Start Preparing for Growth Post Recession: Gartner

by CXOtoday Staff    Jun 05, 2009

In recent months, analysts have observed that many organizations are reporting that their staffs are working at near- or full-capacity levels. This demand level will almost certainly increase when businesses start detecting resurgence in demand from customers, a more stabilized economic climate and a far-healthier lending environment from which to access credit.

"As these improvements translate into new IT project demands to help businesses identify new revenue and profit opportunities, companies will need a way to manage the already high project load with a new wave of projects," said Ken McGee, vice president and Gartner fellow. "However, waiting until that new demand arrives will be far too late to appropriately meet it, and we are recommending that companies start preparing for business growth now with a view to having these plans completed by July 1, 2009."

Gartner believes that the July 1 deadline will well serve those organizations believing that modest business growth could occur during 2010. Such a belief would require placement of new IT project and other related expenses in the 2010 budget, whose preparation period is between August and the end of 2009.

Mark Raskino, vice president and Gartner fellow said, "What we are saying is that due to the lag in time between the point at which the economy begins to grow again, and when its officially declared to be growing again, companies simply can’t wait for an official declaration before they begin planning for better times."

Gartner plans to present an array of new cost-optimization-related actions that its clients should take during future technology selection, vendor selection, procurement, contract negotiation, asset management, and other post-recession efforts as they enter the next chapter of supporting business growth.

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