Many CIOs Are Better Equipped To Combat Rising IT Costs. Are You?
CIO, Wednesday, November 8,2023
IT budgets are being tested like never before due to many factors. But savvy CIOs, tightly aligned with the C-suite, have found ways to adjust to rising costs while others remain on the back foot.
Inflation may have dropped from its high in 2022, but the price pressures on IT budgets have continued unabated. Rising prices have imposed tough challenges on IT budgets, operations and staffing, especially for global organizations with operations in countries where inflation has been running high, such as Poland (10%), India (8%) or Turkey (50%). While inflation challenges have moderated in the US from a high of 9.1% in June, 2022, to 3.7% in September, 2023, the price pressures facing IT have persisted. The technology talent gap continues to inflate labor costs, too, despite big layoffs in high tech, CIOs say, and they've seen double-digit increases in SaaS and cloud costs over the last two years.