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CBI Plan - Value Focused Reengineering

Are you treating technology as a strategic investment?

We can show you what you must do to provide more goods and services to your customers.

According to the experts, only recently have CEOs begun to realize the impact technology has on their business. They viewed technology as a way to help their business keep better records or work faster, but had not realized how completely dependent upon technology they are.

"Senior executives just don't know as much as they need to about how technology can drive the business. That will have critical strategic implications for the profit potential of companies over the next five to 10 years." -- Lin Knapp, vice chairman and CIO -- Price Waterhouse Coopers LLC

A worldwide survey conducted by A.T. Kearney, a Chicago-based consultant firm, revealed that in 1998, only 55 percent of CEOs stated that, "technology decisions were an integral part of the decision making process." Today that number is 97 percent of more than 250 CEOs.

Companies today spend an average of only 5 percent of their revenues on technology, according to Gartner Group in Stamford, Conn. It is predicted that by 2005, technology spending across all industries in
North America will rise to an average of 10 percent of revenues, with industry leaders spending significantly more than that. Clearly, technology can no longer be viewed simply as a cost to be controlled. CEOs will have to relearn everything they know about technology budgeting to bring technology outlays up to the same level as spending on new products and/or services, new business, and new markets. The perception that IT is merely a cost center must be replaced in the minds of everyone, not just the CEO, by the realization that technology is a critical component of business success.

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