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Australian Businesses Invest Strategically in IT Amid Economic Pressure.

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Australian Businesses Invest Strategically in IT Amid Economic Pressure.

Australian Businesses Invest Strategically in IT Amid Economic Pressure

Australian organisations are showing a willingness to invest in new technologies, but this appetite is being tempered by a heightened sense of accountability and strategic alignment due to the current economic climate. According to Apptio, businesses are willing to pay for IT services, but they’re looking to hold those involved accountable for the results.

Key Investment Areas

Australian companies are focusing on areas such as accountability, risk management, and labor challenges when investing their limited resources. Cyber security has become a top priority, driven by the government’s active push for a stronger cybersecurity agenda.

Challenges and Opportunities

The cost of capital and funds is on the rise, putting pressure on businesses and CIOs to justify IT expenditures. The shortage of skilled talent, particularly in emerging areas like AI and data science, is also a critical issue. However, the adoption of FinOps and cloud optimization practices is on the rise, with businesses wanting to bring these disciplines into traditional on-premise environments.

Strategic IT Investment Trends

According to Pete Wilson, vice president for Apptio Business and general manager, APAC, Australian businesses are having a “more mature conversation about not just adopting technology on a whim but doing so with a clear demonstration of value back to the business.” Ajay Patel, general manager at Apptio and IBM IT Automation, adds that businesses are focusing on how to take the skills and talent available and map them to the most strategic projects with the highest ROI.

Key Takeaways

• Australian businesses are investing strategically in IT despite economic pressure.
• Accountability, risk management, and labor challenges are key areas of focus.
• Cyber security is a top priority, driven by government initiatives.
• Adoption of FinOps and cloud optimization practices is on the rise.
• Businesses are looking for clear demonstrations of value from IT investments.

My Thoughts

Australian Businesses Strategically Invest in IT Amid Economic Pressures

The economic climate in Australia is uncertain, making it challenging for CIOs to justify technology spending. However, many Australian companies are investing in new technologies, such as FinOps and cloud optimization practices, with a focus on accountability, risk management, and labor challenges.

Shifting Priorities in IT Investments

According to Apptio, Australian businesses are having a more mature conversation about adopting technology with a clear demonstration of value back to the business. This is a shift from the past when technology spending was often seen as a given. CIOs are now under pressure to optimize their current operations and demonstrate how new investments will deliver tangible business value.

Key Trends in Australian IT Investments

  • Increased focus on accountability and strategic alignment
  • Growing sophistication in managing technology costs
  • Scarcity of skilled talent, particularly in emerging areas like AI and data science
  • Increased adoption of FinOps and cloud optimization practices
  • Cybersecurity becoming a top priority

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