funded

Managed Objects, the Business Service Management Company, released results from an annual survey of more than 200 U.S. senior corporate executives and IT managers regarding their IT spending in 2007. Compared to a year ago, results suggest a more conservative view of IT spending in the executive ranks even as their IT departments feel budgets are too tight.

Managed Objects commissioned an identical survey conducted a year ago in which 46 percent of senior executive respondents (C-suite) said their organization was spending ‘too little on IT in 2006’. This year, top corporate executives seem more conservative, with only 29 percent of respondents in the C-Suite reporting they felt IT was spending too little in 2007. Among executive respondents, 12 percent said too much was being spent, also a slight increase over last year. And compared with 2006, a significantly larger slice of executives felt that IT spending was “about right” in 2007, perhaps suggesting that executives felt they had corrected any shortfalls in IT budgets for this year.

However, the opinions among those in IT management also differed from 2006 findings. Last year, 19 percent of IT managers reported a belief that IT was spending “too much”; this year only five percent of those responding felt their departments were overspending. Likewise, last year, only 31 percent of IT managers said too little was being spent while this year, 42 percent feel under-funded.

Among the largest companies (>$1 billion in revenue), responses were more consistent with last year’s general findings. Across roles, respondents from these organizations were significantly more likely to indicate that their IT expenditures were either “about right” (54 percent), or “too little” (40 percent), with only four percent saying too much was being spent. Among companies with more than $10 billion in sales, 68 percent of respondents claimed that spending was about right.

“These results seem to indicate that among the very largest organizations, IT and executives alike are content with their cost controls – but that still leaves more than 90 percent of the market who aren’t as sure,” said Managed Objects’ CEO Siki Giunta. “That said, the fact that IT departments within hundreds of other multi-million dollar companies feel under-funded even as their leaders think they are properly resourced demonstrates a persistent disconnect in the majority of the Global 2000,” Giunta added.

About Managed Objects

Managed Objects is the Business Service Management Company. Business Service Management (BSM) aligns IT with the business by integrating network, system, application, end user, and business metric information into real-time business service dashboards. Through Managed Objects' BSM platform, companies effectively monitor, manage, and report on the services IT delivers to the business - services like online trading and e-commerce. Consistently acknowledged by the analyst community as best in class, Managed Objects has more BSM implementations in place than any other company. That is why AIB, BNP Paribas, CSC, Credit Suisse, DISA, Fidelity Investments, JPMorganChase, NIH, Progress Energy, Reuters, TIAA-CREF and other global organizations rely on Managed Objects' BSM technology. For more information, visit www.managedobjects.com.