CEOs still waiting for IT benefits, according to study

A recent poll of CEOs reveals a surprising disappointment in IT's impact on business, yet optimism for future benefits continues to run high.

The cross-industry international survey of 650 CEOs and senior executives was conducted by the Department of Information Systems at the London School of Economics, and commissioned by management consulting firm Compass Analysis.

Thirty-eight percent of CEOs expect IT to make a significant contribution to business results (25% expect a low contribution). The numbers shift, however, concerning actual achievements: only 25% of CEOs polled say IT contributes substantially today, versus 33% indicating a low contribution.

"The bottom line is that CEOs expect more from IT than they're getting," said Compass America president David Burkett. "IT management needs to do a better job at delivering and demonstrating value from IT."

Despite a lack of results, CEOs believe their IT future looks bright. When asked about future requirements, 48% of CEOs expect IT to make a high contribution; only 22% anticipate a low contribution.

The survey also unearthed CEOs view of IT's impact on three areas: business performace improvement, cost reduction and competitive advantage. BPI scored the best: 32% of CEOs said IT met their expectations, while 46% said IT had a significant impact.

On the other end of the scale, only 19% of CEOs are satisfied with IT's impact on competitive advantage, although more than half of CEOs expect IT to significantly impact competitive advantage in the future.

To get the full report, contact Alex Kozlov or download it from Compass' Web site (requires Adobe Acrobat plug-in)