, a global market research and marketing consulting firm, has reportedly launched
a new study which indicates that that the to combat the recession, “strategic” companies are investing more in IT, have more advanced technology in place and regard IT as more strategically important than their “short term” counterparts.
As companies across the globe are planning opposing strategies while they emerge from the recession, RONIN’s (News
) study reveals that in the U.S., 58 percent are employing tactical, short-term initiatives that stress cost cutting and deferred investments and longer-term planning. The other 42 percent are taking a more strategic view by re-engineering their business models, making acquisitions, and forging new relationships.
RONIN officials also said that in the past recessions a similar pattern has emerged and McKinsey and Co. (News
) has studied this, concluding that the “strategic” companies emerge stronger while the “short term” companies emerge with weaker competitive positions.
The study also indicates that outside the U.S., the percentage of “strategic” companies is higher, except in Japan, and the emerging markets covered in the study - China, Brazil and Mexico - show an even higher percentage of “strategic” companies.
The recession has caused a change in what IT buyers look for from vendors, said the researcher. While there was a significant emphasis on “low cost” in the early days of the recession, the emphasis has now shifted to a desire to work with vendors that have a long-term strategic vision, best-in-class and innovative solutions and are easy to do business with. The lowest cost is well down the list of priorities, RONIN’s study said.
RONIN’s study also indicated that the decreased level of spending in “short term” companies have outstripped the gains in the “strategic” companies. This, according to the researcher, is an improvement.
2010 could shape up as a bumper year for vendors, particularly if they are targeting the “strategic” companies, the researcher said.
RONIN officials said that the company conducted this third phase of the ongoing program studying “the impact that the current worldwide recession had on companies’ IT initiatives” in early October, 2009. Over 4,900 surveys were said to have completed over the three waves by IT decision-makers both in IT Departments and in the lines of business across 12 countries including; U.S., Canada, Mexico, Brazil, Germany, U.K., France, Italy, Spain, China, Japan, and Australia. Jai C.S. is a contributing editor for TMCnet. To read more of Jai's articles, please visit his columnist page.
Edited by Amy Tierney