Synopsis
This report presents the findings from a survey of 137 German enterprises regarding their Information & Communication Technology (ICT) budgets and staff allocation. The survey investigates how German enterprises currently allocate their ICT budgets across the core areas of enterprise ICT spend, namely hardware, software, IT services, communications and consulting.
Scope
Understand how ICT budgets are set to change in 2013 in terms of their overall size.
Appreciate how IT budgets are allocated across the core elements of IT spend, including hardware, software, services, communications and consulting.
Learn how IT Euros are being spent in areas such as the data centre, applications, IT management and the network.
Establish how IT staff are typically allocated within German organizations
Gain insight into with whom German enterprises plan to spend their ICT Euros.
Summary
Why was the report written?
In order to provide a depth of insight into ICT vendors’ and service providers’ potential customers
What is the current market landscape and what is changing?
The current German enterprise IT market spending is expected to be positive yet growth is projected to be slower in 2012-13. German enterprises will try to equip themselves for an economic upturn with reasonable investments in core ICT segments.
What are the key drivers behind recent market changes?
Although Kable Market Research’s survey reveals that the outlook for German IT spending is positive, the growth is still expected to be slower due to the economic slowdown in the Euro zone and the United States. The need to enhance operational efficiencies and sustainability will drive investments in certain key technology areas.
What makes this report unique and essential to read?
Kable Market Research Market Research has invested significant resources in order to interview CIOs and IT managers about their IT Budgets. Very few IT analyst houses will have interviewed 130+ ICT decision makers in German market in H2 2012.
Reasons To Buy
X% of German enterprises expect their IT spending to either remain flat or increase in 2013, indicating a moderately positive outlook for German IT spending.
The X% decline across various categories such as data centres and applications is the result of the economic situation which is affecting new projects and the expansion plans of enterprises across Germany.
Customer Relationship Management (CRM) and marketing automation solutions are expected to become more popular in light of the tight business conditions, given their potential to enhance customer satisfaction and drive additional sales.
As well as demand from large enterprises, SMEs preference to outsource activities like access, storage and security of their business data to reduce complexity and bring in cost savings will also bring in greater investments in cloud computing.
Kable Market Research’s recent survey shows that the average allocation of IT staff for IT management is relatively low at X%, which could be because hosted services are shifting the burden of managerial activities (such as devising the implementation strategy and architecture, ICT procurement, supplier & contract management, service, project & financial management) away from enterprises on to service providers.
Table of Contents
1 Trends in ICT budgets
1.1 Introduction
1.2 Survey demographics
1.3 IT budget changes
1.4 IT budget allocation by core technology area
1.5 IT budget allocation by function
1.6 IT spending by entity
1.7 IT staff distribution
2 Detailed IT budget allocations
2.1 Introduction
2.2 Hardware budget breakdown
2.3 Software budget breakdowns
2.4 Third party IT Services expenditure
2.5 Telecommunications budget
3 Summary
3.1 German enterprises are raising IT spending, albeit at a tentative and modest pace
4 Appendix
4.1 Definitions
4.2 Further reading
4.3 Contact the authors
List Of Tables
Table 1: German enterprise ICT survey industry breakdown
Table 2: German enterprise ICT survey breakdown by size band (number of employees)
Table 3: Recent and expected ICT budget changes among German enterprises
Table 4: German enterprises' (external) ICT budget allocation in 2012
Table 5: German enterprises' (external) ICT budget allocation in 2013
Table 6: German enterprises' ICT budget allocation by function, 2012 and 2013
Table 7: German enterprises' IT budget allocation by entity in 2012
Table 8: German enterprises' IT budget allocation by entity in 2013
Table 9: Average allocation of full-time IT staff members in German enterprises
Table 10: German enterprises' average hardware budget allocation
Table 11: Average allocation of software budgets in the German enterprise market
Table 12: German enterprises' average software budget allocation by technology
Table 13: German enterprises' average IT services budget allocation
Table 14: German enterprises' average IT consulting services budget allocation
Table 15: German enterprises' average telecommunications budget allocation
List Of Figures
Figure 1: German enterprise ICT survey industry breakdown
Figure 2: German enterprise ICT survey breakdown by size band (number of employees)
Figure 3: Recent and expected ICT budget changes among German enterprises
Figure 4: German enterprises' (external) ICT budget allocation in 2012
Figure 5: German enterprises' (external) ICT budget allocation in 2013
Figure 6: German enterprises' ICT budget allocation by function, 2012 and 2013
Figure 7: German enterprises' IT budget allocation by entity in 2012
Figure 8: German enterprises' IT budget allocation by entity in 2013
Figure 9: Average allocation of full-time IT staff members in German enterprises
Figure 10: German enterprises' average hardware budget allocation
Figure 11: Average allocation of software budgets in German enterprise market
Figure 12: German enterprises' average software budget allocation by technology
Figure 13: German enterprises' average IT services budget allocation
Figure 14: German enterprises' average IT consulting servicesbudget allocation
Figure 15: German enterprises' average Telecommunications budget allocation
